Gender Equality in the Oil and Gas Industry

1. Gender Equality in the Oil and Gas Industry Dorothy LeleDec. 12, 2011

2. Outline • Background on the oil and gas industry • Norway’s Oil for Development program 3. Gender issues in the oil and gas industry 4. Making connections for more effective development

3. Background: the oil and gas industry

4. Petroleum Petroleum is a complex liquid mixture of hydrocarbons, (organic compounds consisting entirely of hydrogen & carbon). Technically, petroleum refers only to crude oil, but is commonly used to include all liquid, gaseous, and solid hydrocarbons.

5. Petroleum Industry The petroleum industry is divided into: • the upstream oil industry:the search for, recovery and production of crude oil and natural gas. • the midstream oil industry:processes, stores, markets and transports • the downstream oil industry: the refining and processing of crude oil and natural gas, and the sale and distribution of thousands of products derived from crude oil.

6. Petroleum Products Petroleum products include: gasoline (petrol), diesel, natural gas, propane, kerosene, liquified petroleum gas (LPG), jet fuel, heating oil, asphalt, lubricants, plastics, fertilizers, pesticides, pharmaceuticals, antifreeze….

7. UPSTREAM INDUSTRY • Exploration: search for rock formations with oil or natural gas deposits, involves geophysical prospecting, blasting and/or exploratory drilling. • Well development: construction of wells • Production: extracting the hydrocarbons, separating the mixture of liquids, gas, solids and water, and removing unwanted components • Site abandonment: plugging the well(s) and restoring the site

8. MID and DOWNSTREAM INDUSTRIES The midstream and downstream industries include: • transport: pipelines, shipping • refineries and processing plants (including petrochemical plants) • natural gas distribution • petroleum product distribution • retail outlets.

9. Upstream / Downstream

10. 2. Norway’s Oil for Development program

11. Oil for Development • Assists developing countries to manage their petroleum resources sustainably. • Works at the institutional level, building the capacities of public authorities responsible for petroleum resources. • Focuses on three themes: • Resource management • Revenue management • Environmental management

12. OfD Support

13. OfD Support 1. Government agencies of 23 countries 8 Core Countries: Angola, Bolivia, Ghana, Mozambique, Nigeria, Sudan, Timor-Leste, Uganda 2. Local civil society organizations (through Norwegian and international NGOs): Revenue Watch Institute (RWI), WWF, Norwegian organizations

14. 3. Gender issues in the oil and gas industry

15. Gender issues in the oil and gas industry • Local impacts of upstream petroleum activities • Downstream: access and use of products • Government revenues or “take” • Environmental impacts • Employment equity

16. a) Local Impacts of Petroleum Activities: exploration & production Differential impacts on women and men of: • employment and economic opportunities • population displacements and resettlement • disruptions in natural ecosystems and livelihoods depending on them; • community disruptions and conflicts from influx of large numbers of men for jobs  “social vices”

17. Local Impacts of Petroleum Activities: accidents, spills, pollution Differential impacts of ecosystem damage (to water quality and availability, fisheries, crops, forest resources, etc) on women and men: • health impacts (including reproductive health) of contaminated water, air and soil • economic impacts: loss & damage to livelihoods • nutritional impacts: loss & damage to food sources

18. Gender bias in benefits and costs • Major benefits of employment and compensation mostly go to men. • Costs of community disruptions and environmental degradation fall most heavily on women.

19. Social support and compensation funding 1. Oil/gas company CSR (corporate social responsibility) projects 2. Government projects funded through taxes on oil companies  often directed towards projects benefiting women (water, health, education)

20. b) Access and use of products

21. Energy for Cooking • 2.7 billion “people” (=women) rely on biomass and inefficient stoves for cooking • LPG (bottled gas) as the main energy source for switching from biomass for cooking • but mostly for urban higher income groups (price and distribution issues) • LPG for cooking is not a priority for many governments

22. Access to other petroleum products:fuels, plastics, fertilisers Same as usual: • women’s lack of information, income and control over resources

23. c) Government “take” • Government “take” = taxes, royalties, production sharing agreements, or direct ownership • Norwegian pension fund: investment of financial returns for the benefit of future generations • Identify gender differences in the benefits and risks of the use of revenues • may be possible where OfD is advising partners on revenue issues

24. d) Environmental Impacts: Climate Change

25. Gender dimensions of climate change • Oil and gas production and use results in gas emissions and climate change • Poor people/women are the most vulnerable to climate change, because they depend on natural resources for livelihoods and lack resources to adapt •  Women are affected through: • Gender roles: household maintenance, food, water and fuel provision • Cultural practices: female seclusion/ protection, mobility survival skills, property rights • Participation in decision-making

26. e) Employment Equity: women’s presence

27. Women work on oil rigs tooChennai, India 2009

28. Women’s increasing presence in oil & gas • Women make up about 21 percent of workforce • Increasing efforts to attract and retain women:  studies show a clear correlation between gender diversity and higher profitability • Still few women in management positions • Barriers to women in oil and gas: • Field work • Limited accommodation at field sites/drilling platforms • Attitudes: not a suitable job for women

29. 3. Gender issues in the oil and gas industry • Local impacts of upstream petroleum operations • Downstream: access and use of products • Government revenues or “take” • Environmental impacts • Employment equity

30. Information and experience • World Bank gender mainstreaming in the extractive industries: focus on mining www.worldbank.org/eigender • Norway & WB Petroleum Governance Initiative includes a study on the gender dimensions of the oil and gas industries • Broken Promises: Gender Impacts of the WB-financed West African and Chad-Cameroon Pipelines www.genderaction.org/publications/11/chad-cam-wagp-pipelines.html • Oil for Development: Mozambique, Timor-Leste, Uganda

31. 4. Making connections Energy end uses Constraints Energy sources • Oil and gas: • upstream • downstream Lighting Appropriate technologies Cooking Availability & access Electric power Biomass, biofuels Information Communications Water Pumping Pricing and credit Alternative technologies Mechanical

32. Making connections Need for: • Comprehensive treatment of all energy needs and sources – more attention to the demand side • Connections between policies and programs for all subsectors – for more effective policies and use of resources • Ensuring social and gender dimensions are central to all policies and solutions – for more effective development

33. Thank you