International organizations such as the Centre for Research on Multinational Corporations, Stakeholders Democracy Network and others have urged the Federal Government to halt Shell Petroleum Development Company’s divestment plan until the Niger Delta region’s cleanup and decommissioning issues are resolved.
Arise News reported that Shell intends to divest, leaving extensive historical oil contamination throughout the Delta. Executive Director of SOMO Audrey Gaughran unveiled a study titled “Selling Out Nigeria: Shell’s Irresponsible Divestment” in Port Harcourt.
Speaking through Zoom, Gaughran said that “Shell must be let to leave the Niger Delta’s onshore oil sector unless it accepts accountability for the hazardous waste it has left behind and the safe decommissioning of abandoned oil infrastructure.
According to the group, “The oil giant is leaving behind large areas of polluted land and rivers and streams contaminated with petroleum, which has devastated the lives and livelihoods of millions of people living in the Niger Delta.
While Shell has maintained that pipeline interference and oil theft are the main causes of oil pollution, Gaughran emphasized during the report’s unveiling that these assertions have no bearing on the company’s obligation to clean up the degraded area because Under Nigerian law, Shell must clean-up oil spills no matter the cause.”
The organization regretted that the situation will probably get worse in the next years due to an alleged large unpaid payment for safety decommissioning oil and deteriorating oil, noting the consequences of ignoring the contaminated regions.
“Shell has sold its hazardous assets and won’t be left holding them when the music stops, when the oil sector moves into its last phase, which may happen in the next five years or 25.
“Shell has created the Niger Delta one of the most oil-polluted regions on Earth via decades of profiting from oil production, leaving people to deal with the severe effects that will last long beyond the industry’s tenure.”
Not all multinational oil companies are leaving the onshore Niger Delta, including Shell. The major oil companies in the US and Europe are also departing. But the exit of Shell, which for decades had been the leading player in the area with the biggest footprint, has a substantial impact on a number of communities.
During the program, the Country Director at SDN, Florence Kayemba spoke about the economic crisis Nigeria is currently facing. She warned that “If environmental cleanup is not done properly before Shell divests, the area will suffer greatly in the future.”
“The study made clear that the procedure is insufficient and that the foreign oil giants are divesting at an increased rate. Under this regime, there will be no just transition to energy. For this reason, civil society groups are putting out a set of guidelines for Nigeria to adopt and adhere to while divesting from the oil business.
“The principles would address environmental pollution, declining and degraded conditions, and establish a transparent procedure to evaluate the capacity of the entering enterprises, with meaningful community involvement throughout, she said.