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ABSTRACT
This research work focuses on the politics of oil exploration in Rivers State: A case study of Egiland on the course of ensuring the success of this work, in chapter one and two, the background of this study was on the problem of oil exploration in Egiland. In chapter three, questionnaire was constructed based on research questions and administered to elicit information from the respondents. This followed with the method and instruments for the study. And chapter four analyzes the study using simple percentage. From the result, it was revealed that the people benefit more in scholarship awards than employment and provision of few social amenities. In order to combat the politics of oil exploration, the people in an oral interview suggested that provision of pipe-borne water, electricity, good access to roads throughout the communities and paying adequate compensation. They also suggested building of well-equipped hospitals in the community for daily healthcare of the people.
CHAPTER ONE
1.0 Introduction
1.1 Background of the Study
Egi community in Ogba/Egbema/Ndonni Local Government Area of Rivers State, Nigeria is one of the largest reservoirs of crude oil in Nigeria and has experienced oil exploration and exploitation activities for many decades. The Egi clan is made up of seventeen (17) communities shared among its four zones: Etiti zone, Ahiahu zone, Umu-Obo zone and Usomini zone. Total Exploration and Production Nigeria Limited (TEPNL) otherwise known as ELF is the main oil company operating in the area. Apart from several oil gas wells and flow station within Egi clan, ELF also operates a gas plant in the area yet development and compensation has always been the problem of the inhabitant of Egi clan because of the leadership in the country, the companies and the communities as well.
The development of the oil industry in Nigeria began as far back as 1908 when German company, the Nigeria Bitumen Corporation started exploration in the Araromi area of the present Ondo State. Their pioneering efforts however ended with the outbreak of the First World War in 1914. In 1938 oil exploration resumed in Nigeria by Shell Petroleum Development Company which was awarded the sole concessionary rights covering the whole territory of Nigeria. Their activities were again interrupted in the Second World War, but resumed in 1947. This yield little result when they struck oil at Owerri though not of commercial quantities. It was not until 1957 when oil was discovered in commercial quantities at Oloibiri (old Rivers State), in the Niger Delta. After several years of search and investment of over thirty million naira (N30,000,000), Shell Petroleum Development Company (SPDC) started oil production and export from its Oloibiri field in 1958 at a production rate of 5,100 barrels of crude oil per day.
By 1961, other companies such as Mobil, Gulf, Agip, Satrap (now TEPNL), Tenneco and Amoseas (now Texaco Chevron) had began exploration activities for oil in the onshore and offshore areas of Nigeria. The exploration which was earlier granted to Shell Petroleum Development Company (SPDC) alone, was extended to the new companies in line with the government’s policy of increasing the pace of oil exploration in the country.
However, the impact of oil exploration in Egi land is disheartening as it’s been mostly on the negative. The negative impact can be traceable to the politics of oil exploration in Egiland, as it is seen in the area of:
Employment: There is a standing memorandum of understanding (MOU) between the oil companies operating within Egi land and the Egi community as to how quality indigenes of Egi community would be employed into the companies but this MOU over time has been neglected and abandoned by the oil companies due to some corrupt leaders representing the oil companies offering bribes to the community leaders thereby selling jobs meant for the members of the community. This has not only affected the youths of Egi land but also the entire Egi community as these youths do venture into practices that do oftentimes keep the community restless as a way of getting greener pasture. It also discouraged a lot of young men from pursuing their education seeing their friends and relatives who have gone through school sitting and doing nothing, while jobs meant for them are being done by others.
Directional Drilling (DD): This is a technological process whereby oil/gas can be drilled from a far distance without the knowledge of the community where it is resident. This act has been the order of the day for many oil and gas companies as a way of reducing the supposed communities a non oil and gas producing communities.
There are benefits meant for the families and communities where oil and gas exploration is taking place in particular. Those communities that are not aware of this are usually termed non-producing communities therefore no benefits is given to them.
Social Amenities: The provision of social amenities as a way of supporting the standard of living and the development of host communities is part of the agreement reached through the Memorandum of Understanding between the companies and the communities especially in the area of good link road, well equipped hospital and schools, market, recreational and skill acquisition centers, etc. As part of their responsibilities, the companies usually award such contracts to its staff and friend who would do inferior jobs and abandoned projects. This can be seen among the communities in Egiland.
Scholarship Awards: The scholarships meant for the students of the communities are rather sold to those who can buy and awarded to only the children of Total E&P staff. Those who are lucky to have suffered no payment syndrome as they have no one to speak for them inside the company. This also has kept many students to drop out of school and some completely avoid going as they have no one to support them.
Skill Acquisition Programmes: The skill acquisition that is meant to be a means of empowerment is now not more than mere seminars as the skills are only being taught without empowerment and most times no practical knowledge.
This operation of oil companies within Egiland can be traced to far back 1964 when oil exploration was discovered in Obagi. It later spread to the discovery of oil in Ogbogu, Oboburu, Akabuka, and Erema, etc. all in Egiland. In 1983 when the production rate of oil in Nigeria rose from 40,000 barrels to 100,000 barrels per day thereby making Obagi fields (Egiland) the highest in Nigeria at large. Whereas, Egiland has been a major contributor of Nigeria Economy thus far, yet, life of its citizens is below the standard of life of an average Nigeria.
Therefore, this study is to examine the politics of oil exploration in Egiland.
1.2 Statement of the Problem
Even though there is a high demand for petroleum product all over the world in the international market, Nigeria whose economy is mostly dependent on the oil and gas which Egiland top the list of producers, yet, the damages caused by these operations through gas flaring and exploration, no specific thing that was done to equate what they get. No indigene of Egiland has occupied the position of the group managing director and other key positions, since their inception.
To this end, Egi people are yet to completely realise the importance of being host to multinationals like Total formally known as ELF. Over the years they have waited to no avail. In response to this total neglect, they resulted to confrontation which also introduced cultism, armed robbery, kidnapping, etc. Creating employment based on equity will go a long way to ameliorate all the negative politics of divide and rule introduced by these multinationals in Egiland.
1.3 Purpose of the Study
This study will examine the:
- Effect of oil and gas exploration in Egiland.
- Impacts of oil exploration in Egiland.
- Crises between the oil companies and their host communities.
- Proffer solutions to the crises of oil exploration in Egiland.
1.4 Research Questions
The following research questions will guide the study:
- What are the effects of oil exploration in Egiland?
- What are the impacts of oil and gas exploration in Egiland?
- What are the causes of the crises between the oil companies and their host communities?
- What could be the solutions to the crises of oil exploration in Egiland?
1.5 Significance of the Study
This research work intends to create a positive impact through providing sustainable solution in tackling oil politics in Rivers State; most especially in Egiland for peace and security to reign. The findings of this study will enable us to deal with the problems of oil politics, that has legalise corruption and militancy in the land and deprive the people from sustainable peace and security that will bring development to the host communities.
This research work will act as a guide to teachers, students, oil companies, host communities in Egiland, government, legal practitioners, non-governmental organization (NGOs), social studies students and other disciplines who intend to carry out a research on oil politics in Rivers State, most especially Egiland.
It will also serve as an additional information to oil companies on the steps to take with their host communities.
Furthermore, the study is intended to act as an eye opener to indigenes of Rivers State on the political effects of oil exploitation and will also be useful for further research and researchers.
1.6 Scope of the Study
The scope of the study will be limited to Egiland which is the study area with seventeen (17) communities. However, this research work will be limited to just six (6) communities out of the 17 communities and they are as follows: Obagi, Ogbogu, Oboburu, Akabuka, Erema and Obite.
It is these communities alone that this research work will be carried out because time and resources are not on the side of the researcher. Also, this scope is informed by the fact that the research intend to present an in depth analysis of the situation and for this reason a wide scope will make such idea futile.
1.7 Limitation of the Study
The study was limited as follows: Inadequate source of research materials to guide the study was lacking as the research had difficulty in reaching research materials and information on this topic, as well gathering information from individuals in the host communities. Also, there was no sufficient time; hence this research period coincided with lecture periods, and as well preparing for examinations.
Finally, insufficient funds also limited the work as the recent trends of the economy affected it tremendously.
1.8 Definition of Terms
These are words and phrases used in this study for the purpose of clarity and understanding:
– Politics: Politics in this work is a game or an activity that is used in running an organization.
– Petroleum: It is a liquid substance, that consists of hydrocarbons.
– Production: It means the conversion of raw material into finished goods.
– Exploration: It means the act of searching in order to discover resources.
– Exploitation: It means the act of marginalizing someone thereby making the person be in a disadvantageous side.
– Pollution: It is the contamination of the environment thereby not making it safe for human to reside.
1.8 Definition of Terms
Oil spillage: This is an outburst of unrefined crude oil from broken oil pipeline or tankers into water bodies or land.
Pollution: This is the presence of substances in our environment that are capable of altering the physical, biological and chemical characteristics of the environment which is harmful to man.
Environment: This is the aggregate of the substance and circumstance that contributes to the existence of man and which affects man in turn either positively or negatively.
Fauna: These are all animals living in an area over a particular period of time.
Flora: These are plants of a particular area, type of environment or period of time.
Ecosystem: This is a natural unit in which there is an interaction between all living organisms (biotic factors) and non-living organisms (abiotic factors) within an environment or habitat.
Vegetation: This refers to a group of naturally occurring plants growth in an ecological zone.