The allure of black gold has fuelled economic growth and technological advancements for decades, but its extraction comes at a steep cost. Oil exploration and production, particularly by International Oil Companies (IOCs), have left behind a legacy of environmental devastation and public health crises across the globe. From polluted water sources to respiratory illnesses, the impact on communities is undeniable, raising the question: how can we hold IOCs accountable for the damages they inflict and ensure compensation for those affected? . ROLAND OGBONNAYA writes
The Niger Delta region of Nigeria, rich in natural resources, has long been the epicentre of the country’s oil production. However, this wealth has come at a significant cost to local communities, resulting in severe environmental degradation and health crises. The impact of oil exploration activities has led to widespread pollution of land and water, deforestation, and a range of health issues for the inhabitants of this region. As communities and activists rally for accountability, the challenge of securing compensation from International Oil Companies (IOCs) for these environmental and health damages remains a contentious issue.
Oil spills, gas flaring, and the destruction of ecosystems are rampant in the Niger Delta. According to various reports, the region experiences thousands of spills annually, releasing toxic substances into the environment and exacerbating issues such as soil infertility, water contamination, and loss of biodiversity. These environmental hazards have direct repercussions on public health, contributing to respiratory illnesses, skin diseases, and long-term health impacts related to exposure to harmful chemicals.
Local fishing and farming, vital sources of livelihood for many communities, have also been severely affected. Blackened waters and tainted land mean that traditional industries suffer, leading to economic instability and food insecurity. This crisis has incited protests, social unrest, and an increasing demand for both remediation and compensation from the responsible oil companies.
Despite the overwhelming evidence of environmental and health damages, obtaining compensation from IOCs is fraught with difficulties. The legal frameworks governing oil extraction in Nigeria are often criticised for being inadequate, allowing companies to evade responsibility. Local communities face numerous obstacles, including lengthy legal battles, bureaucratic challenges, and a lack of access to adequate legal representation. Furthermore, there have been instances where IOCs resort to legal loopholes or negotiated settlements that fall short of comprehensive accountability.
Internationally, the principles of corporate social responsibility (CSR) and environmental ethics are gaining traction, yet enforcement remains inconsistent. The Nigerian government, alongside international bodies, has a role to play in creating a more robust regulatory framework that mandates IOCs to take responsibility for their operations and ensure that affected communities receive fair compensation and support.
In response to these challenges, grassroots movements and non-governmental organisations are amplifying the voices of impacted communities. They have focused on raising awareness regarding the social and environmental injustices faced by these communities.
Interestingly, a conference in Abuja during the week gave some of the oil communities to reiterate the call for compensation from the IOCs.
Bayelsa State Governor, Duoye Diri, leading the pack, demanded from international oil companies (IOCs) US$12 billion over the course of 12 years for the repair, remediation and restoration of the environment and public health damage caused by oil and gas exploration and to lay the foundations for Bayelsa’s just transition towards renewable energy and opportunities for alternative livelihoods.
The governor, who made the demand on Wednesday in Abuja at the International Oil Pollution and Just Transition Conference, lamented that: “Not too many decades ago, we could cast nets into abundant waters, reaping enough catch to nourish entire families. However, the oil boom has brought doom. Our lifeblood – our rivers – now flow with toxic oil residue instead of vibrant life.
“We are a people of the river and the land; fishing and farming were once our essence. These vocations passed down through generations, taught us patience, respect for nature, and the value of hard work. But the unchecked activities of International Oil Companies (IOCs) have turned the prolific rivers and fertile soil of Bayelsa into a wasteland.”
He equally decried that: “Our breadwinners, robbed of their ancestral legacy, toil on unforgiving, polluted land and fish in toxic waters, only to return with empty nets. Their families face crippling hunger and suffocating despair.”
The governor, who revealed that he just received a report from the Bayelsa State Oil and Environmental Commission, titled “An Environmental Genocide: Counting the Human and Environmental Costs of Oil in Bayelsa, Nigeria,” said: “One study estimates that in 2012 alone, oil spills in Nigeria, and predominantly in the Niger Delta resulted in over 16,000 additional neonatal deaths.”
He stated: “Indeed, Oil pollution and relentless gas flaring have engendered a grim tapestry of alien health conditions in Bayelsa; children are being born with severe deformities, respiratory diseases flourish, stubbornly defying even the most advanced medical interventions and therapies. Cancers, once a rarity have surged in prevalence, infiltrating the villages like a spectre that haunts the very fabric of daily life.
“The environment itself has become a crucible of suffering. The air hangs thick with toxins, while the water, once a source of life, now flows with pollutants that carry the weight of despair.
“This unrelenting barrage of environmental degradation has transformed Bayelsa into an epicentre of health crises, forging a reality where illness and suffering have become the norm rather than the exception.”
Diri said the report notes that as a direct consequence, “Life expectancy in Bayelsa has plummeted to just 50 years” sinking well below levels deemed acceptable by global standards, adding that: “Despite these burdens, we continue to demonstrate an indomitable spirit, navigating daily struggles with a painful resilience that belies our longing for a healthier and more hopeful future.
He noted that: “This Report, therefore, has not only captured our plight, but it has also amplified our voice; a voice that has cried out for decades, unheard. For too long, we’ve pleaded for mercy, only to be met with indifference. Our children’s futures, our heritage, and our very existence hang in the balance. And today, I bring that voice before you.”
The governor said: “Let me echo a resounding call of the Commission to the IOCs that: “concerted international action to generate and invest at least US $12 billion over the course of 12 years to repair, remediate and restore the environmental and public health damage caused by oil and gas and to lay the foundations for Bayelsa’s just transition towards renewable energy and opportunities for alternative livelihoods, adding that: “This I believe is not limited to Bayelsa State alone, therefore, I call on my brother Governors from the oil producing states to join hands with us in this battle for environmental justice.”
In his welcome address, the Director of Health of Mother Earth Foundation (HOMEF), Nnimmo Bassey, said the conference comes at a pivotal moment in the socioecological history of Nigeria, noting that: “Extractivism and accompanied pollution has wreaked extensive damage in the physical, socioeconomic and cultural spheres of our national life. They have worked together to build a warped future, which must be deconstructed, and reconstructed.”
He revealed that: “The report highlighted the incredible extent of petroleum pollution in Bayelsa State and has given us a vivid picture of the extreme damage that almost seven decades of crude oil exploitation has done to the entire Niger Delta region, particularly concerning both environmental and human health. It is pure environmental genocide and there is no way to sugarcoat its horrors.”
He noted that: “The report is riddled with almost unimaginable facts. For example, it tells us that there is a 1.5 barrels per capita crude oil pollution in Bayelsa State. It affirms an atrocious level of harm visited on the state including that there is the total hydrocarbons pollution of the water in the state at 1 million times above safe or acceptable standards. One million times above safe standards.
“We note that the pollution is from both old and active wells, flow stations and pipelines. Indeed, abandoned and decrepit oil infrastructure continues to pose extreme menace to the environment and the people of the State. Some communities have been ripped apart by canalization; while others face the threat of being washed into the ocean by combined forces of subsidence, sea level rise and coastal erosion.
“Our water channels are blatantly and recklessly used as waste dumps for produced water and sundry harmful wastes in disregard to ecological and human safety. Our lands and water bodies are privatised and damaged through acts of egregious industrial vandalism and systemic environmental racism emanating from the worst forms of colonial resource extraction and land grabbing.”
The Nigerian government has, over the years, established a legal framework governing the oil industry, which includes the Oil Pipelines Act and the Environmental Impact Assessment (EIA) Act. However, enforcement of these regulations has been weak, and the benefits of oil wealth have not been equitably distributed. IOCs often negotiate contracts that grant them significant operational freedom, at times leaving communities vulnerable to exploitation and environmental harm.
IOCs, on their part, argue that they often engage in CSR initiatives as a strategy to mitigate their impact on communities. These initiatives can include investments in local infrastructure, education, health care, and economic development projects. However, critics argue that such efforts are often insufficient or poorly implemented, failing to address the root causes of environmental and health crises.
Many IOCs say they have implemented measures for environmental remediation in response to oil spills and other forms of degradation. Despite this, the effectiveness of these efforts is often questioned. Restoration can be a lengthy process, and in many cases, significant damage remains unaddressed, leading to continued suffering for local populations.
While some IOCs have acknowledged their liability to compensate affected communities, the process is often fraught with challenges. Delays in compensation payments, bureaucracy, and inadequate amounts can leave communities without sufficient means to recover. Furthermore, the process for claiming compensation is complex and can be inaccessible for many community members.