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OIL POLITICS IN NIGER DELTA
CHAPTER ONE
INTRODUCTION
1.1
Background of the study
Oil has become a dominant element within the power
capability profile of any nation. Nations enter into war because of oil. The
Gulf War in 1991 is an example. In Nigeria the crisis is between the federal
government and oil producing communities in the
Niger Delta region. Despite the abundant oil wealth, there has been
unimaginable mass poverty and negligible development in the region. Efforts by
the federal government and oil companies to improve the quality of human lives
and to provide infrastructural development have been insufficient to ameliorate
the problems. Presently, the insensitivity of government and oil companies have
created more tensions and crises which not only threaten the industry, but also
national security. In fact, youths within the area, by association of various
ethnic militia groups, have become restive in their bid for greater control of
their natural resources. The paper, therefore, examines developmental issues in
oil producing communities against background of government establishing an
internal security task force to deal with the youths. The paper concludes that
the federal government and oil companies should change their current hostile approaches
in order to work towards infrastructural development of the region.
1.2
Statement of the problem
During
the last two decades, the Niger Delta region of Nigeria has been enmeshed in
crisis, which has resulted from total neglect and lack of infrastructural
development. It is estimated that about 2.5 million barrels of crude oil is produced
daily within the region. According to a Central Bank of Nigeria (CBN) report,
the production contributes almost 95% of Nigeria’s foreign exchange earnings
and 90% of its revenue (CBN Annual Report, 2003). However, little substantive
progress has been made, which addresses development issues in the producing
region.
Hence,
the region continues to witness unimaginable mass poverty and low levels of
human development, environmental degradation, social inequalities,
unemployment, and so on. It is, therefore, an irony of fate that the area,
which produces a bulk of the oil is the least
developed
in the country.
This
situation may be attributed to the nature of revenue allocation formula which
has been dysfunctional. It may also be traced to the non performance of the
contented disposition of the political leaders who ordinarily should have been
the voice of the masses. As a result, every
effort
to develop the region through policy reforms and socio-economic and political
measures, have yielded little or no result. The absence of any meaningful
development has necessitated the control of resources that are within the region.
As expected, the youths by way of various ethnic militia groups have become restive
in their bid for greater control of their natural endowment.
Presently,
this restiveness has manifested in activities such as kidnapping, pipeline
vandalization, oil bunkering and other anti-social behaviors that are directly
resultant of failed leadership. Hence, the country has not only witnessed an
economic crisis, but also political instabilities.
1.3 Objectives of the study
1. To
understand the contradictory roles which are played by the Nigerian state;
first, in terms of the allocation of resources and, second, as the major
recipient of oil revenue.
2. To
examine the rate of development in the oil producing Niger Delta area whether
it is commensurate with the environmental damage as a result of oil exploration.
3. To
highlight the oil industry and politics that have impinged development within
the region.
1.4
Research Questions
1.
Have the various governments of Nigeria played a fair role in the allocation of
oil revenue to the Niger Delta region.
2. Has
the rate of development in the oil producing Niger Delta been commensurate with
the environmental damage as a result of oil exploration
3.Has the oil industry and politics impinged development within the region.
1.5 Research Hypothesis
H01: The
various governments of Nigeria have not played a fair role in the allocation of
oil revenue to the Niger Delta region.
H1: The
various governments of Nigeria have played a fair role in the allocation of oil
revenue to the Niger Delta region.
H02: The
oil industry and politics impinged development within the region.
H2: The
oil industry and politics impinged development within the region.
1.6 Limitations of the study
Firstly,
most of the respondents were uncooperative with giving out unbiased
information. This is in addition to insufficient funds and limited time for the
research.
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