QUEST FOR ADEQUATE COMPENSATION BY OIL PROSPECTING FIRMS IN THE NIGERIAN OIL INDUSTRY

Abstract

The paper addressed the phenomenon of compensation occasioned by oil spillage in the process of oil prospecting, exploration as well as transportation. It examined the quantum of compensation that are payable to individuals or communities on the account of damage to the land based on Environmental Impact Assessment. It discovers that Nigeria being so naturally endowed with Black gold, there are no adequate laws on compensation to individuals whose rights have been so violated; where such laws exist, the compensation is not adequate because the prospecting companies in Nigeria have concealed such documents from the Nigerian government hence, the only hope for the affected masses is the law court that reserves the right to address such issues as to assess compensation whether adequate or not. The paper concludes by calling for codified laws that furnishes individuals and communities with current information on the rights of citizens, compensation plans for pollution/spillage as well as adequate sanction that will serve as deterrent to future culprit.