Implications of Crude Oil Extraction on Agriculture and Livelihood in Oil Producing Rural Communities in Nigeria

Abstract

Activities of the oil and gas (O&G) industry directly influence the natural potentials of the ecosystem and human livelihood. In particular, the impacts of crude oil extraction grossly interfere with the daily economic life of man and the natural environment. This study evaluates people's perception of the implications of crude oil extraction on agriculture and people's livelihood in oil producing rural communities in Nigeria with particular focus on the Niger Delta region, an area where most onshore and offshore crude oil extractions are carried out. The bias in this study came from the fact that crude oil is mainly either extracted or transported across rural communities in the region through water routes and/or arable lands, the population here almost solely depends on natural resourceswater and landfor their daily livelihood. Findings suggest that livelihood sources in the region are under evident direct threat of pollution and other impacts of the O&G industry. Results obtained from the descriptive analysis of 446 respondents indicate a perception of high impact of crude oil extraction on food prices (74.7%), food safety (60.5%), crop yield (48.2%) and animal production (28.3%). The results of the Ordered Probit regression analysis suggest that farmers and fishermen are more vulner able or mostly affected by impacts of crude oil extraction in the region. The study thus opined that adequate mitigation of negative impacts of crude oil extraction would promote improved food safety, affordable food supply and improved household income in oil producing rural communities. Therefore, the O&G industry should intensify its commitments towards mitigating undesirable implications of exploration and extraction activities by O&G companies in the oil producing areas. In a bit to mitigate prevailing livelihood problems in the Niger Delta region, there is a need for O&G companies and government to provide necessary compensations, trainings and other support to help the rural people sustain their livelihood. In addition, all stakeholders in the O&G industry should collaborate with academic and research institutions to promote research in agriculture towards achieving improved food production and food safety in areas affected by impacts of crude oil extraction.

The Political Economy of the Oil and Gas Sector in Emerging and Developing Countries

“…The agitations and arguments by the people of the Delta region and northern sphere of Nigeria reflect the inter-regional bargain of petroleum revenue sharing, underscored by different reasons. As the main region for hydrocarbon production, people of the Niger Delta claim custody of the resources and contend that they should be the greater beneficiaries of the revenues (Ukpong & Obok, 2018). The northern regions, on the other hand believe the resources should be viewed as wealth of the whole country and as such, the revenues should be shared equally to benefit every Nigerian (Nzemeke, 2001).…”

Econometrics of Environmental Valuation: The Bayesian Inferences on Willingness to Pay Estimations

“…Pipeline explosion is a severe hazard of the oil and gas industry, which in most cases, causes death and injury to both animals and human beings, and a wide range of damage to the environment and people's sources of livelihood (Han & Weng, 2010). These environmental impacts pose serious setback on agricultural production and food security among rural households in the oil producing areas in Nigeria (Ukpong, & Obok, 2018). In fact, majority of the rural households in Nigeria depend largely on subsistent agriculture, fishing and forestry activities (Ekpebu & Ukpong, 2013).…”

Planning Implications of the Effect of Crude Oil Pollution on Germination and Growth Parameters of Mucuna Pruriens (Var Cochinchinesis) Fabacea in Rivers State, Nigeria

“…Most of the irregular experiences occasioned by crude oil contamination of the soil include drastic farmland degradation, poor soil aeration, massive reduction of soil fertility, raised temperature of the soil, soil structure obliteration, annihilation of the soil microbial communities, low productivity of the crops, yellowing of the leaves of the crop, stunted growth, wilting of the crop, rotting tubers of the crop, the occurrence of crop diseases and burnt crop leaves [17]. The collective effects of those conditions often led to poor crop yield or massive crop failure [25,26]. For instance, the significant impact of crude oil spills on cassava production was observed [27] to include rotting tubers, stunted growth, poor yield, and crop failure.…”