BP Funds Not Enough For Gulf Restoration

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The $1 billion BP, Europe's second-largest oil company, set aside for restoration and ecosystem projects following the Gulf of Mexico oil spill in 2010 may not be enough to cover those costs, Gulf Coast lawmakers and officials claim. Officials said the $1 billion is a step in the right direction, but added the money will only cover early restoration.

A special council responsible for assessing oil spill damages is currently preparing to select the first restoration projects, according to the Shreveport Times. BP (BP), which still potentially faces $10 billion in spill-related liabilities, is not legally required to provide early restoration funding.

More than 80 restoration studies along the Gulf Coast are being planned and local officials are concerned it could take several years before the full extent of ecosystem damages stemming from the spill is known with some officials worried that studies could take up to a decade.

Earlier this year, a Louisiana senator proposed legislation that would require BP to put up more up-front money before the assessment process is complete, the Times reported. The bill was co-sponsored by Louisiana's other senator one of Florida's two U.S. senators.