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Why compare the cost to the future profits of wells that are just about dried up? How much profit have they generated up to this point and how does the profit
by imgabe 3y ago
Why compare the cost to the future profits of wells that are just about dried up?
How much profit have they generated up to this point and how does the profit it generated in the past compare to the future cleanup cost.
Obviously if the well is just about dry and about to be capped and cleaned up its future profit will be very little. Most of the profit will be in the past.
- yencabulator 3y ago> Why compare the cost to the future profits of wells that are just about dried up? If future profits were more than the cost of cleanup, the company might even do the cleanup. Right now, it's pretty much guaranteed they won't (and nobody will go to jail for the this-should-be-a-crime, either).
- imgabe 3y agoJust require the company to pay for it anyway, they can pay with the profits from the past 100 years of drilling oil, or levy a tax on the owners or use some of the taxes California collected over the past 100 years that the oil industry has boosted their economy.
- yencabulator 3y agoThe particular company in question is, without a doubt, carefully organized to have no such funds. https://en.wikipedia.org/wiki/Hollywood_accounting https://en.wikipedia.org/wiki/Hollywood_accounting