OPIC finds BP negligent with BTC Pipeline
6 February 2007
The U.S. Government Overseas Private Investment Corporation (OPIC) recommended to British Petroleum (BP) that more safety precautions are needed for the Baku-Tbilisi-Ceyhan (BTC) Pipeline, which transports oil from the Caspian Sea through Azerbaijan and Georgia to Turkey.
OPIC, which lends to and insures emerging market projects, concluded that BP needs to pay more attention to the parts of the pipeline that are buried in soil with high groundwater levels and concentrate efforts to prevent corrosion and leaks.
These recommendations have gone unheeded, and OPIC surveyed the pipeline after receiving a complaint from the Georgian environmentalist, Manana Kochladze of Green Alternative, a member of CEE Bankwatch Network. They found that a coating paint that was supposed to prevent corrosion had been ineffective. BP claims that they have tried fixing this coating, but these attempts have clearly been insufficient and unsuccessful.