he Niger Delta is one of Nigeria’s least developed regions and one of the most polluted places on earth. Hundreds of oil spills from Shell-owned pipelines have contributed to environmental degradation and economic stagnation as well as generated health complications among the region’s residents. This in turn has played a major role in the underdevelopment of the Niger Delta. Despite this, Shell has rarely been held accountable for the destruction caused to the Niger Delta region. The international community needs to do more to hold Shell to account and protect the Niger Delta.
Nigeria is the leading oil producer in Africa—with the oil and gas sector constituting over 95% of the country’s foreign-exchange earnings. Shell established its Nigerian subsidiary, Shell Petroleum Development Company (SPDC), in 1936 and today Shell is the largest producer of oil in the country. Since 2011, Shell has reported 1,010 oil spills, with 17.5 million liters of oil lost. Studies have shown that these oil spills have harmed the agricultural and fishery sectors which is devastating the Nigerian economy. Particularly as the agricultural sector employs 36.5% of the national labor force. Shell claims that its oil spills are due to theft and sabotage. However, the United Nations Environment Program reported that a lack of maintenance on the part of Shell was also a leading cause of oil spills. Further, in 2002, Shell disclosed that it was aware that its pipelines were a major risk and hazard.
In its 2016 sustainability report, Shell states that it has been working with the International Union for Conservation of Nature since 2012 to “improve remediation techniques and protect biodiversity at sites affected by oil spills in the Niger Delta.” While there was a steady decrease in the volume of operational spills since 2016, in 2021 the volume of oil spills reached 3,300 tons, a number similar to those seen in 2016. A 2019 study revealed that in 2012 this immense oil pollution resulted in the death of 16,000 babies within their first month of being born. Another study found that oil pollution has increased the risk of kidney damage, cancer, diabetes, and Parkinson’s disease amongst those living in oil polluted areas.
A group of 42,500 Nigerian farmers and fishermen sued Shell in the UK Supreme Court after years of oil spills in the Niger Delta land and groundwater. In 2021, the English court ruled that Shell was responsible for these oil spills. While this was a win for communities in the Niger Delta, these actions are not enough to deter Shell from their extractive behavior and lawsuits take years to be resolved. The most recent example of this is from another 2021 ruling where Shell was forced to pay $111.68 million to settle a major oil spill that occurred during the Nigerian Biafran war more than 50 years ago. Given the time it requires to reach these settlements in slow-moving courts, it hardly registers in Shell’s business calculations—particularly when compared to their annual profits.
Shell’s continued violation of environmental rights in the Niger Delta is the result of the Nigerian government’s failure to effectively regulate the oil industry. International actors need to step up and highlight the role of oil industries in the underdevelopment of the Niger Delta region. Until this is done, we will continue to allow the perpetrators off the hook. Amnesty International reported that in 2015 Shell generated a profit of $15 billion. Shell’s immense profits from the oil industry easily allow them to absorb these penalties without being motivated to change their behavior. Suing Shell is not enough.
Shell’s operation in Nigeria is a testimony that sometimes the companies that are supposed to facilitate development can instead lead to underdevelopment. Shell has been a bad faith actor in the Niger Delta because for years, Shell has failed to stop or clean up its oil spills. The people of this region have suffered life-changing health consequences because of oil pollution and their sources of livelihood have been destroyed. Despite the numerous lawsuits against Shell, it has continued to pollute the Niger Delta region. We cannot let Shell continue to buy their way out of accountability.
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To Save the Niger Delta, Lawsuits Are Not Enough
Photo by Beth Jnr via Unsplash.
June 21, 2022
The once flourishing Niger Delta faces underdevelopment and is among the most polluted areas of the world—largely due to oil spills. New policies to penalize companies for this pollution are needed writes Stephanie Uviovo.
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he Niger Delta is one of Nigeria’s least developed regions and one of the most polluted places on earth. Hundreds of oil spills from Shell-owned pipelines have contributed to environmental degradation and economic stagnation as well as generated health complications among the region’s residents. This in turn has played a major role in the underdevelopment of the Niger Delta. Despite this, Shell has rarely been held accountable for the destruction caused to the Niger Delta region. The international community needs to do more to hold Shell to account and protect the Niger Delta.
Nigeria is the leading oil producer in Africa—with the oil and gas sector constituting over 95% of the country’s foreign-exchange earnings. Shell established its Nigerian subsidiary, Shell Petroleum Development Company (SPDC), in 1936 and today Shell is the largest producer of oil in the country. Since 2011, Shell has reported 1,010 oil spills, with 17.5 million liters of oil lost. Studies have shown that these oil spills have harmed the agricultural and fishery sectors which is devastating the Nigerian economy. Particularly as the agricultural sector employs 36.5% of the national labor force. Shell claims that its oil spills are due to theft and sabotage. However, the United Nations Environment Program reported that a lack of maintenance on the part of Shell was also a leading cause of oil spills. Further, in 2002, Shell disclosed that it was aware that its pipelines were a major risk and hazard.
In its 2016 sustainability report, Shell states that it has been working with the International Union for Conservation of Nature since 2012 to “improve remediation techniques and protect biodiversity at sites affected by oil spills in the Niger Delta.” While there was a steady decrease in the volume of operational spills since 2016, in 2021 the volume of oil spills reached 3,300 tons, a number similar to those seen in 2016. A 2019 study revealed that in 2012 this immense oil pollution resulted in the death of 16,000 babies within their first month of being born. Another study found that oil pollution has increased the risk of kidney damage, cancer, diabetes, and Parkinson’s disease amongst those living in oil polluted areas.
A group of 42,500 Nigerian farmers and fishermen sued Shell in the UK Supreme Court after years of oil spills in the Niger Delta land and groundwater. In 2021, the English court ruled that Shell was responsible for these oil spills. While this was a win for communities in the Niger Delta, these actions are not enough to deter Shell from their extractive behavior and lawsuits take years to be resolved. The most recent example of this is from another 2021 ruling where Shell was forced to pay $111.68 million to settle a major oil spill that occurred during the Nigerian Biafran war more than 50 years ago. Given the time it requires to reach these settlements in slow-moving courts, it hardly registers in Shell’s business calculations—particularly when compared to their annual profits.
Shell’s continued violation of environmental rights in the Niger Delta is the result of the Nigerian government’s failure to effectively regulate the oil industry. International actors need to step up and highlight the role of oil industries in the underdevelopment of the Niger Delta region. Until this is done, we will continue to allow the perpetrators off the hook. Amnesty International reported that in 2015 Shell generated a profit of $15 billion. Shell’s immense profits from the oil industry easily allow them to absorb these penalties without being motivated to change their behavior. Suing Shell is not enough.
Shell’s operation in Nigeria is a testimony that sometimes the companies that are supposed to facilitate development can instead lead to underdevelopment. Shell has been a bad faith actor in the Niger Delta because for years, Shell has failed to stop or clean up its oil spills. The people of this region have suffered life-changing health consequences because of oil pollution and their sources of livelihood have been destroyed. Despite the numerous lawsuits against Shell, it has continued to pollute the Niger Delta region. We cannot let Shell continue to buy their way out of accountability.
