Bureaucratic Rhetoric of Climate Change in Nigeria: International Aspiration versus Local Realities

1. Bureaucratic Rhetoric of Climate Change in Nigeria: International Aspiration versus Local Realities By Olubayo Oluduro PhD candidate, University of Ghent

2. Introduction (some facts on gas flaring) • Oil is the mainstay of Nigerian economy and the Niger Delta is the region that hosts the Nigeria’s oil industry • Nigeria is in joint venture partnership with oil multinational companies like Shell, ExxonMobil, Texaco/Chevron, Agip, Total etc • While Russia ranked as the top gas flarer in the world with 50.7 bcm, Nigeria ranked second with 23 bcm, thus accounting for about 13% of global flaring

3. Introd. Cont. • While 99% of associated gas is used or re-injected into the ground in the US. and Western Europe, Nigeria flares about 76% • Gas has been flared in Nigeria since oil was discovered and there are more than 100 gas flare sites, some of which are located within residential areas • The economic loss as a result of gas flaring is about $2.5 billion in government revenues and $72 billion for the period 1970-2006

4. factors responsible for high and persistent gas flaring in Nigeria • lack of necessary technology for the gathering and conserving the gas flared • low gas demand in the domestic and regional markets and low level of environmental consciousness of the consequences of gas flaring • failure of the government to meet its financial contribution under the existing joint venture • lack of clearly defined long-term vision for the gas sector • lack of robust fiscal, legal, and regulatory framework and institutions to interface with foreign investors

5. Nigeria’s National and International Response to Gas Flaring Phase-Out.Local response • Petroleum (Drilling and Production) Regulation 1969. • The Associated Gas Re-Injection Act of 1979. It provides that no company engaged in the production of oil and gas shall after 1st January, 1984 flare gas produced in association with oil without the permission in writing of the Minister • The Minister made the Associated Gas Re-Injection (Continued Flaring of Gas) Regulations 1984 which provide for exemptions to the earlier general ban on flaring

6. Local response, cont. • Associated Gas Re-Injection (Amendment) Decree 1985 permits a company engaged in the production of oil or gas to continue to flare gas in a particular field(s) on the payment of a fee prescribed by the Minister • This Decree fixed a fine of 2 kobo (equivalent to $0.0009 in 1985) and was again raised in January 1998 to N10 ($11 ¢) for every 1000 scf of gas flared • Associated Gas Re-Injection Act 2004 and the Associated Gas Re-Injection (Amendment) Act 2004 which made it compulsory for all oil producing companies in the country to submit detailed plans for utilisation of their gases • Deadline was shifted from 2004 to 2008, and again to 2009

7. Local response, cont. • the flare-down penalty was increased to $3.50 in 2008 for every 1,000 standard cubic feet of associated gas flared • In January 2010, the House of Representatives fixed 31st December, 2012 as the terminal date of gas flaring in Nigeria • Two important bills are at the National Assembly: Associated Gas Re-Injection (Amendment) Bill 2008 which seeks to extend the deadline for flaring of gas to 31 December 2008 and to impose a fine of N410.00 (about $3.00) per standard cubic feet of gas flared; and the Gas Flaring (Prohibition and Punishment) Bill 2009 which prohibits the flaring of both associated and non-associated gas and makes the penalty equal to what is applicable in the international market • Finescan never compensate for the harmful effect of gas flaring on the lives of the people

8. Nigeria’s International Commitment • Biodiversity laws in Nigeria include the Convention on Biological Diversity (CBD) 1992, the Ramsar Convention, the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES 1973), etc which recognises the need for Nigeria to protect biological resources • there is non-applicability of the national laws on biodiversity conservation to the Niger Delta areas as result of the fear that it will affect the oil exploration activities • African Charter on Human and Peoples’ Rights already domesticated into Nigeria municipal law provides that ‘All people shall have the right to a general satisfactory environment favourable to their development

9. International Commitment, cont. • Nigeria signed the United Nations Framework Convention on Climate Change (UNFCCC) 1992 • Nigeria also ratified the 1997 Kyoto Protocol aims at strengthening the international response to climate change, and promote the ultimate objective of UNFCCC • Nigeria as a non-Annex 1 country, is eligible to host Clean Development Mechanism (CDM) projects that can earn revenue from the sale of carbon credits • Nigeria has also joined the Global Initiative for Gas Flaring Reduction (GGFR) • Nigeria still contributes about 70 million metric tons of CO2 to global emissions a year contrary to its obligations under these instruments

10. Nigerian Gas Reduction Projects • Nigerian gas-flaring reduction projects and other Institutional Frameworks, e.g. Nigeria Liquefied Natural Gas (NLNG) 1985; SPDC’s Gbarain-Ubie Integrated Oil and Gas Project (IOGP); The West African Gas Pipeline (WAGP); Trans-Saharan Gas Pipeline (TSGP) • Delay in completing several of these gas gathering projects confirms the lack of commitment on the part of the government and the joint venture partners to end gas flaring

11. Institutional frameworks • National Assembly has passed a bill authorising a National Climate Change Commission but yet to harmonise the two versions of the Bill • Establishment of the Special Climate Change Unit (SCCU) within the Federal Ministry of Environment (FME) to specifically deal with and co-ordinate Climate Change issues in Nigeria • Inauguration of the Presidential Implementation Committee on the Clean Development Mechanism (CDM) as the body to organize CDM activities in Nigeria • The above commitments are yet to have any appreciable impact on the reduction of gas flaring eg. in 2008, Chevron still flared over 84% of its gas • Significant part of the slight reduction in flaring may well be as a result of increased ‘unassociated gas’ produced and ‘shut in’ production (Ecumenical Council for Corporate Responsibility (ECCR) Report, 2010)

12. Climate Change, Biodiversity and human rights in the Niger Delta: the nexus • Flaring in Nigeria contributes a great deal to global emission of greenhouse gases • The corrugated iron roofs of Nigerian villagers that used to have a life span of up to 20 years now last less than 5 years owing to the effect of gas flare • Heat from the flares kills vegetation around the flare area and diminishes agricultural production leading to the problem of food insecurity • Gas flaring affects wildlife in that the bright light the flares produce disturbs wildlife forcing them to migrate • The roaring noise, intense heat causes discomforts

13. Cont. • The use the toxic flames by Niger Delta women to dry food may result in the poisoning of the foods • It was estimated that in Bayelsa State alone, flaring is likely to cause 49 premature deaths, 4,960 child respiratory illnesses among children, 120,000 asthma attacks, and 8 additional cases of cancer each year (ERA & Climate Justice Programme, 2005) • Gas flaring is reportedly responsible for the falling in the life expectancy in the Niger Delta from 70 years to about 45 years • In the event of climate change resulting in rising of the sea levels, Niger Delta located in the coastal region may likely disappear or submerge • The sea-level rise will also affect the oil companies in terms of oil installations located in the region

14. Cont. • Implicated above are the rights to life, health, water, food, housing and property, privacy, and generally, a healthy environment • There have been relatively few cases filed in Nigeria in which human rights law has been invoked for climate-change related harms. • Jonah Gbemre v. SPDC Nig. Ltd. and 2 others • Shell v. Ijaw Aborigines of Bayelsa State • IkechukwuOpara & Others v. SPDC Nig. Ltd. and 5 others • The oil companies exploit the weaknesses in the local laws and in the courts to deprive the victims of environmental harm justice

15. Challenges of developing/implementing climate change law to Mitigate Gas Flaring • Absence of the political will to enforce the domestic and international environmental laws • Power imbalance among the stakeholders in oil industry • Absence of a national legal framework that meets the demands of climate change mitigation and adaptation, and which clearly addresses global warming • Unavailability of adequate information and data needed to tackling climate change impacts • Lack of appropriate technology • Lack of capacity for effective implementation of climate change policies and treaties • government overdependence on oil • Corruption • Insecurity in the Niger Delta region

16. Recommendations • A strong political will to enforce the regulations and policies on gas flaring and climate change • Ensure that there is good governance • The domestication and enforcement of international environmental treaties to which Nigeria is a signatory • Development of a strong partnership with developed nations for technology, knowledge and funding • A strong partnership with the private sector and civil society • The integration of human rights in climate change law and policy, including imposition of human rights duties on MNCs

17. Thank you for listening