By Pip Hinman
A two-month long oil spill in the south-eastern part of the Niger delta in Nigeria is wrecking havoc on the local population and ecology. To date, the operating company, Royal Dutch Shell, has done nothing to stop the flow. Greenpeace says that this is yet another example of the malpractice of this giant petrochemical company which likes to masquerade as environmentally responsible.
The oil spill from Shell's Korokoro pumping station in the Ogoni region has brought the oil giant's double standards to international attention, but according to Greenpeace's Andrea Goodall, it only touches the surface of the company's environmental and social destruction in the country.
The Oil Spill Intelligence Report, a 10-year spill record commissioned by Greenpeace, has revealed that Shell's major spills in Nigeria total a massive 7.4 million litres. Of the major spills from Shell operations in over 100 countries worldwide, 40% occurred in Nigeria, according to the report. Shell is the world's second biggest company in terms of sales ($US107,000 million) after General Motors ($US125,000 million).
The spill, which continues to bubble into a near-by stream is devastating Ogoni farmland and costing communities their water supply Goodall said. "The air stinks. The few fish left from spills before it are dying. Vegetation is coated with oil, then killed by oil."
The oil-rich Niger Delta is a catchment area for over 20 river systems. Six million people depend on the Niger Delta's fertile fishing grounds and agricultural land. As only 30% of the Delta is unaffected by heavy flooding, the remaining land has to support a concentrated population.
Heavy competition for land
There are more than 250 ethnic groups in the Federal Republic of Nigeria. The Ogoni, economically reliant on agriculture, occupy about 400 square miles of the easterly extension of the mainland fringe bordering the eastern Niger Delta. The population density of about 1250 persons per square mile is among the highest in any rural area of the world and compares with the Nigerian national average of 300.
But the heavy competition for land between the Ogoni and the oil companies has seen the local community forced out. Because the land they are competing for is being poisoned from oil activity as a result of Shell's operating malpractice in a region where environmental regulations remain largely ignored or non-existent, the community is becoming increasingly vulnerable.
Given that the Ogoni can no longer live off the land — they are now importing food. And because the fishing industry can no longer provide a future for employment, the younger generation is moving away or work elsewhere. This is the direct environmental impact of the destructive activity of Shell.
If the present practices continue, many fear that the Ogoni will be extinct within 20 to 25 years. It is because of this that Shell's activities have been described as "genocidal".
Ogoni fights for justice
Since 1958, the Ogoni have been attempting to confront the oil companies — Shell in particular — over their irresponsible activities, double standards and paltry compensation payments. It is estimated that Ogoni land has contributed $US30 billion in oil revenues, yet, facilities for the local community are minimal.
Nigeria, the world's eighth largest oil producer, accounts for almost 14% of Shell's global oil production and Shell's sales rank 23rd in global GNP terms. The Ogoni have been petitioning Shell since 1970 about a number of issues including:
- The high pressure pipelines which run directly through villages, virtually across the doorsteps of Ogoni homes.
- The fact that all vegetation — particularly Mangrove swamps — is dying as a result of wastes from the oil exploration entering the river system.
- The use of outdated equipment, which has increased spillages, blowouts and other technical failures.
In its defence, Shell points to the 3% royalty set aside for the Ogoni as dislocation compensation. However, this figure was
originally 1.5% and only doubled after mounting criticism over the Umuechem massacre where 80 locals were killed in a protest against Shell in 1990. Shell originally tried to use the increase in royalty as proof of its "community assistance". But mounting evidence of Ogoni poverty has seen it disclaim all responsibility, saying that the Ogoni concerns are an internal matter for the government.
Greenpeace says it is unacceptable for Shell to, on the one hand, deny involvement in a matter it considers an internal affair, but on the other, continue to negotiate with the Nigerian military regime — now considered illegitimate by most of the world — over oil production.
Shell's green rhetoric
Greenpeace has described Shell's claim that it operates under uniform standards worldwide as a complete joke. "Would they allow oil spills like this to pour into the English countryside for this long?", Goodall asked.
In early August a Shell representative told journalists that the company abides by Nigerian law. "This is simply untrue", Goodall said. "Shell have been prosecuted for flaring gas. Nigerian law prohibits gas flaring but Shell pays the fines and continues to do so — often right next to communities, causing much noise and air pollution."
According to the March 16, 1992 Financial Times, 77% of natural gas extracted in Nigeria is flared: only 8% is reinjected into the ground as required under Nigerian law. The Nigerian government is reported to be losing around $540 million a year in revenue through gas flaring.
The Niger Delta is also under threat from sea level rise as a result of climate change, and oil and gas extraction is increasing this threat through subsidence. So vulnerable is this region that the United Nations Environment Program is currently conducting research into the impacts of climate change on the Niger Delta. It is ironic that oil and gas exploration, while providing the government with its largest source of income, is advancing the sinking of the land.
While the oil continues to spill in Nigeria, green rhetoric continues to flow from Shell's public relations departments. A Shell Petroleum Development Company of Nigeria (SPDC) publication titled "Community Development" attempts to portray the company as deeply committed to assisting Nigerian farming communities.
But Shell knows it has an image problem. Leaked minutes from a company meeting on community relations and environment held in February in London and The Hague show that the Shell's main interests lie in protecting "the reputation of the [Shell] Group as a whole". The meeting agreed that, because of escalating media attention, action was needed on spills and gas flaring. Improving staff motivation and training would reduce oil spills from Shell operations, according to the document.
Around 94% of Nigeria's foreign earnings comes from crude oil (cocoa accounts for 2% and other petroleum products, 1%). The Nigerian government has committed itself to a five-year plan that will see an increase in the country's oil production capacity to 2.5 million barrels per day, boosting proven reserves to over 20 billion barrels by the end of this year.
Greenpeace is concerned that this will allow oil companies to further exploit Nigeria's resources at the expense of its people. Since no independent environmental impact assessment has been carried out in Ogoni, the long-term impacts of Shell's operations on the Ogoni environment and people remain unknown. If Shell has conducted any environmental assessments, as it claims, Greenpeace has demanded that they be made public.
"The Ogoni experience shows that, only in terms of environmental and social destruction, 'You Can Be Sure of Shell'", Goodall said. "It's time for Shell to act responsibly — to start protecting the environment rather than just its' reputation."