Contending Issues in the Niger Delta Crisis of Nigeria - Journal of ...

Dr. Lere Amusan
close down in Isoko and Ogoni lands in the late 1990s. The impact of
this was a drastic reduction in oil production of about a third of total
capacity. The result Foreign exchange plummeted and the same
encouraged the state to borrow more from various international
financial institutions. Exogenous western dominated financial
conditionalities therefore expose the fragile economy to the control of
the West the more.
Of note is the mutual suspicion between the oil companies and the
federal government in the provision of basic amenities for the people
of the Niger Delta. The joint partnership between the oil companies,
mostly Shell and the federal government shifted all the cost of the
venture on the oil companies. The thinking of the government was
that the oil companies would provide all the financial and technical
costs of the venture. Also worthy of not is the belief of the oil MNCs
that since they pay both rent and royalties, it is the duty of the
government to provide basic human security for its people. This led to
mutual suspect and shifting responsibilities from one end to the
other. In some instances when the oil companies, like any other
multinational corporations, display philanthropic roles, their
economic objectives are always taken into consideration. Their
community development roles are usually lopsided and not really fit
into the need of the people. Schools and pipe-borne water
construction, for instances, in the heavily polluted areas without
enabling environment for its people to engage in production of goods
31