Nigeria: Parliamentarians urge Govt. to halt all divestment applications by Oil companies until they meet their environmental & social obligations to host communities
'Lawmakers Insist Shell, TotalEnergies Must Address Oil Spills Before Exit’ 6 February 2025
The House of Representatives has called on the Federal Government to suspend all divestment applications by International Oil Companies (IOCs), including Shell and TotalEnergies, until they fulfill their environmental and social obligations to host communities in the Niger Delta. The resolution was reached following a motion of urgent public importance moved by House Minority Leader Kingsley Chinda during Thursday’s plenary session. Chinda mentioned multiple independent reports, including those by the United Nations Environment Programme (UNEP) and the Bayelsa State Oil and Environment Commission, which have extensively documented the devastating effects of oil exploration in the Niger Delta, including widespread pollution, environmental degradation and social unrest.
…Chinda also pointed to past divestments—such as the sale of Nembe assets to Aiteo, ExxonMobil’s asset transfers, and ENI/AGIP’s sale to Oando—which left host communities struggling with unresolved environmental damage, oil spills, and social instability. He argued that approving Shell’s or TotalEnergies’ divestment requests without resolving past liabilities would undermine Nigeria’s regulatory authority and transfer corporate responsibilities to the state, setting a dangerous precedent for environmental impunity. “Approving Shell’s or TotalEnergies’ divestment requests without addressing these historical and ongoing liabilities risks undermining Nigeria’s regulatory independence, transferring corporate responsibilities to the state and setting a dangerous precedent for environmental impunity,” Chinda said.
Lawmakers further warned that allowing IOCs to exit without accountability would exacerbate environmental degradation in the Niger Delta, weaken Nigeria’s regulatory framework and erode public trust in the government’s ability to protect host communities. The motion was unanimously adopted, signaling a firm stance by the House of Representatives on ensuring IOCs fulfill their obligations before divesting from Nigerian oil assets. The decision comes as Nigeria continues to grapple with the long-term consequences of oil spills, pipeline vandalism and the economic impact of environmental damage on local communities.