International oil corporations like Shell have recently been divesting in their Nigerian oil assets in order to move towards more climate-friendly emissions goals.
Written by Ava Andrews
Because Shell is selling their refineries to domestic Nigerian owners, which are often private and ill-prepared firms, the surrounding environment has suffered. Reports of worsened environmentally harmful and dangerous operations such as an increase in gas flaring and poor responses to oil spills, explosions, and accidents have circulated since Shell’s exit. As a result of this inadequate maintenance and infrastructure, the surrounding environment and communities near these wells have suffered, especially from the lack of fishing post oil spill. This issue can be better analyzed through causation regarding the current situation in the Niger Delta.
Nigeria has one of the world’s most vast sources of crude oil, but this has not translated into prosperity for the nation’s citizens. Nigeria’s troublesome oil production industry can be traced back to the 1930’s, however, when Shell’s exploration and exportation began during British colonialism. As the industry grew, oil companies made deals that financially supported the state government, but failed to improve the lives of the average citizen, all while the Niger Delta became increasingly polluted. In the past decade, the hassle of dealing with oil theft along with pressure to decrease carbon emissions led to the divestment of international oil companies from Nigeria. The consequences of these companies’ abrupt withdrawal are dire, and corporations like Shell are attempting to shed all accountability for the state of Nigeria’s oil industry. There are more effective solutions to mitigating climate change. More responsible courses of action would be to ensure that the asset buyers’ environmental standards are sufficient, or simply dismantling the refineries which greatly contribute to the world’s greenhouse gas production.
The events discussed can be further understood by observing the causation of social, environmental, and economic catastrophe in Nigeria by the sale of international oil companies’ assets to domestic owners. This wave of divestment was caused by oil theft and corporate goals to limit environmental damage. However, the Niger Delta is now subsequently in an even worse state.
Chason, Rachel. "Big Oil is selling off its polluting assets — with unintended consequences."
The Washington Post, 27 Mar. 2023, www.washingtonpost.com/world/2023/03/27/shell-
nigeria-niger-delta-oil/. Accessed 29 Mar. 2023.
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