1998 Year of the Ocean Ocean Energy and Minerals 



affected coastal states. However, consultation and coordination can be difficult when there are a 

 large number of stakeholders representing strong policy interests. 



V. IMPROVING STAKEHOLDER INVOLVEMENT 



Successful, sustainable development of ocean energy and mineral resources requires that we 

 move from conflict to consensus among all stakeholders within the framework of a 

 comprehensive management strategy. Stakeholders have blocked development of oil and gas 

 resources in many areas of the OCS. Management of ocean energy and mineral resources can be 

 difficult due to the number of stakeholders and the nature of their interests or responsibilities. 

 Federal and state laws relating to energy and mineral resources often contain differing policy 

 objectives that must be balanced. However, the Department of the Interior (DOI) has taken steps 

 to solve conflicts in the application of its OCS program by working with stakeholders. 



The history of the OCS program relating to energy resources shows that its expansion has been 

 controversial. When federal management of the OCS began under the OCSLA, oil and gas 

 activity was concentrated in the Gulf of Mexico off Louisiana and Texas, where the program was 

 supported as a part of that region's economy. Following commercial discoveries offshore 

 southern California, the 1 969 Santa Barbara Channel blowout and oil spill started opposition to 

 offshore oil and gas development. 



In response to the oil embargo of late 1973 and early 1974, the federal government expanded the 

 OCS program to include areas where activities had not occurred before. The increased scope and 

 pace of activity heightened concerns about the environmental and socioeconomic effects of 

 offshore development. Citizens and governments in coastal areas demanded that they be 

 consulted. As a result, the OCSLA was amended in 1978 to provide for environmental 

 consideration and more substantive involvement of state and local governments and others in 

 OCS decision making. 



In 1979, oil supply disruptions and price increases renewed pressure for developing offshore 

 energy resources. The federal government armounced an area wide OCS leasing plan for frontier 

 areas. The announcement of this plan sparked opposition. Even though the new provisions of the 

 OCSLA called for increased consultation and coordination, many affected parties felt that their 

 concerns and recommendations were not being adequately considered in OCS leasing and 

 development decisions. As a result, the OCS program became the subject of congressional 

 moratoria and administrafive deferrals. In May 1 992, certain congressional moratoria became the 

 subject of liUgation by oil companies under breach of contract and takings claims. 



DOI has decided to resolve conflicts related to the OCS program relating to energy resources by 

 working with stakeholders. As part of this approach, DOI endorsed existing congressional 

 moratoria on lease sales in order to maintain the status quo while discussions on various OCS 

 issues ensured. DOI began resolving disputes on existing leases through the settlement of 



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