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Nigeria’s oil and challenges #EssenceOfOil

1. Nigeria is the 3rd largest exporter of crude oil & the 9th largest natural gas producer #EssenceOfOil
2. In the 1960s Government interest in #EssenceOfOil was limited to collection of taxes, royalties and lease rentals
3. In 1969,the Petroleum Act vested ownership & control of oil in Nigerian land or waters in the Fed Govt #EssenceOfOil
4. The Land Use Act (LUA) 1978 also enables transfer, ownership & control over land to the Fed Govt #EssenceOfOil
5. So, LUA & Petroleum Decree divested the control and management of oil bearing lands from the NigerDelta People #EssenceOfOil
6. The Petroleum Act covers oil exploration, prospecting & production rights #EssenceOfOil
7. The Land Use Act (LUA) 1978 sought to manage the uniformity of laws governing land-use and ownership #EssenceOfOil
8. In 1977 NNPC was established to regulate and participate in the Oil Industry #EssenceOfOil
9. In 1984 the NNPC was unbundled & commercial activities remained with it while DPR handled the regulatory aspects #EssenceOfOil
10. The FGN and Oil Companies enter into JointVentureAgreements with govt as majority partner #EssenceOfOil
11. Subsequently there were Production Sharing Contracts as a result of FGNs inability to meet its JV cash calls #EssenceOfOil
12. Legislation on oil matters handled by NASS but hold Fed Govt responsible for Policy issues around the #EssenceOfOil
13. DPR, Department of Petroleum Resources is meant to be the watchdog for the nation’s oil & gas resources #EssenceOfOil
14. Ministry of Environment & its Agencies were established to protect & preserve the Nigerian environment #EssenceOfOil
15. Oil Spill Response Agency, NOSDRA est in 2006 to check oil spills across the oil exploration belt #EssenceOfOil
16. Nigeria is signatory to Intl Conventions which demand for prompt & effective action on oil pollution incidents #EssenceOfOil
17. Niger Delta Communities have not felt the impact of the NOSDRA as the environment is consistently degraded #EssenceOfOil
18. Incessant Env pollution has led to tension between communities & the oil companies on the whole #EssenceOfOil
19. Inspite of some effort to mitigate the impacts it is still not clear that Govt is pulling its weight #EssenceOfOil
20. For instance only recently FGN asked Shell to pay $5Billion for the Bonga Oil spill of Dec. 2011 #EssenceOfOil
21. Shell refuses to pay compensation as spill didn’t reach the shoreline before it was contained #EssenceOfOil
22. Communities complain that no cleanup of the spillage had been carried out by Shell since Dec 2011 #EssenceOfOil
23. NOSDRA DG says Shell was sanctioned as administrative penalty not a compensation to the community #EssenceOfOil
24. Shamefully, NOSDRA DG says Post Impact Assessment (PIA) will happen only after funding is secured for it #EssenceOfOil
25. Meanwhile, Shell spilled 40,000 barrels which impacted about 950sq kms of ocean & waterways #EssenceOfOil
26. Shell MD ~ status of spill could not be known till about the end of 2012 #EssenceOfOil
27. Did Mobil have the audacity to tell Obama to wait 6 months before they will pay their fines? #EssenceOfOil
28. Would Americans have tolerated such rubbish from an oil company? Egunje don spoil countri! #EssenceOfOil
29. More degradation of the Niger Delta without compensation for communities dependent on that ecosystem #EssenceOfOil
30. Sustainable business requires profits to be made without hurting people, their livelihoods or the planet #EssenceOfOil
31. Shell’s expenditure on CSR is insignificant when compared to the huge damage it has caused the Niger Deltans #EssenceOfOil
32. Shell is responsible for more than 60% of the gas flared in Nigeria #EssenceOfOil
33. Federal Govt fails to adequately enforce & control regulations and standards within the industry #EssenceOfOil
34. Nigeria must separate money making inst from policymaking or regulatory inst in the oil & gas sector #EssenceOfOil
35. Handling of management & protection of land by fed Govt reveals absence of the will to protect the people of Nigeria #EssenceOfOil
36. Activities of oil companies in the NigerDelta: gas flaring,oil spills affect the wellbeing of the indigenes #EssenceOfOil
37. Constitution demands that Govt. protects the environment & safeguards the water, air, land, forest & wildlife #EssenceOfOil
38. Nigeria is a signatory to the International Oil Pollution Response & Co-operation Convention #EssenceOfOil
39. Did you know that the Convention provides for prompt response to effects of oil spill? #EssenceOfOil
40. If it is laws, we have more than enough of them but our govt lacks the will to be sincere, fair or accountable #EssenceOfOil
41. And now? The fed Government is in the process of passing the Petroleum Industry Bill (PIB) #EssenceOfOil
42. The PIB is a product of over 78 oil and gas laws & regulations brought together into one document #EssenceOfOil
43. The PIB attempts to revise the legal, fiscal and regulatory framework of the #EssenceOfOil
44. The PIB is supposed to revolutionize and transform the #EssenceOfOil Sector
45. PIB has been accused of being watered down&designed to favour the Oil&Gas majors at the expense of Nigerians #EssenceOfOil
46. PIB is termed weak in regard to taxes as its written by operators for operators, thus increasing corruption #EssenceOfOil
47. PIB has no improvement on gas flaring. For that to happen, Nigeria would have to pay its own JV debts #EssenceOfOil
48. FGNs multiple roles as investor, regulator and enforcer has increased inefficiencies and mismanagement of #EssenceOfOil
49. It is this complicity that oil companies neglect oil spills management & compensation for communities #EssenceOfOil
50. Are the Oil companies required by law to pay compensation or penalties only in the event of a spillage? #EssenceOfOil
51. When the compensation/penalties are paid, does anything return to the Community since land is vested in Govt? #EssenceOfOil
52. PIB says if oil infrastructure is damaged, community will lose benefits accruing to it. So oil majors can sabotage? #EssenceOfOil
53. When land & its resources are vested in the Govt is it meant to deprive the Community of benefits from use? #EssenceOfOil
54. Are Oil Companies negligent because FGN inspite of the laws,regulations&agencies chose to be ignorant? #EssenceOfOil
55. Watch out for the launch of the Web portal on the #EssenceOfOil where you can research more details and insights

courtesy Public Integrity Networks @PINS2015 on twitter

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About Japh

Taking Nigeria to the world one city at a time...five continents so far covered but there is a lot more to be done. Gracing platforms across nations and spreading the message of Liberty, opportunity and Africa's ability to survive and thrive on the principle of economic freedom. Curator Omojuwa.com

One comment

  1. As i write,in the moment, thousand of people aree being killed,wounded,hunted,tormented,ill-treated,delivered up to the most intolerable and hopeless anxiety and destroyed morrally and menttally,in the name of oil spill in the world,there is nthing in sigth at present to arrest this spereding processand prevent its reaching you and yours .Its coming for you and yous now at great pacein so far we are rational foreseing creatuers their is nothing for any of us now to make oil spill nigerians problem the ruling intrestand directin of our lives.If we run away from it it will pursue and get us ,we have to face it,we have to solve it or be destroyed by it.is urgent and comprehensive as that.PIBDPR>are nothing to compront this gloval problem.

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