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Sunday, 22 July 2012

NEWS UPDATE : Shell’s $5bn fine: N’Delta activists demand compliance

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Shell’s $5bn fine: N’Delta activists demand compliance

Shell Petroleum Development Company logo
Niger Delta activists have urged the Federal Government to ensure that the $5 billion fine it imposed on Shell Petroleum Development Company is paid to avoid increased agitation in the region.
Shell was fined because of the leak at the Bonga oilfield, which spilled about 40,000 barrels of crude into the ocean, affecting coastal towns of the Niger Delta December last year.
According to the Director-General of the National Oil Spill Detection and Response Agency, Peter Idabor, the fine was imposed due to Shell’s failure to maintain the hose that leaked, and this amounted to negligence that could not go unpunished.
In its response, Shell insisted there was no basis for the fine, claiming it acted quickly to contain the spill.
The Managing Director of Shell Nigeria Exploration and Production Company, Chike Onyejekwe, reportedly said the company would challenge any attempt to impose the penalty.
However, human rights and environmental activists in the region, who spoke to SUNDAY PUNCH, said they were not pleased with Shell’s response.
According to the Chairman of Ijaw National Congress, Joshua Benamaisia, the people of the region are watching the situation and would act at the appropriate time.
He asid, “It is good that government has woken up. But the truth of the matter is that Shell has in the past evaded fines imposed on them by the government, just as they have failed to implement the recommendations of the United Nations Environment Programme report.
“This time, we are watching them keenly and all Nigerians are watching. This will show us whether it is the government or the multinational corporations that are running this country. Let them not pay the fine, then we would see who is who in this country.”
Similarly, the Executive Director of Environmental Rights Action and Chair of Friends of the Earth International, Nnimmo Bassey, said Shell’s refusal to pay the fine was capable of disrupting peace in the Niger Delta.
Bassey said, “I hope that this time the Federal Government would stand its ground and ensure that Shell pays that fine. The company always finds a reason to evade such fines.
“The people of the region have been peaceful in spite of the challenges they have been facing. But this kind of response from Shell is capable of raising the temper of the people and disrupting the fragile peace that Shell has been enjoying in Niger Delta. I will advise them to retract the statement they made and comply. The fine is even small compared to the amount of damage the Bonga spill caused on the environment.”
In his view, human rights activist and former President of the Movement for the Survival of Ogoni People, Ledum Mitee, said government’s response to Shell’s refusal to pay the fine would be a proof of Nigeria’s sovereignty.
“For too long, the oil companies have been allowed to get away with murder. Every day people have been dying from drinking contaminated water because oil spills caused by the negligence of the oil companies have polluted their sources of drinking water.
“If they refuse to pay the fine imposed by government, then they are creating the stage for the communities to demand the compensations by themselves, which would not augur well for the peaceful relationship between the company and the communities,” he said.
In the same vein, frontline human rights activist in the region, Ankio Briggs, said the fine must be collected and used to develop Niger Delta.
“Shell is saying there is no basis for the fine. No problem. When they can no longer get the oil from the Niger Delta, they would know that there is basis for the fine. This is the kind of arrogance that annoys the people of Niger Delta. Well, we are watching.

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