Shell Must Pay US$1 Billion To Start Clean Up of Niger Delta

Amnesty International media release
10 November 2011

Shell must commit to pay an initial US$1 billion to begin the clean-up of pollution caused by oil spills in the Niger Delta, Amnesty International and the Centre for Environment, Human Rights and Development (CEHRD) said today.

A new report released by the two groups, The true tragedy: delays and failures in tackling oil spills in the Niger Delta looks at the ongoing devastation caused by two major oil spills which took place in Bodo, Ogoniland, in 2008, and which have never been cleaned up.

“Shell’s failure to promptly stop and clean up oil spills in Bodo has devastated the lives of tens of thousands of people. Bodo is a disaster that should not have happened, yet it is one that due to Shell’s inaction continues to this day. It is time this multi-billion dollar company owns up, cleans up and pays up,” said Amnesty International Aotearoa New Zealand’s Chief Executive Officer, Patrick Holmes.

In 2008, two consecutive spills, caused by faults in a pipeline, resulted in thousands of barrels of oil polluting the land and creek surrounding Bodo, a town of some 69,000 people. Both spills continued for weeks before they were stopped. No proper clean up has ever taken place.

Ongoing damage to fisheries and farmland has resulted in food shortages and higher prices in Bodo. Residents told Amnesty International and CEHRD how they struggle to make a living and have serious health concerns. Alternative jobs are not easy to find. Many young people have been forced to look for work in Port Harcourt, the state capital, 50km away.

One fisherman from Bodo, said: ‘Before the spill, life was easy. The people could live from the catch of fish…After the spill, everything was destroyed.’

When Amnesty International asked Shell to comment on the failures at Bodo, the company stated that, as the Bodo spill spills were subject to legal proceedings in the UK, it was unable to respond as directly.

Shell, which recently reported profits of US$ 7.2bn billion between July and September, initially offered the Bodo community just 50 bags of rice, beans, sugar and tomatoes as relief for the disaster.

The UN Environment Programme recently found that oil pollution over many years had resulted in such devastation that it would take more than 25 years for Ogoniland to recover. The UN recommended setting up an Environmental Restoration Fund with an initial amount of US$1 billion, with further funding to follow.

“The facts are simple,” said Holmes. “Two spills, both of them the company’s fault, both left to flow for weeks, and neither cleaned up after three years. There can be no excuses. By any standard, this is a catastrophic corporate failure with horrific human consequences.”

Background

In New Zealand Shell is being progressively replaced by Z Energy in a $60 million national branding rollout. Yet Z still buys its oil from Shell. And Z Energy is partly owned by the New Zealand Superannuation Fund.

A fault in the Trans-Niger pipeline caused a major oil spill in Bodo on 28 August 2008. The oil poured into the swamp for at least four weeks – possibly for as long as 10. Shell has recorded that 1,640 barrels of oil were spilt; however, an independent estimate suggests that as much as 4,000 barrels a day were leaking from the pipe.

Just three months later a second spill occurred in Bodo, also due to equipment failure. This spill was reported to Shell on 9 December, who took 10 weeks to stop it.

After trying for years to secure clean up and proper compensation from Shell, the Bodo community took their fight for justice to the UK courts earlier this year. The court action is ongoing, but has brought a measure of hope that the situation at Bodo may be resolved.

According to the UN Development Program (UNDP), more than 60 per cent of the people in the region depend on the natural environment for their livelihood.

According to UNDP, more than 6,800 spills were recorded between 1976 and 2001, with a loss of approximately three million barrels of oil. Many experts believe that due to under-reporting the true figures may be far higher.

Notes:

Nigeria’s government agencies are also strongly criticised in the report for their failure to enforce regulations. The Federal Ministry of Petroleum Resources - which is responsible for ensuring the oil industry complies with regulation - is also charged with promoting the oil industry and ensuring maximum revenues.

The Nigerian government agency responsible for oils spills - the National Oil Spill Detection and Response Agency (NOSDRA) - is under-resourced and ineffective. The agency has no independent capacity to identify oil spills and is dependent on being notified by the oil company responsible or by the affected community.

When asked to comment on the issues raised by the report, NOSDRA responded with limited information. Nigeria’s Department of Petroleum Resources did not respond at all.

The Centre for Environment, Human Rights and Development (CEHRD) is a rural-based and rural-focused non-profit organisation founded by conservationists, environmentalists, activists, and health workers in the Niger Delta. CEHRD was formed to respond to the environmental, human rights, rural health, and underdevelopment problems plaguing the Niger Delta.

The report, facts and figures, audio-visual materials and other information are available; please email media@amnesty.org.nz for further details.

ENDS

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