AN ASSESSMENT OF LIABILITIES OF OIL PRODUCING COMPANIES FOR OIL SPILLAGE IN NIGERIA


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TABLE OF CONTENTS

Title page
List of Cases
List of Statutes
List of Abbreviation
Abstract
Table of Contents

CHAPTER ONE: GENERAL INTRODUCTION
1.1       Background of the Study
1.2       Statement of the problem
1.3       Aims and objectives
1.4       Scope of the research
1.5       Research methodology
1.6       Literature review
1.7       Justification

CHAPTER TWO: DEFINITION OF TERMS
2.1       Introduction
2.2       Causes of Oil Spillage
2.3       Effects of Oil Spillage on the Producing Communities
2.4       Oil Companies Perspective on Spillage
2.5       Environmental & Human Right Perspective on oil Spillage
2.6       Expert witness
2.7       Onus of proof in cases of environmental degradation in oil related cases

CHAPTER THREE: LEGAL FRAMEWORK ON COMPENSATION
3.1       Introduction
3.2       Laws on oil spillage (Petroleum Drilling and Production Regulations)
3.3       Oil in navigable water Act
3.4       Oil terminal Dues Act
3.5       Nesrea Act

CHAPTER FOUR: COMPENSATION CLAIMS
4.1       Quantum of compensation on spillage
4.2       Judicial attitude towards compensation claims

CHAPTER FIVE: SUMMARY AND CONLCUSION
5.1       Summary of Findings
5.2       Recommendations
5.3       Concluding Remarks
            Bibliography



ABSTRACT

This project set out to examine the compensation of oil spill victims in the Nigerian oil industry. The compensation of these victims has become clumsy and dark in the wake of oil bunkering, pipeline vandalism, sabotage, since in the past, oil spill was as a result of the activities of the oil companies or operators. The object is to discuss who is responsible for payments of compensation to oil spill victims who are entangled in a political system that lacks legislative and administrative guidelines and framework that will effectively deal with the issue of petroleum compensations arising from sabotage, bunkering and even activities of multinational oil companies. Nigeria has become one of the most petroleum-polluted environments in the world. The impact of the oil spill include habitat degradation, pollution from gas flaring and these are cumulative and have acted synergistically with other environmental stresses to impair ecosystems and severely compromise human livelihoods and health. These unfortunate incidents make the victims individuals and host community, landowners, pond owners and other property owners to demand compensation. It is hereby recommended that the Nigerian government should set up oil pollution compensation funds that will make provision for compensation for oil pollution damage resulting from activities of not only multi-national oil companies but that of oil thieves, saboteurs and pipeline vandals. More so, legislations that will protect the environment of host communities and ensure timely adequate and fair compensation to them are to be urgently enacted.



CHAPTER ONE

1.1  INTRODUCTION

Recently, it was announced amidst cheers and jeers that the Nigeria Economy has surpassed that of South Africa after the most populous nation in Africa overhauled its Gross Domestic Product (GDP) data for the first time in two decades. On paper, the size of the Economy expanded by more than three-quarters to an estimated 80 trillion Naira (8488 billion) for 2013. Yemi Kale1 also confirms that the revised figures make Nigeria the 26th biggest Economy in the world. According to the new data,

Nigeria’s Economy grew at 12.7 percent between 2012 and 2013. Much of Nigeria’s Gross Domestic Product (GDP) is driven by oil production, which accounts for 40 percent of its GDP; since oil

was discovered in 1956 till the present time it has dominated the Economy. Shell B.P and other developers in the pursuit of commercially available petroleum found oil in Nigeria in 1956. Prior to the discovery of oil, Nigeria like many other African.....

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