June 2006, is the 50th anniversary of the discovery of oil in Nigeria. Although oil exploration began in Nigeria in 1938, when Shell d'Arcy (later Shell BP) obtained a licence, it was not until June 1956, that that company discovered oil in commercial quantity at Oloibiri (in present Bayelsa State). Export of crude oil started in 1958.
Today, there are, in the Niger Delta, 11 oil companies operating 159 oil fields and 1, 481 wells. In a recent report, titled "Ways of Using Oil Boom for Sustainable Development" published by the African Development Bank (ADB), Nigeria's total earnings from crude oil was put at $600 billion (or about N84 trillion) in the past 45 years. That should translate into over N1.8 trillion per annum for 45 years.
Now 50 years old, the advent of oil discovery means different things to different people. To the beneficiaries of the oil industry, mainly those who have held the reins of Federal and State power over the years, the discovery of oil in Nigeria is a blessing. However, to the overwhelming majority of the citizens of Nigeria, particularly those of the Niger Delta, the discovery of oil is a curse. These divergent positions call for an assessment of the functions and/or dysfunctions of oil these past 50 years.
Before the discovery of oil, agricultural produce in and outside the Niger Delta, was the mainstay of the Nigerian economy. After the discovery of oil in 1956, particularly since Independence, agriculture has almost been totally abandoned by all the States of the Federation, all of which have come to depend, almost entirely in most cases, on the revenue accruing from oil.
Disastrous ecological degradation and environmental pollution in the Niger Delta, coupled with the utter neglect of the region by successive Federal Governments and the oil companies, have combined to impoverish the citizens of the area. Over 50 percent of the 70,000 sq. kilometers of the territory has neither motorable roads nor hospitals. There are three refineries and two petrochemical plants, yet fuel stations are not available in 50 per cent of the area.
Gas thermal stations in the Niger Delta account for 50 per cent of Nigeria's electricity supply; even so, half of the community has never seen electric light. The landmass in the Niger Delta is desiccated and rendered unsuitable for agriculture; the watermass is polluted and rendered unsuitable for fishing. The people wring their hands in utter frustration, watching helplessly as over 87 per cent of the revenue from oil is taken away to found new towns and develop existing ones outside the Delta region. The inhabitants of the area experience scorching heat daily from endless gas flaring, an established cause of leukaemia. According to industry sources, Nigeria accounts for over 78 per cent of all the gas flared in Africa and 25 per cent of the world's total! Unconfirmed reports have conservatively put the quantity oil stolen on a daily basis from the Niger Delta at 200,000 barrels.
Today, nobody knows exactly how much oil is produced daily. Corruption is on stilts! In a recent report, the World Bank stated that the Niger Delta is the least developed part of Nigeria in terms of social infrastructure and modern facilities, yet since the early seventies, about 95 per cent of export earnings come from the petroleum resources of the Niger Delta. On a national scale, Nigerians are some of the poorest human beings on earth, living, on the average, on less than one dollar per day, despite the huge revenues derived from oil daily, monthly and annually.
The past 50 years have witnessed a rash of militant organisations in the Niger Delta, the death and execution of some environmental rights activists, such as Isaac Boro, Ken Saro-Wiwa and others, the arrest and detention of some, like Asari Dokubo, and hostage-taking by restive youths of the Niger Delta. Coup plots, morbid corruption, mismanagement, malfeasance, presidential and gubernatorial ambitions and election rigging have been inspired by the quest to take part in, or control, the oil business.
The recent ADB report under reference paints a lugubrious picture of the oil industry in developing countries, especially in Nigeria. In its language, "Other ills induced by oil include neglect of agriculture, impoverishment, low tax ratios, high consumption expenditures on imported goods, environmental degradation, violent conflicts and encouragement of separatist movements, such as Biafra in Nigeria and Cabinda in Angola". The report continues: "Political decision-making may focus on distributing the income on the basis of private interest and not so much on putting it to use for productive development purposes...." All this explains why the discovery of oil in Nigeria is regarded by the overwhelming majority of the people as a curse rather than a blessing.
Today, Nigeria has degenerated into a monocultural state, with oil as the mainstay of the national economy. Meanwhile, oil reserve in Nigeria is estimated at 22 billion barrels which, at current production level of 2.7 million barrels per day (official figure), will be exhausted in less than 24 years. Nigeria is the world's sixth largest oil producer. Other Third World oil-producing states, such as Saudi Arabia, Libya, Venezuela, Indonesia, Azerbaijan and Kuwait, have used their oil wealth to transform those countries into modern states. The oil industry in Nigeria was born in 1956. Fifty years on, the country still imports over 70 per cent of her domestic fuel requirement as none of the four refineries has ever functioned effectively by reason of the selfish lure of importation, encouraged by bad leadership.
With over N80 trillion in 45 years, Nigeria, given good leadership, should boast of the best hospitals in Africa, the best primary, secondary and tertiary institutions, a network of good roads and bridges, etc. such as we have in the aforementioned oil-producing nations. Absolute want of good leadership has been the rub. Successive Federal and State Governments have failed to use oil as a catalyst for national development and have paid lip service to education, with the net result that capacity building remains a mirage.
We dare suggest, for the umpteenth time, that, in the interest of equity and good conscience, and in order to stem the tide, in the Niger Delta, of the growing restiveness which is beginning to endanger the national economy, the Federal and State Governments should, without delay, embark on an affirmative action, in the nature of a Marshall Plan, to reconstruct and develop the devastated Niger Delta.
One question that should be nagging the collective mind of Nigerians today is, after oil, a wasting asset, what next? Each of the states of the Federation has mineral deposits, solid and/or liquid. The Federal Government should intensify the exploitation of solid minerals and put a greater accent on agriculture and other employment-generating institutions designed to create and increase employment opportunities. This is the time for the Federal, State and Local Governments to think of alternatives to petroleum resources.
| 
| | Post your comments... | | Disclaimer: Naijacommunity.com may edit your comments and cannot guarantee that all e-mails will be published.
| | See Also ... |
| |
No comments:
Post a Comment