AN EXAMINATION OF SANCTIONS FOR BREACH OF ENVIRONMENTAL LAWS IN THE NIGERIAN PETROLEUM SUBSECTOR: A COMPARATIVE STUDY OF NIGERIA AND SUDAN.

  

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

The Nigerian economy depends largely on the petroleum industry for revenue generation and to drive its growth. However, the petroleum industry has been associated with major issues of accidents and disasters which have contributed to vast safety and environmental problems. Exploration and exploitation of petroleum products has obvious implications to the natural environment and human safety[1]. This is especially true for all sectors of the industry including the downstream.   

On the other hand, Sudan is a very rich developing country and also endowed with vast potential in areas of petroleum, natural gas, and petro-chemicals industry, but since independence in 1956, Sudan went over many challenges and obstacles of environmental disaster increasing ecological changes during the last four decades[2], and this clearly can be traced to petroleum industry activities. 

Conversely,  emphasis on institutional strengthening efforts to set up a policy body driven by stringent regulations and strong law enforcement apparatus to control the activities of the oil industry against environmental degradation for both countries is paramount and it is against this back-drop that this study seeks to examine sanctions for breach of environmental laws in the Nigerian petroleum subsector: a comparative study of Nigeria and Sudan.

 

Oil exploration represents a major human activity in pursuit for an essential resource for modern life. But it ensues grave catastrophes if exploration and exportation of oil are not scientifically managed and controlled, and if the oil companies are not subject to a punctual back-to-back supervision, sanctions, definitely, there would be breach in environmental laws. Usually the exploration process runs through several stages, starting from the discovering and production, up to industrialization and transportation. Such stages require special precautions such as regulatory limitations or technical instructions[3].

The World has reached many agreements, conventions and protocols to boost up international efforts to emphasize issues related to environment and natural resources management. There are more than 100’s treaties and protocols issued.  Among the main conventions relate to oil industry environmental impacts,  are the convention concerning preservation of wet lands due to common international interests. It is known as "Ramsar", and was ratified in 1971.  The main purpose of these conventions and protocols - bilaterally, regionally or internationally – is to assume protection of environment and persevering natural resources.

Ratification of such conventions and protocols is not sufficient, but instead the international society needs to abide to legislative, regulative and administrative rules stipulating execution, effectiveness and compliance with such agreements at the national level[4]. The environmental law is defined as “the legal system assigned to protect, develop and prevent damage to environment[5]”.

The issue of environment protection is regarded as one of the contemporary law systems, and a new issue in the compared law systems. This is because the right to have a clean environment is assumed to be ensued from the third claims of human rights. Such rights are grounded on social

cooperation which requires corporative interaction on the regional and international levels.

The objective of the environment protection law in oil industry is generally to organize the rules and mechanisms that maintain preservation of environmental elements which include nature protection and prevention of pollution, water and air protection, and preservation of maritime and coastal environment, natural reserves, soil and as well sanctions for offenders.  

The regulations of environment protection generally include rules concerned with prevention of environment pollution, disposal of oil leakages and oil processing discharges as well as the rules concerning the prevention of any activity that might jeopardize environment and produce polluters. Besides, these laws and regulations organize environment protection mechanisms in terms of establishment of the competent authority which will be in charge of such mechanisms, and which will be entitled to define the environmental crimes and its due sanctions along with the procedures pertaining to managing the hazardous materials and wastes, and assessment of the environmental impacts[6].

1.2 Statement of the Study Problem

There is a natural law in architecture called “nature forgiving” whereby nature forgives man activities on environment, but there is another natural law called “nature not forgiving” where the mother nature reacts to man’s activities on earth[7]. 

The rate at which oil companies carry out their production, exploration activities and their effects on the environment calls for attention of government to put measures and control.   Ahmed[8] averred that each year, over 6 million tons of CO2 are discharged to the atmosphere, due to burning of fossil fuels (oil, gas and coal), thus leading to the release of sizeable quantities of various gases which cause the Ozone to expand and the environment to become more polluted. 

It is pertinent to say that conducive environment is required by all living beings, including humans, livestock, plants, micro-organisms and wildlife for normal and healthy living. The favorable unpolluted environment has a specific composition. When this composition gets changed by addition of harmful substances, the environment is called ‘polluted’ environment and the substances polluting it are called ‘pollutants[9]’.

Most oil companies (Multinational Corporations) working in the developing countries give little consideration to the environmental safety and the environmental laws. The problem is that the consequences of the excavation operations will last some decades with potential destructive results and serious environmental hazards which include air pollution, oil leakages, associated digging liquids pollution to the soil and ground water, noise pollution, thermal pollution, and medical solid wastes at petroleum industry sites and it is against this background that this study seeks to examine sanctions for breach of environmental laws in the Nigerian petroleum subsector: a comparative study of  Nigeria and Sudan. 

1.3 Objectives of the Study

The main objective of this study is to examine sanctions for breach of environmental laws in the Nigerian petroleum subsector: a comparative study of  Nigeria and Sudan.  The specific objectives are to;

Appraise the various environmental laws in Nigeria and Sudan

Review International Treaties on environmental protection

Analyze cases of breach and sanctions in both countries

Proffer policy recommendations at the end of the study 

1.4 Literature Review

The purpose of literature review is to determine what has been written by previous authors, researchers and scholars on the subject matter in view.   This review therefore seeks to establish the extent to which prior studies and research in the area have covered this subject and specifically the findings of authors. In order to gain insight into what other writers have said on this subject and to identify the gap to be filled it is intended to review some relevant writings.

Bakheit[10]” argues that although African countries are endowed with oil and petroleum mineral resources, structural deficiencies in the regulatory and economic framework in African countries provide a leeway for corruption and lack of transparency over revenues accruing from these resources.  Adeyemi[11] ,  stressed that the main environmental challenges result from oil spills, gas flaring and deforestation.

Oil spills in Nigeria have been a regular occurrence, and the resultant degradation of the surrounding environment has caused significant tension between the people living in the region and the multi-national oil companies operating in those areas, therefore, governments need to an effective environmental law that would be used as a means of control for offenders and breach.

Ndifon[12],  argued that is only in the past decade that environmental groups, the government, and the foreign oil companies began to take steps to mitigate these events. The perceived indifference of both the government and the oil companies to the environment has been exacerbated by lack of coherent environmental control policy.  Onosode[13], in view of the of the rapidly deteriorating condition of the environment, due to oil exploration and exploitation, there is now an urgent need to protect and preserve this environment. Both Nigeria and Sudan need to align itself with the global movement towards the preservation of the environments; and this can only be achieved by means such as environmental impact assessments and strict adherence to regulations.

Kiss A and Shelton [14], environmental policies and management strategies have advanced in the petroleum industry. The allegations of involvement of communities and other local interests in the destruction of oil facilities resulting in large-scale environmental hazards, adds a new dimension to the resolution of the environmental question.

While the local people may suffer from the constraints of incomplete scientific knowledge about long-term welfare, implications of environmental degradation, indicates that environmental awareness among the people in the oil producing countries has been on the increase.

The gap that emerges from the literature review is that the laws, policies and institutions do

not adequately address the social, economic and environmental challenges facing the local community and the government, respectively, when oil exploration and production is undertaken. It also emerges that the sector has not received adequate research attention aimed at identifying the difficulties and propose recommendations for improvement. The current study is, therefore, timely and in order to fill the lacuna.

1.5 Justification of the Study

Like stated earlier, conducive environment is required by all living beings, including humans, livestock, plants, micro-organisms and wildlife for normal and healthy living and it is on that background that this study is carried out to examine the various environmental laws and analyze breach and sanctions cases to come up with improved recommendations.

The significance of this study is that the results could help in the improvement of the existing models or the development of a new environmental laws for the regulation of oil and gas exploration and production, and abuse by foreign companies and individuals.

This study is therefore of particular practical importance for the proper regulation of the oil and gas industries’ upstream activities in Africa and can assist the governments of the selected jurisdictions in their policy development on issues of upstream petroleum regulation. Finally, the study will be of immense benefits to other researchers embarking on a related topic.

1.6 Research Methodology

Research methodology is a way to systematically solve a research problem. In effect, it is a science of studying how research is done scientifically. The research method is basically doctrinal which is mainly library derived because the work is theoretical. This was mainly based on sources of information e.g. International Conventions, Constitutional provisions, legislations and judicial decisions, and secondary sources of information e.g. text books, research reports, journals, seminar papers et cetera relevant to the subject. 

The research methodology will be mixed and desktop- analytical that will involve an examination of the primary and secondary sources of the laws and regulations on the environment especially with emphasis on liability and compensation for damage arising from oil pollution in Nigeria and Sudan. Where necessary recourse will be made to the internet sources to obtain materials that will be used to conduct comparative studies with the other countries.  The nature of the research problem stated above necessitates the usage of documents including policy documents, discussion papers, legislation, judicial decisions, books and journal articles.

1.7 Scope and Limitation of the Study

The scope of this study is limited to an examination of  sanctions for breach of environmental laws in the Nigerian petroleum subsector: a comparative study of  Nigeria and Sudan. Environmental laws, international treaties and breach and sanctions cases will be  reviewed in the course of the study.

1.8 Organizational Layout 

Chapter one is an introductory chapter where the problem of research is introduced, followed by the research method and an outline of the aim and objectives, together with the organization of the study.

Chapter two draws on an intensive conceptual classifications on the environmental

problems facing oil industry.  In Chapter Three delved into  the Oil and Gas sector in Nigeria and Sudan.

Chapter Four focuses on institutional & legal framework of oil  & gas sector in  Nigeria and Sudan.

Chapter five is the final part of the study that summarizes the main findings, draws the conclusions, and suggests a slate of recommendations that would be appropriate to reduce the adverse impacts of environmental disasters, while achieving sustainable economic development.

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[1] Adeyemi O.T (2004), Oil exploration and environmental degradation. The Nigerian experience. Environ. Inform. Arch. 2: 387 – 393

[2] Ahmed, H. A. M (2013) “Studies of some Physical Properties of Sudanese Crude Oil.” M.Sc. , Chemistry.

UK. Khartoum, Sudan.

[3] Tolulope, A.O (2004). Oil Exploration and Environmental Degradation: the Nigerian Experience. International Information Archives, International Society for Environmental Information Science.

[4] Ndifon, W. O., (2008). Health impact of a major oil spill: Case study of Mobil oil spill in Akwa Ibom State. 9th International Conference on the Petroleum Industry and the Nigerian Environment, Abuja, November, pp. 804 – 815.

[5] Keith, S. (2016) “Environmental hazards: Assessing risk and reducing disaster.” Rutledge, London.

[6] Gilpin A, (2015) “Environmental Impact Assessment (EIA): Cutting Edge for the Twenty-First Century”.

Cambridge University Press, Cambridge, UK.

[7] Henna , R I. (2010) “ Environment and Air pollution, Novel Press Co., Beirut.

[8] Ahmed, H. A. M (2013) “Studies of some Physical Properties of Sudanese Crude Oil.” M.Sc. , Chemistry.

UK. Khartoum, Sudan.

[9] Bates G. M. (2012) “Environmental Law in Australia”. 4th ed. Butterworth, Sydney, Australia.

[10] Bakheit, O. A. (2015) “A study on pollution control measures practiced in Port Sudan Refining.” M.Sc.

Thesis. IES, U of K. Khartoum, Sudan.

[11] Adeyemi O.T (2004), Oil exploration and environmental degradation. The Nigerian experience. Environ. Inform. Arch. 2: 387 – 393

[12] Ndifon, W. O., (2008). Health impact of a major oil spill: Case study of Mobil oil spill in Akwa Ibom State. 9th International Conference on the Petroleum Industry and the Nigerian Environment, Abuja, November, pp. 804 – 815.

[13] Onosode (2013), Environmental Issues and the Challenges of the Niger Delta: Perspectives for the Niger Delta Environmental Survey Process. CIBN Press Lagos

[14] Kiss A and Shelton D, (2010) “International Environmental Law”. 2nd ed.. Transnational Publishers Inc,

Ardsey. New York, US.