An evaluation of the regulatory framework for environmental management in the Nigerian petroleum industry

• Jurisdiction: South Africa
• Published date: 11 August 2020
• Date: 11 August 2020
• Pages: 32-55
• Author: Ordor, A.

32

AN EVALUATION OF THE REGULATORY

FRAMEWORK FOR ENVIRONMENTAL

MANAGEMENT IN THE NIGERIAN

PETROLEUM INDUSTRY

Opeyemi Omotuyi* and Ada Ordor†

Abstract

Environmental management is crucial to the sustainability of any industry and, in

particular, the petroleum industry which carries out activities that degrade the

environment. In Nigeria where the economy is heavily dependent on crude oil, the

subject of environmental management is even more pertinent. This paper evaluates

the framework for environmental management in the Nigerian petroleum industry

in light of internationally acceptable standards of corporate environmental

management. In so doing, the paper makes relevant recommendations in line with

international and industry-related best practices and guidelines.

Key words: environmental management, Nigerian petroleum industry,

sustainability, crude oil

Résumé

La gestion de l’environnement est cruciale pour assurer la durabilité de toute

industrie et en particulier de l’industrie pétrolière, qui inclut des activités qui

dégradent l’environnement. Au Nigeria, où l›économie est fortement dépendante de

la production du pétrole brut, la question de la gestion environnementale est encore

plus pertinente. Cet article évalue le cadre juridique de la gestion environnementale

dans l’industrie pétrolière nigériane à la lumière des normes de gestion

environnementale des entreprises reconnues au niveau international. Ce faisant,

l’article formule des recommandations pertinentes conformément aux meilleures

pratiques et directives internationales et celles émanant de l’industrie.

Mots-clés : gestion environnementale, industrie pétrolière nigériane,

durabilité, pétrole brut

Introduction

The activities of the petroleum industry inherently affect ecosystems, human

health, and local cultures.1 The alteration of the environment as a result of

the exploration, drilling and extraction activities of the industry could have

* LLM University of Cape Town. Lecturer, Faculty of Law, Adekunle Ajasin University, Akungba

Akoko, Ondo State, Nigeria. E-mail: opeyemiomotuyi@gmail.com

† Associate Professor, Centre for Comparative Law in Africa, Faculty of Law, University of Cape

Town. E-mail: Ada.Ordor@uct.ac.za

1 O’Rourke, D. & Connolly, S. ‘Just oil? The distribution of environmental and social impacts of

oil production and consumption’ (2003) 28 Annual Review of Environment and Resources 594.

(2019) 6(2) Journal of Comparative Law in Africa 32

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AN EVALUATION OF THE REGULATORY FRAMEWORK FOR ENVIRONMENTAL

MANAGEMENT IN THE NIGERIAN PETROLEUM INDUSTRY 33

adverse impacts such as deforestation, ecosystem destruction, contamination

of land and water, harm to the animal population and human health, safety

risks, noise and air pollution, displacement of indigenous communities, among

other things.2 The Nigerian petroleum industry is not an exception and has, in

fact, come to typify the grave consequences of environmental degradation in

the industry. The Nigerian petroleum industry has been g reatly criticised for

the debilitating impacts of its activities on the environment and population

of the oil-rich Niger Delta region.3

As a result of the high volume of exploration and exploitation activities

in the Niger Delta region,4 oil spills are an all too frequent occurrence

and with very little recovered, most of the spill is absorbed by the

environment. Thus, there has been gradual environmental degradation of

the region with pollution of waters, destruction of aquaculture, vegetation

and agricultural land. However, if properly and adequately managed, such

adverse environmental impacts can be prevented, mitigated, or where

appropriate, remediated.

This paper proceeds in section two to examine the existing legal and

institutional framework for environmental management in the Nigerian

petroleum industry. Adopting a comparative approach, section three

evaluates the domestic framework vis a vis internationally acceptable

standards and industry-based guidelines, as well as counterpar t frameworks

in other jurisdictions. Based on the comparative study, section four

proposes relevant and practical recommendations.5

Legal and institutional framework for environmental management

in the Nigerian petroleum industry

The legal foundation for environmental protection in Nigeria is provided

by the Constitution, which vests in the government of Nigeria the power

to protect and improve the environment and safeguard the water, air,

2 Ibid. See also Caswell, M.F., Balancing Energy and the Environment, in Gilbert, R.J. (ed) The

Environment of Oil (1993) 179; Epstein, P.R. & Selber, J. 2002. Oil: A Life Cycle Analysis of its Health

and Environmental Impacts, The Centre for Health and the Global Environment, Harvard Medical

School; Yousif, K.K. & Dorsey, N.S. ‘Environmental issues of petroleum exploration and production:

Introduction’ (2005) 12 Environmental Geosciences 61; Finer, M., Jenkins, C.N. Pimm, S.L. Keane, B.

& Ross, C. ‘Oil and Gas projects in the Western Amazon: Threats to wilderness, biodiversity, and

indigenous peoples’ (2008) 3 PLoS ONE: e2932 1.

3 United Nations Development Programme (UNDP), 2006. Niger Delta Human Development

Report 2006, Abuja: UNDP; Chijioke-Evoh, J. ‘Green crimes, petro-violence and the tragedy of oil:

The case of the Niger Delta in Nigeria’ (2009) 4 Journal of Law, Politics and Societies 56; Eregha, P.B.

& Irughe, I.R. ‘Oil induced environmental degradation in the Nigeria’s Niger-Delta: The multiplier

effects’ (2009) 11 Journal of Sustainable Development in Africa 163-165; Olubayo, O. ‘Oil exploitation

and human rights violations in Nigeria’s oil producing communities’ (2012) 25 Afrika Focus 160.

4 For instance, Nigeria produced an average of 1.6million barrels of oil per day in 2018, see

the Organisation of the Petroleum Exporting Countries (OPEC) Annual Statistical Bulletin 2019,

table 3.4.

5 The Constitution of the Federal Republic of Nigeria 1999 (as amended) s 1.

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