MORE ON OIL COMPANIES WOES AND THE CONTINUING LEGACY OF OIL FROM THE DAILY MAVERICK By SIMON ALLISON
It’s been a bad week for Shell’s Nigerian operations. Forced on Tuesday to accept responsibility for a huge oil spill, the release of a UN report into oil pollution in Nigeria has revealed the situation is far worse than anyone’s been prepared to admit. The report’s rather diplomatic – not surprising given Shell paid for it – but its conclusions are a devastating indictment of the oil giant’s reckless Nigerian adventure.
It noted: “Oil contamination in Ogoniland is widespread and severely impacting (on) the environment. Even though the oil industry is no longer active in Ogoniland, oil spills continue to occur with alarming regularity. The Ogoni population live with this every day.”
The report discovered extensive contamination of soil and groundwater, extraordinarily high levels of dangerous chemicals in some areas and a devastating impact on aquatic life. The drinking water of one community contained 900 times the recommended level of benzene, a known carcinogen.
Ogoniland’s natural geography has exacerbated the situation. Its high rainfall sends any spilled oil coursing through farmland and eventually ending up in the mangroves and creeks. The region’s soil lacks a continuous clay layer, meaning oil is able to seep directly into the water table.
The report lays the blame for this on Nigeria’s muddled regulations and regulatory bodies which interpret the rules differently. The oil industry has taken advantage of this to put the bare minimum of effort into clean-up operations. The report slammed Shell’s clean-up policies, which were intended to improve what came before, saying they “still do not meet the local regulatory requirements or international best practices”.
Given the cost of the clean-up operation, for which Shell, as the primary company operating in the delta, is likely to bear the brunt, and the spectre of paying out huge compensation claims, it might start making financial sense for the oil giant to take its environmental responsibilities more seriously.