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Unfair Market Value II: Coal Exports and the Value of Federal Coal

By Clark Williams-Derry - Sightline Institute, June 17, 2016

This report documents massive exports of federally owned coal from 2000-15. The US Bureau of Land Management sold private companies the right to mine this coal for a pittance—in some cases, for less than 20 cents per ton. And when Asian demand was red-hot, these companies made massive profits selling millions of tons of federal coal overseas. Nonetheless, the Bureau of Land Management (BLM) has essentially ignored export economics when setting the “fair market value” that it will accept for federal coal leases. Now that the Department of Interior has placed a three-year moratorium on new coal leases pending a thorough review of federal coal policies, BLM has an ideal opportunity for a thorough review of the economics of exports. And our report points to evidence that by ignoring exports, the BLM has been selling many federal coal leases at just a fraction of their true economic value.

Read the report (PDF).

ILWU and community coalition challenge dangerous crude oil terminal in Vancouver, Washington

Press Release - ILWU, October 21, 2015

Disclaimer: The views expressed here are not the official position of the IWW (or even the IWW’s EUC) and do not necessarily represent the views of anyone but the author’s.

Members of ILWU Local 4 have joined forces with community and environmental allies to stop a scheme by big oil that could ruin their port, close the Columbia River and turn their city into a disaster area.

Power play

Documents show that officials from the Port of Vancouver reached a deal in secret with oil companies to build the nation’s largest oil-to-marine export terminal without first holding public hearings on the controversial and dangerous proposal.

Four trains a day

Big oil wants to bring four “unit trains” a day to the Port of Vancouver. Each of the mile-long trains would carry 100 or more tank cars filled with highly volatile and explosive crude from the Bakken oil fields of North Dakota. Each of the cars carry 30,000 gallons of highly flammable crude as the trains travel through dozens of towns before reaching the west coast.

Possible disaster

The possibility of a catastrophic disaster that could wipeout parts of Vancouver and other town became more real on July 6, 2013. That’s when a train carrying Bakken crude oil derailed and exploded in a cataclysmic firestorm that destroyed much of Lac-Megantic, a town in Quebec, Canada. The disaster killed 47 residents and injured many others.

“Bringing this stuff into our town is just irresponsible and too dangerous,” says Local 4’s Cager Clabaugh  who has told Port Commissioners that “the risk isn’t worth the reward.”

He notes that Local 4 members opposed plans for an oil export terminal in their town before the 2013 disaster in Quebec, and have strengthened their resolve since.

“Before that disaster, oil industry lobbyists were assuring our Port Commissioners that this stuff was safe and there was nothing to worry about,” said Clabaugh. “They changed their tune after the Lac-Megantic disaster, but are still saying it’s safe enough and refuse to drop their dangerous plan.”

Many other incidents

A parade of crude-by rail calamities has hit communities in North America. Six months after the Lac- Megantic inferno, another fiery rail crash occurred in Casselton, North Dakota where a Burlington Northern Santa Fe (BNSF) train carrying Bakken crude exploded after a collision.

That North Dakota accident was the fourth major North American derailment of crude-carrying trains during a six-month period in 2013. A total of 24 serious oil train crashes have occurred in the U.S. since 2006, with five crashes so far in 2015, according to the Associated Press.

Rising Tide and Allies Shut Down Port of Vancouver

Portland Rising Tide North American - Monday, November 4th, 2013

Disclaimer: The views expressed here are not the official position of the IWW (or even the IWW’s EUC) and do not necessarily represent the views of anyone but the author’s.

Vancouver and Portland Rising Tide are joining with other friends, allies, and activists in the Pacific Northwest to shut down the Port of Vancouver, Washington, right now in solidarity with the ILWU.

This from Portland Rising Tide’s Facebook page: “Good morning Port of Vancouver, if you can’t keep your grain terminal safe for workers, how can you make an oil terminal safe? You can’t so this morning Rising Tide is shutting you down!”

The ILWU has been locked out of a grain shipment terminal by United Grain. “United Grain and its Japanese owners at Mitsui have failed to negotiate in good faith with the men and women of the ILWU for months and instead chose to aggressively prepare for a lockout, spending enormous resources on an out-of-state security firm,” according to a statement made by ILWU spokeswoman Jennifer Sargent earlier this year.

On July 15, 2011, hundreds of ILWU protestors blockaded a mile-long train coming into the terminal in protest. The struggle has continued through numerous actions of resistance, including this June, when ILWU members blocked a transport van from leaving the port.

Today, the ILWU’s struggle in the area is spilling over into a new terminal as Rising Tide activists are calling out the unaccountable and irresponsible behavior of the Port of Vancouver in both the ILWU lockout and the approval of a new oil terminal. The terminal would process 380,000 barrels of oil coming in by rail from the Bakken shale and probably the tar sands.

Many activists have pointed to recent oil disasters, such as the explosion of an oil train in Lac-Megantic, Canada, that incinerated the entire town square.

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