Exxon cleanup costs disputed
New Jersey deal doesn’t go far enough, critics say
TRENTON, N.J. – The price tag for cleaning up two petroleum refineries in northern New Jersey will cost Exxon Mobil much more than the $225 million settlement brokered by Gov. Chris Christie’s administration, but critics of the proposal say it could be years until it’s clear how much the company eventually will have to pay.
The Department of Environmental Protection posted details of the proposed settlement with the Texas-based oil company Monday but did not outline how much the cleanup will cost.
The cleanup costs are at the center of a fierce debate between the Christie administration and the Democrat-led Legislature, which faults the governor for settling for a fraction of the $8.9 billion in damages that had been determined in court documents.
The administration counters there is no cap on the cost of cleanup.
On Tuesday, Democratic state Sen. Ray Lesniak renewed his efforts to scuttle the deal and said the company’s requirement to pay for cleanup had already been decided. The administration, he said, should have gotten more from Exxon.
He also called for the settlement’s rejection and presented what he said were 15,000 signatures opposing the deal.
The settlement must clear several hurdles before it becomes official. The public has until June to weigh in before the state DEP finalizes or changes the decision. Then Superior Court Judge Michael Hogan would rule on the deal. Judges typically approve these kinds of agreements.
Pinpointing the exact cost, though, could take years, environmental law experts said.
If the deal goes forward, Exxon would be expected to conduct studies to determine where petroleum and other chemicals may have leaked into the ground, said John Pendergrass, a senior attorney at the Environmental Law Institute. Then, the company would draft a cleanup plan, subject to state approval, that may address stopping the spread of contaminants.
DEP spokesman Bob Considine did not estimate what Exxon might have to spend but said there is no limit on potential costs.
“We won’t have a firm number on those costs until more investigations are undertaken, a feasibility analysis is undertaken, and a remedy is selected,” he said.