Does the application of the polluter pays principle in Nigeria's oil industry promote environmental justice?

Aholu, Okechukwu

Abstract

The hydrocarbon industry is one of enormous complexity and reward. As an industry central to security, prosperity, and the very essence of civilization it offers conflicting possibilities. Though the economic prospect of the industry remains significant, the hydrocarbon industry impacts the environment in a manner that triggers externalities (the impact of a transaction on those who do not participate in them). The Niger Delta (ND) region of Nigeria epitomizes the scale of the impacts of hydrocarbon industry on soil and groundwater, vegetation, aquatic life, public health and jobs. The social and economic costs of these impacts are enormous. The polluter pays principle (PPP) emerged as a principle designed to allocate these costs and ensure that they are borne by multi-national oil companies whose activities generate the cost. The principle simply demands that the polluter should bear the social cost of pollution prevention, control and remediation. However, despite the good intentions of the principle, the question whether the allocation of environmental cost under the hydrocarbon laws of Nigeria had fulfilled the objectives of the principle remains contested. Where allocation of environmental cost is effective, the end product would be a realization of environmental justice (EJ) in the diversity of its forms. Deploying a socio-legal method to legal inquiry, this thesis examines the extent to which the application of the PPP under the hydrocarbon laws of Nigeria promotes EJ. The thesis develops an EJ framework for the application of the PPP in the hydrocarbon industry and on the basis of this framework, conclude that while laws and regulations which apply the PPP under Nigerian law have the potentials to promote EJ, in reality they do not do so. The thesis reveals gaps in legislations and regulations which make it difficult for the application of the PPP to internalize environmental costs and prescribe recommendations on how those gaps can be closed. The thesis argues that to guarantee incremental improvement in laws which apply the PPP, Nigeria should draw lessons from some jurisdictions on how this can be done. This would involve a remodeling of legislative and regulatory provisions to address suboptimality, constitutionalizing environmental rights, creation of special environmental costs, introduction of environmental Business Case amongst a host of other solutions.

Citation

Aholu, O. Does the application of the polluter pays principle in Nigeria's oil industry promote environmental justice?. (Thesis). University of the West of England. Retrieved from https://uwe-repository.worktribe.com/output/8043695

• Thesis Type: Thesis
• Deposit Date: Nov 2, 2021
• Publicly Available Date: Apr 13, 2022
• Keywords: Polluter pays principle; Environmental Justice
• Public URL: https://uwe-repository.worktribe.com/output/8043695
• Award Date: Apr 13, 2022