Environment Obligation of Chevron Corporation

Topics: Environmentalism, Petroleum, Environment Pages: 5 (1630 words) Published: November 24, 2012
Corporate Environment Obligation: An examination of the performance of Chevron Corporation Nowadays, increasing customers worried about the negative effects that large companies put on environment especially some energy industries. Chevron Corporation is one of largest multinational energy corporations in the world which has branch offices in more than 100 countries. It is engaged in all the aspects of gas and crude oil, which include exploration, production, marketing, chemicals manufacturing and so on (Chevron Corporation. n.d.). Although Chevron produce energy to power economic growth of America, even the whole world, the environmental problems it caused has aroused great public concern. This essay analyses the environmental contamination caused by Chevron Corporation operation, specifically in two cases: environmental atrocity in the Ecuador and Brazil oil spills. On the other hand, it describes some positive measures that Chevron takes to protect the environment which is focus on the following areas: protecting the environment, respecting biodiversity and preserving freshwater resources. The case against Chevron Corporation

In order to satisfy the tremendous oil demand of America, Chevron drill for more oil in other countries all over the world which heavily harm the ecosystems and communities in many countries such as Africa, South American and other nations. As a frontrunner in energy industry, Chevron also wants to gain more profit. For example, despite of the economic recession in 2008, Chevron still planned to increase total revenues by 25%, which is approximately $263 billion US Dollar. Chevron was concerned with environmental practices and business coincidentally, leading to huge environmental damage in some countries especially in Ecuador where the largest environmental lawsuit took place in the world. Early in the 1960s, Chevron began to prospect oil in Ecuador. It got a lot of money and then ran, leaving many environmental problems in the country (Julie, S. 2009 ). On February 28, 2011, Chevron Corporation was fined over $19 billion dollars by Ecuadorian Court because the oil and gas operations severely damaged the Amazon rainforest in Ecuador (Mark, W. 2011). There are a lot of evidences showing Chevron destroy the Amazon rainforest in Ecuador. In order to reduce cost, Chevron dumped more than 18 billion gallons of poisonous waste into Amazon waterways during 1964 to 1990. These waste caused seriously environmental pollution to six indigenous groups in Amazon rainforest and at present, one of them is extinct and other five groups lost majority of their ancestral lands. Chevron also abandoned a large quantity of waste pits which are filled with noxious sludge that contain carcinogens like benzene and chromium VI to Amazon forest. In the past few decades, these toxic substances migrated into soils, groundwater and stream that are the main source of drinking water for local residents. The toxins may cause reproductive problems, immune system damage, nervous system impairment and a number of other health problem to human beings ( Chevron’s Top Ten Lies: Chevron’s Ten Biggest Lies About the Ecuador Suit. n.d. ). In 2011 December, Chevron Corporation was imposed a fine of over $10 billion by Brazilian federal prosecutors due to environmental contamination caused by oil spill in northeastern coast of Rio de Janeiro state. The crude oil began to leak on 7 November caused by underestimating the pressure in an underwater reservoir which led to oil rush up a bore hole of a drilling platform and then ran into seabed around it. The oil spilled out from more than 7 narrow fissures at the bottom of the sea. Finally, the oil leak was under control until the end of November but there was still some residual oil seeping from the crevices. In addition, Chevron Corporation lack of environmental planning and management. According to an investigation by the attorney general’s office, Chevron did not have the capability to...

References: Biodiversity Statement. 2011. http://www.chevron.com/globalissues/ environment/ biodiversity/ (accessed March 22, 2012)
Brazil Sues Oil Giant Chevron For $10.85 Billion Over Offshore Leak. 2011. http://articles.businessinsider.com/2011-12-15/news/30518769_1_oil-drilling-brazilian-officials-leak (accessed March 22, 2012)
CHEVRON CORPORATION. n.d. http://www.texaco.com/trust-texaco/ chevron-corp.aspx (accessed March 19, 2012)
Chevron’s Top Ten Lies: Chevron’s Ten Biggest Lies About the Ecuador Suit. n.d. http://www.texacotoxico.org/eng/node/278 (accessed March 21, 2012)
Delivering Energy, Respecting Nature. n.d. http://www.chevron.com/stories /#/allstories/salakrespectingnature/producingenergyrespectfully/ (accessed March 23, 2012)
Environment. 2011. http://www.chevron.com/globalissues/environment/ (accessed March , 2012)
Julie, S. 2009. “60 Minute” exposes Chevron’s environmental atrocity in the Amazon. http://matadornetwork.com/change/60-minutes-exposes-chevrons-environmental-atrocity-in-the-amazon/ (accessed March 20, 2012)
Mark, W. 2011. Aguinda v. Chevron Corporation – Environmental Justice or Sham? http://www.acoel.org/post/2011/04/15/Aguinda-v-Chevron-Corporation-Environmental-Justice-or-Sham-.aspx (accessed March 20, 2012)
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Chevron Corporation Essay
  • Chevron Corporation Essay
  • Chevron Essay
  • Chevron Research Paper
  • chevron Essay
  • Chevron Essay
  • Introduction to Companies, Chevron Corporation and Merck Research Paper
  • A Ratio Analysis Report on Chevron Corporation Essay

Become a StudyMode Member

Sign Up - It's Free