Introduction

Earlier this year, during routine inspections of the Great Barrier Reef, large deposits of oil were found to be lingering in the reef and its surrounding areas, as well as some washing up on nearby beaches. These have been found to cause ongoing damage to the environment and necessitate further action. There are also fears of China’s land reclamation projects in the South China Sea restarting. If this were to happen, it would cause indirect harm to Australia and damage even more fragile ecosystems.

Sunken Oil Mats, Escalating Damages, and the Australian Economy

On April 20, 2010, the Deepwater Horizon oil rig had an explosion, spilling roughly four million barrels of oil into the Gulf of Mexico. As the largest accidental oil spill in history, its effects were disastrous and are still being felt today. Years after the initial incident, sunken oil mats (SOMs) weighing tens of thousands of pounds were found in the Gulf. SOMs form when oil mixes with sediments in the water, causing it to sink. These mats are difficult to find, expensive to remove, and devastating to the environment. Similarly, there are tar balls, which form in the same manner. On April 3, 2010, a Chinese coal carrier, the Shen Neng 1, crashed into the Australian coast. Its fuel tanks were damaged and spilled hundreds of tons of oil and fuel into the ocean. Just ten days later, tar balls were found on an important bird and turtle nesting island 40 miles away. These disasters set a precedent for evaluating the scale and severity of the damage caused by SOMs and tar balls.

The Great Barrier Reef has the perfect conditions for the formation of tar balls and SOMs. During cleanup efforts, tar balls were discovered on various beaches as well as some small SOMs. The tar balls were found to be impacting marine life by sticking to animals and releasing toxins into the water, while the SOMs were smothering and killing off large sections of coral. Australia is now estimating greater lasting damage due to these developments and higher costs to remove them. Reports from conservation sites project that there are likely more SOMs that were produced and that more efforts are needed to deal with them faster.

In response, China has pledged to aid with removal and further cleanup costs. However, they still maintain that this is a pledge ex gratia and not an admission or recognition of guilt. As of now, no payment has been made, and it is still just a pledge. China states it will go through with the payment once sufficient reports about the SOMs and their effects have been released. Considering the reports already released, Australia has accused the pledge of being disingenuous and seeking only to appear cooperative. In addition to the cleanup costs are the costs associated with losing the benefits of the Great Barrier Reef. The reef provides tens of thousands of jobs and contributes USD nine billion to the economy every year. The oil spill has caused a sharp decline in the tourism, hospitality, fishing, and shipping industries. Comparably, the Exxon Valdez spill in 1989 spilled 240,000 barrels of oil on the Alaskan coast. The spill caused 300 million dollars in economic losses across more than 32,000 jobs that relied on fishing. And tourism spending decreased by 35 percent. Scaling up for inflation, and considering that Australia receives more from tourism than Alaska, the spill accounts for billions of dollars in lost revenue.

Artificial Islands and Exclusive Economic Zone Violations’ Effect on Australia

From December 2013 to October 2015, China built artificial islands of nearly 3,000 acres on seven coral reefs in the Spratly Islands. To build these islands, China relies on dredgers, which are pumps that remove huge amounts of sand from the ocean floor to build infrastructure and land reclamation projects. The dredgers gather and deposit sand and gravel on top of the reefs to create man-made islands.

China’s island-building has exacerbated the coral reefs, such as the Fiery Cross Reef and Mischief Reef, destroying coral and other organisms and leading to the dispersion of heavy metals, oil, and other chemicals coming from the ships and shore facilities constructed. Some of these islands are naval bases capable of launching nuclear bombers able to reach Australia. This has the government of Australia concerned about the growing impact of China in the South China Sea. Additionally, two-thirds of Australia’s trade goes through the South China Sea. These artificial islands not only pose threats; they actively violate states’ Exclusive Economic Zones (EEZ). An EEZ is an area extending 200 nautical miles past the coastline. That country has exclusive rights to the area, its usage, and the resources within. China’s islands extend into multiple countries’ EEZs, including the Philippines, Vietnam, and Malaysia. In 2016, a tribunal ruled the construction of these islands unlawful, and China rejected the ruling. The Australian government has also gotten word that China plans to continue with its land reclamation projects in the South China Sea in the near future. While China has not constructed new islands since 2016, it seems to show a pattern of neglect for other countries and international law.

Conclusion

As time goes on, the damage done only continues to worsen. Considering the already weak condition of the reef, judges will have to determine whether the discovery of SOMs and tar balls makes China liable for further damages or if it reflects Australia’s environmental negligence. Additionally, there is the looming threat of China’s land reclamation projects. Not only have they harmed immediate environments, but they also have the potential to threaten Australia’s waters and show a display of military force. These developments will call for judges to make important and informed rulings, any of which can change the outcome of this case. It is therefore crucial that judges understand these aspects fully and use them to deliver a just ruling.

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