Ethical Issues Raised By Bp - 1237 Words

Introduction Despite decades of efforts to seek for alternative energy sources, fossil oil is still the single most important energy source for human being. However, oil industry brings about many ethical issues such as safety and environmental impact. In this ethics report, we will study one of the world’s leading international oil company – BP, who operates in nearly 80 countries . We will particularly discuss ethical issues raised by BP in oil industry in the United States (US) between 2002 and 2006. The three ethical issues which are going to be discussed are (1) safety issue in workplace depicted by the Texas City explosion in 2005, (2) honesty and fair dealing depicted by both Texas City explosion and Prudhoe Bay A-22 explosion in†¦show more content†¦2. Fluid level indicator in the splitter tower was not calibrated. The indicator showed that the flammable fluid in the splitter tower was at 8.4 feet and the level was still dropping, while in the actual situation the f luid continued to rise to 130 feet . 3. Undersized blowdown drum (a unit to collect overflowed fluid) could not accommodate the overflowing fluid. Eventually, the flammable gasoline spilled to the ground. An ignition source nearby caused the explosion. 4. Undermanned crew as many experienced workers were fired led to only a junior control board operator running three separate units on the accident day . All these three root causes can be attributed to the unscrupulous cost reduction where safety of the employees had been severely compromised. This is clearly an ethical issue. In a press release by US Chemical Safety Board (CSB), it is stated that CSB concluded â€Å"organizational and safety deficiencies at all levels of the BP Corporation had caused the Texas City explosion . Despite repeatedly warning about the risk, BP chose to ignore it and put profit in higher priority than safety . The Texas City explosion could have been avoided with proper maintenance program and sufficient manpower. Honesty and Fair Dealing – Texas City Explosion 2005 Prudhoe Bay A-22 Explosion 2002 After the Texas City explosion, BP fired six employees and put the blames on them. It was argued that the explosion wouldn’t have happened if the six employees did