After the seemingly endless series of devastation that the Gulf Coast region suffered in recent years, many experts would argue it needs a restoration to reinvigorate economic growth. Once money has been invested for restoration to begin, there is potential for the coast to grow into long-term economic recovery. An influx of money spent on development or restoration of an environment can lead to the creation of new jobs, which in turn could lead to even more thriving development as people consider starting a business or expanding their current one in order to meet new demands. This growth can grab the attention of investors, which could bring in more money to the region. The question is how to begin this process of restoring the Gulf Coast region back to where it was.
For many, there may be a solution: If fines from the BP oil spill are utilized for coastal restoration, the result could be thousands of new jobs, according to a study orchestrated by two nonprofit organizations. Because Congress currently addresses the Restore Act, a bill that would demand at least 80 percent of all fines be used for restoration of areas hurt by the oil spill, the study couldn’t have come at a better time.
The studies argue that if the fines are used primarily for coastal restoration, approximately 57,000 jobs could be added to the area. This would be the result of nearly $1.5 billion in spending over the first 10 years. This value will be increased when, starting in 2017, royalties from offshore drilling will be sent to Louisiana to put toward coastal development projects.
For those contemplating starting a new business or expanding the business they already have, this money for coastal restoration could provide a window of opportunity. Should money be used in this way and new jobs be created, an increase in demand could help businesses prepared to respond to these individuals needs.
Source: MSN Money, “Study: Job growth if BP fines used for coast,” Kevin McGill, June 7, 2012