| Peer-Reviewed

Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities

Received: 12 January 2018     Accepted: 16 February 2018     Published: 16 March 2018
Views:       Downloads:
Abstract

When the oil producing communities relinquished their land for oil production, they did so expecting direct benefits, which may be summarized as welfare improvement. But unfortunately, rather than celebrate the arrival of these benefits, there were complaints from the communities about damage to the environment, which impacted their means of livelihood negatively. It is therefore to investigate these claims that this study examines the effects of oil production on household income generation and well-being in selected oil producing communities in the Niger Delta Region of Nigeria. To accomplish this task, survey approach was employed on account of which the three (3) participating States; four (4) Local Government Areas; and five (5) communities were selected with the aid of purposive sampling technique. Also, the six hundred and fifty-eight (658) households, which constituted the sampled objects of study were drawn with the employment of random sampling technique. The generated data was therefore analyzed with the aid of descriptive and logistic regression tools. The result of the analysis revealed that oil exploration and exploitation activities, truly impacted negatively on the income capacity and the well-being of households in the oil-bearing communities. Hence, something significant needs to be done in order to reverse the trend. The study recommends that policies that would ensure immediate clean-up of pollution sites, and adequate compensation plan both in the case of pollution and land take-over be put in place. These would ensure socially-optimal operations by the firms that would guarantee the protection of community dwellers who have always been at the receiving end of the negative effect of oil production.

Published in Journal of World Economic Research (Volume 7, Issue 1)
DOI 10.11648/j.jwer.20180701.13
Page(s) 21-36
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2018. Published by Science Publishing Group

Keywords

Oil, Poverty, Production, Environment, Living Condition, Life Sustainability

References
[1] African Ranking (2015). Top 10 Oil Producing Countries in Africa. Available atwww.africanranking.com. Retrieved on 20th December, 2015.
[2] Asen, R. (2002). Visions of Poverty: Welfare Policy and Political Imagination. East Lansing: Michigan State University Press, p. 234.
[3] Asian Development Bank (1999). Fighting Poverty in Asia and the Pacific: The Poverty Reduction Strategy of the Asian Development Bank. Manila.
[4] Batzias, F. A., Zoupanidou, E. E., Kopsidas, O. N. and Siontorou, C. G. (2012). Contingent Valuation for the Preservation/Restoration of Three Lakes in Northern Greece. Available at www.wseas.us/e-library/conferences/2012. Retrieved on 15th May, 2012
[5] Bettinger, F. (1977). How I Raised Myself From Failure to Success in Selling. New York: Simon and Schuster, p. 388.
[6] Bradshaw, T. K. (2000). Complex Community Development Projects: Collaboration, Comprehensive Programs and Community Coalitions in Complex Society. Community Development Journal, 35 (2): 133-145.
[7] Bradshaw, T. K. (2006). Theories of Poverty and Anti-Poverty Programs in Community Development. Working Paper Series No. 06-05, p 10 – 12. Rural Poverty Research Center. http: //www.rprconline.org/
[8] Bradshaw, T. and Muller, B. (2003). Shaping policy decisions with spatial analysis. In: Goodchild. F. and Janelle, D. G. (eds), Spatially integrated social science: Examples in best practice. New York: Oxford University Press, p 300 - 322
[9] Bradshaw, T. K., King, J. R. and Wahlstrom, S. (1998). Catching on to Clusters. Planning, 65 (6): 18-21.
[10] Chambers, R. (2008). PRA, PLA and Pluralism: Practice and Theory. In: Peter Reason and Hilary Bradbury (Eds.), The Sage Handbook of Action Research. Participative inquiry and practice (2nd ed.), London: Sage, p. 297-318.
[11] Cornfield, J. (1951). A Method of Estimating Comparative Rates from Clinical Data. Journal of the National Cancer Institute, 11: 1269-1275.
[12] Cornfield, J. (1956). A Statistical Problem Arising from Retrospective Studies. In: J. Neyman (Ed.), Proceedings of the Third Berkeley Symposium on Mathematical Statistics and Probability, Berkeley, Calif., University of California Press, p. 135-148.
[13] Fischer, C. S., Hout, M., Jankowski, M. S., Lucas, S. R., Swidler, A. and Voss, K. (1996). Inequality by Design: Cracking the Bell Curve Myth. Princeton: Princeton University Press, p. 315.
[14] Freire, P. (1982). Creating Alternative Research Methods. Learning to do it by doing it. In: Hall, B., Gillette, A. and Tandon, R. (eds.) Creating Knowledge: A Monopoly. New Delhi, Society for Participatory Research in Asia, p. 29–37.
[15] Gertz, C. (1973). The Interpretation of Cultures. New York: Basic Books, Inc., Publishers, p. 298.
[16] Goldsmith, W. W. and Blakely, E. J. (1992). Separate Societies: Poverty and Inequality in American Cities. Philadelphia: Temple University Press, p 125.
[17] Gordon, D. (2006). The Concept and Measurement of Poverty in Poverty and Social Exclusion in Britain. Bristol: The Policy Press, p. 296.
[18] Hall, B. L. (1975). Participatory Research: An Approach for Change. Convergence, 8 (2): 24 - 32.
[19] Hansen, N. (1970). Poverty and the Urban Crisis. Bloomington: Indiana State University, p. 311.
[20] Harding, D. J. (2005). Mechanisms of Neighborhood Effects: Linking Culture and Structure to Adolescent Outcomes in Poor Neighborhoods. Ph.D. Dissertation. Program in Sociology and Social Policy, Harvard University.
[21] Hays, S. (2003). Flat Broke with Children: Women in the Age of Welfare Reform. New York: Oxford University Press, p. 329.
[22] Horton, M. and Freire, P. (1990). We Make the Road by Walking: Conversations on Education and Social Change. Philadelphia: Temple University Press, p. 976.
[23] Jencks, C. (1996). Can we Replace Welfare with Work? In: Darby, M. R. (ed), Reducing Poverty in America. Thousand Oaks: Sage, p 69 – 81.
[24] Kartz, M. B. (1989). The Undeserving Poor: From the War on Poverty to the War on Welfare. New York: Pantheon Books, p. 289.
[25] Krejcie, R. V. and Morgan, D. W. (1970). Determining Sample Size for Research Activities. Educational and Psychological Measurement, 30, 607-610.
[26] Kupper, C. and Vagh, M. (2014). Cartographic du petrole en Afrique de l’Quest, Groupe de Recherche de d’information sur la paix et la securite, Brussels, January, 2014.
[27] Lamont, M. (1992). Money, Morals, Manners: The Culture of the French and American Upper Class. Chicago: University of Chicago Press, p. 255
[28] Lera, F., Fauliun J., Sanchez M., and Calleja-Blanco (2013). Analysis of the Willingness to Pay to Reduce Environmental Impacted from Road Transportation. Available at http://www.orlabanalytics.ca. Retrieved on 15th June, 2015.
[29] Lewis, O. (1966). La Vida: a Puerto Rican Family in the Culture of Poverty. New York: Random House, p. 289.
[30] Lewis O. (1966b). The Culture of Poverty. Scientific American, 215: 19 - 25.
[31] Lewis O. (1967). The Children of Sanchez - Autobiography of a Mexican family. Current Anthropology, 8: 480 - 500.
[32] Lewis, O. (1969). A Death in the Sanchez Family. New York: Random House, p. 190-192.
[33] Lyson, T. A., and Falk, W. W. (1992). Forgotten Places: Uneven Development and Underclass in Rural America. Lawrence: University of Kansas Press, p. 299
[34] Maslow, A. H. (1943). A Theory of Human Motivation. Psychological Review, 50 (4) 370 - 396.
[35] Moreno-Torres, I. (2011), Generic Drugs in Spain: Price Competition Versus Moral hazard in Document De Trebal. www.xreap.cat. Retrieved on 15th August, 2014.
[36] Morrill, R. L. and Wohlenberg, E. H. (1971). The Geography of Poverty. New York: McGraw Hill, p. 564.
[37] Myrdal, G. (1957). Economic Theory and Underdeveloped Regions. London: Gerald Duckworth and Co., p. 323.
[38] National Bureau of Statistics (2006). Annual Abstract of Statistics, p. 290.
[39] National Bureau of Statistics (2007). General Household Survey Report, 1995 - 2005, p. 21
[40] National Bureau of Statistics (2010). Nigeria Poverty Profile 2010. Available at www.nigerianstat.org.ng. Retrieved on 8th July, 2014.
[41] National Bureau of Statistics (2012). Harmonized Nigerian Living Standard Survey, 2009/2010. Abstracts of Statistics. Abuja, Nigeria, p. 8 -11.
[42] National Bureau of Statistics (2015). Nigeria Gross Domestic Product Report, Qtr 2, 2015. Available atwww.nigerianstat.org.ng.
[43] Ojide, M. G., Onyukwu, O. E., and Ikpeze, N. I. (2015), Households Perception of Factors Influencing Agricultural Productivity in Ogoni Community: An Ordinal Logit Approach. Asian Journal of Economics and Empirical Research, 2 (2):76-82.
[44] Orebiyi, Paul A. (2016). Socioeconomic Impact of Oil Production on Selected Niger Delta Communities. Being PhD Thesis submitted to the University of Uyo, October 2016.
[45] Rostow, W. W. (1960). The Five Stages of Growth - A Summary. The Stages of Economic Growth: A Non-Communist Manifesto. Cambridge: Cambridge University Press, p. 416.
[46] Rostow, W. W. (1962). The Stages of Economic Growth. London: Cambridge University Press, p 359.
[47] Rural Sociological Society Task Force on Persistent Poverty (1990). Persistent Poverty in Rural America. Boulder: Westview Press. p. 71 -74.
[48] Ryan, W. (1976). Blaming the Victim. New York: Vintage, p. 220.
[49] Snow, D. and Benford, R. (1992). Master Frames and Cycles of Protest. in Fronteirs in Social Movement Theory, edited by Aldon Morris and Carol Mueller. New Haven, Conn.: Yale University Press. p. 355.
[50] Stigler, S. M. (1986). The History of Statistics: The Measurement of Uncertainty before 1900. Cambridge: Belknap Press of Harvard University Press, p. 431.
[51] Swidler, A. (1986). Culture in Action: Symbols and Strategies. American Sociological Review, 51:273-286.
[52] Thomas, S. and Canagarajah, S. (2002). Poverty in a Wealthy Economy: The Case of Nigeria IMF Working Papers. WP/02/112.
[53] Tobin, J. (1994). Poverty in Relation to Macroeconomic Trends, Cycles, Policies. In: Danzinder, S. H., Sandefur, G. D. and Weinberg, D. H. (eds), Confronting Poverty: Prescriptions for Change. Cambridge: Harvard University Press, p. 89 - 98.
[54] United Nations Environmental Programme – UNEP (2011). Environmental Assessment of Ogoni land. UNEP, Nairobi, Kenya. Available at http://www.unep.org. Retrieved on 8th February. 2016.
[55] Wang, Y., Wang, T., Zhang, J. H. and Qin, X. (2011). Effects of Early Serum Glucose Levels on Prognosis of Patients with Acute Intracerebral Haemorrhage. Intracerebral Haemorrhage Research., Acta Neurochirurgica Supplementum, 111: 393 - 397.
[56] Wilson, W. J. (1987). The Truely Disadvantaged: The Inner City, the Underclass and Public Policy. Chicago: University of Chicago Press, p. 389.
[57] Wilson, William Julius (1996). When Work Disappears: The World of the New Urban Poor. New York: Random House, p. 431.
[58] World Bank. (2000). World Development Report 2000/2001: Attacking Poverty. New York: Oxford University Press. Available at http://www.worldbank.org/poverty/health/data/ index.htm. Retrieved on 5th May, 2015.
Cite This Article
  • APA Style

    Orebiyi Paul Atanda, Ekong Christopher Nyong. (2018). Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities. Journal of World Economic Research, 7(1), 21-36. https://doi.org/10.11648/j.jwer.20180701.13

    Copy | Download

    ACS Style

    Orebiyi Paul Atanda; Ekong Christopher Nyong. Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities. J. World Econ. Res. 2018, 7(1), 21-36. doi: 10.11648/j.jwer.20180701.13

    Copy | Download

    AMA Style

    Orebiyi Paul Atanda, Ekong Christopher Nyong. Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities. J World Econ Res. 2018;7(1):21-36. doi: 10.11648/j.jwer.20180701.13

    Copy | Download

  • @article{10.11648/j.jwer.20180701.13,
      author = {Orebiyi Paul Atanda and Ekong Christopher Nyong},
      title = {Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities},
      journal = {Journal of World Economic Research},
      volume = {7},
      number = {1},
      pages = {21-36},
      doi = {10.11648/j.jwer.20180701.13},
      url = {https://doi.org/10.11648/j.jwer.20180701.13},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.jwer.20180701.13},
      abstract = {When the oil producing communities relinquished their land for oil production, they did so expecting direct benefits, which may be summarized as welfare improvement. But unfortunately, rather than celebrate the arrival of these benefits, there were complaints from the communities about damage to the environment, which impacted their means of livelihood negatively. It is therefore to investigate these claims that this study examines the effects of oil production on household income generation and well-being in selected oil producing communities in the Niger Delta Region of Nigeria. To accomplish this task, survey approach was employed on account of which the three (3) participating States; four (4) Local Government Areas; and five (5) communities were selected with the aid of purposive sampling technique. Also, the six hundred and fifty-eight (658) households, which constituted the sampled objects of study were drawn with the employment of random sampling technique. The generated data was therefore analyzed with the aid of descriptive and logistic regression tools. The result of the analysis revealed that oil exploration and exploitation activities, truly impacted negatively on the income capacity and the well-being of households in the oil-bearing communities. Hence, something significant needs to be done in order to reverse the trend. The study recommends that policies that would ensure immediate clean-up of pollution sites, and adequate compensation plan both in the case of pollution and land take-over be put in place. These would ensure socially-optimal operations by the firms that would guarantee the protection of community dwellers who have always been at the receiving end of the negative effect of oil production.},
     year = {2018}
    }
    

    Copy | Download

  • TY  - JOUR
    T1  - Oil Production and the Poverty Situation in the Niger Delta Region of Nigeria: A Case of Selected Communities
    AU  - Orebiyi Paul Atanda
    AU  - Ekong Christopher Nyong
    Y1  - 2018/03/16
    PY  - 2018
    N1  - https://doi.org/10.11648/j.jwer.20180701.13
    DO  - 10.11648/j.jwer.20180701.13
    T2  - Journal of World Economic Research
    JF  - Journal of World Economic Research
    JO  - Journal of World Economic Research
    SP  - 21
    EP  - 36
    PB  - Science Publishing Group
    SN  - 2328-7748
    UR  - https://doi.org/10.11648/j.jwer.20180701.13
    AB  - When the oil producing communities relinquished their land for oil production, they did so expecting direct benefits, which may be summarized as welfare improvement. But unfortunately, rather than celebrate the arrival of these benefits, there were complaints from the communities about damage to the environment, which impacted their means of livelihood negatively. It is therefore to investigate these claims that this study examines the effects of oil production on household income generation and well-being in selected oil producing communities in the Niger Delta Region of Nigeria. To accomplish this task, survey approach was employed on account of which the three (3) participating States; four (4) Local Government Areas; and five (5) communities were selected with the aid of purposive sampling technique. Also, the six hundred and fifty-eight (658) households, which constituted the sampled objects of study were drawn with the employment of random sampling technique. The generated data was therefore analyzed with the aid of descriptive and logistic regression tools. The result of the analysis revealed that oil exploration and exploitation activities, truly impacted negatively on the income capacity and the well-being of households in the oil-bearing communities. Hence, something significant needs to be done in order to reverse the trend. The study recommends that policies that would ensure immediate clean-up of pollution sites, and adequate compensation plan both in the case of pollution and land take-over be put in place. These would ensure socially-optimal operations by the firms that would guarantee the protection of community dwellers who have always been at the receiving end of the negative effect of oil production.
    VL  - 7
    IS  - 1
    ER  - 

    Copy | Download

Author Information
  • Department of Economics, Faculty of Social Sciences, University of Uyo, Uyo, Nigeria

  • Department of Economics, Faculty of Social Sciences, University of Uyo, Uyo, Nigeria

  • Sections