Repair of post-Katrina wetlands may hinge on oil

NEW ORLEANS (Reuters) – Louisiana is focusing its hopes for restoring coastal wetlands that could help protect it from another Hurricane Katrina on an unexpected savior: oil.

Oil and the environment are rarely seen mixing well but the debate over how to pay for natural barriers that slow monster storms has moved into the Gulf of Mexico, where oil rigs can pump up to 1.5 million barrels of oil a day.

As the United States opens more of the gulf to drilling, Louisiana wants a bigger percentage of the oil tax money that is split between states and the federal government. That, and more drilling, could let Louisiana pay what is estimated to be a $14 billion coastal restoration price tag.

“I am playing hardball,” Gov. Kathleen Blanco said in a weekend interview.

Reuters