THE CONTRIBUTION OF OIL COMPANIES TO THE DEVELOPMENT OF PORT HARCOURT

LOCAL GOVERNMENT AND OGONI LOCAL GOVERNMENT AREAS IN RIVER STATE

ABSTRACT

The aim of this research is to contribute to a clear understanding of the area of contribution in development of host communities and also articulate  the different views and opinion of the  issue. Again to identify the problem uncounted by the oil companies and also in pursuance of its contribution to the communities and finally to suggest ways to improving on its contribution in developing communities.

Chapter one deals with background of the study of introduction and some of the oil companies contributions to their host communities.

Chapter two literature review and total of oil companies that are involved in the study and the problem encounter by the oil companies from their communities chapter three is the major research method adopted it includes personal interview observation structural question and a review of periodical journals magazines and bulletins.

The finding of the contribution investigate that oil companies in river state respond to social needs employee needs, and organizations goals.

Chapter four deals with the analysis of data obtained from the filed of research and also we concluded that oil companies should be responsible and contribute to its surrounding communities.

Chapter five is concerned with the findings conclusion and recommendations arrived at a comprehensive list of all text and authorities consulted in the process of this research are listed the bibliography above is the sample of the questionnaire 

  TABLE OF CONTENTS

CHAPTER ONE

Introduction

1.1       Background of study.

1.2       Statements of problem.

1.3              Objective of the problem

1.4              Research questions

1.5       purpose of study 

1.6       Significance of the study

1.7              Scope of the study

1.8              Limitations of the study

1.9              Definitions of terms.

CHAPTER TWO

Literature Review

Authors relevant to my write up chapter references

CHAPTER THREE

RESEARCH DESIGN AND METHODOLOGY

3.0       Introduction to the study

3.1              Research design

3.2              Area of study

3.3              Population of the study

3.4              Sample size determination

3.5              Instrument for data collection

3.6              Validation of the instrument

3.7              Reliability of the instrument

3.8              Method of data collection

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.1              Presentation & analysis of data

4.2              Testing of research questionnaire  analysis

CHAPTER FIVE

5.1       DISCUSSION RESULT OF FINDING

5.2       Conclusion

5.3       Recommendation

5.4              References

5.5              Questionnaire

Bibliography

 

CHAPTER ONE

INTRODUCTION

The idea of oil companies contributing to some of he host communities particularly Port Harcourt and Ogoni local government area is perhaps the most current development in Nigeria.

Most oil companies have an obligation to the host communities in which they  live and operate and also a responsibility to the others who live in the society with them like the farmer who must put back into the ground minerals he takes out in crops.  The oil companies should patronize back the communities in which they operate because their activities produce negative externalities destroying vegetation and aquatic lives causing environment pollution and discomfort.  It is recommended that they should invest in social projects such as hospitals school etc to compensate the inheritants, if they expect the communities to work with them the concept of contributions of communizes to consider their acts with the frame work of the whole social system for instance a contribution to an academic institution.  Is to provide the communities with educated elites in the future.  The contribution of giving represent policy such investment in part has these mineral resources.

Oil companies cannot exist in a vaccum, isolation or an empty space.  It exists in an environment in the communities which is dynamic and ever changing.  The environment is an aggregate of the demographic social economic political technological and ecological condition that influences an organization.

These communities provide resources and limitation and determine opportunities open to threats that can be faced many Nigera oil companies NAOC, NNPC shell B.P and ELF OR companies have to contribute to educational development fund, supplying the tertiary institution with book and bursary award to those host communities while other go beyond more donation to the monumental project in aid of huger education still other oil companies make scholarship award to some individual in the host communities in which they operate while others donate money and materials to victims of natural disaster like fold desert encroachment and oil pollutions.

Forever, some other companies sponsor in supporting event particularly swimming lawn tention squash and badmintion still others sponsor state and nation discordancing completions.

The researcher nonetheless observed that oil companies in have accepted some of these responsibilities as part of their policy guidelines.

This research work is the study of Port Harcourt and Ogoni local government area.  It focused specially on the contributions of oil companies to the development of host communities which is Port Harcourt and Ogoni.

Some of the oil companies which contribute immensely to the development of port Harcourt and Ogoni local government areas include NNPC,NAOC and others too numerous to mention but it is wise to give one of he oil companies its pronounce in this research work that is Nigeria national petroleum corporation (NNPC)

1.1              BACKGROUND OF THE STUDY

Niger national petroleum corporation is one of the major oil companies in river state and it is the largest oil producing companies in Africa.  Construction of the refinery started in 1963 and came on stream in 1965 with an initial capacity of 35,000 bbls per day

The refinery has a staff of about 2,000 staff welfare is given priority attention and industrial harmony is sustained through monthly consultation meeting with nation workers the product they process is of two types domestic crude (TUP)and the Bonny medium crude oil.  The processing is either trip or a bind of the medium and trip to produce

a)                  Cg- cooking gas

b)                    PMS- petrol (vehicle fuel )

c)                  DPT- domestic and aviation fuel

d)                 AG- fuel for heavy vehicles.

The objectives of Nigeria national petroleum corporation (NNPC) are in three fold.

1)         TO THE NATION:  It provides the nations wealth the income and expenditure of the country that based on it.

2)         TO THE EMPLOYEE:                   To ensure that employee have good and safe condition of retirement benefits.  To promote and develop the best use   of human potentialities in particular Nigeria staff.

3)         TO THE SOCIETY:            To conduct its business as responsible number of the society of Nigerian observing the laws of the country giving due regard to safely and environmental standard to society needs.

1.2              STATEMENT OF THE PROBLEMS

The major problem of oil companies in Niger with particular reference to the contributions of the oil companies in development of the hoist communities is that it is relatively difficult to administer well to the contribution in development of he host communities. The board of directors of oil companies who are in charged with the authority of a administering.  Social responsibilities are not carried out satisfactory assessment and collection of information from the host communities because of misunderstanding of some families in the villages of clients who want to drive the benefit alone

With these misunderstanding the implementation of social amenities to the communities has been difficult to embark upon.

The problems that appear outstanding are ignorance of greedy on the part of misunderstanding families in the village of the host communizes who want to benefit alone.

This is viewed from two perspectives.

a)                  The host communities  do not seek for the relevant project to carry out as contributions from oil companies

b)                   The project sited by the oil companies from the undesirable element in the community.

1)         Another problem is spending on host communities projects

2)         The project that would been earned by government as revenue is reduced.

3)         Then the implications of the oil company not involved in the development of host communities with social amenities is that there will be conflict if they fail to carry out or compensate the host communities with social amenities conflict may be in from of violence between the companies and host communities.  If the situation is not arrested on time, it may lead to stoppage of he companies.

     RESEARCH QUESTIONS

1)         How responsive are the oil companies to their surrounding communities?

2)         Will these responsive of oil companies ensure mutual understanding between oil companies and the host communities?

3)         Will compensating the host communities bring out conducive atmospheres between the host communities and Oil Company?

4)         Does the oil companies have yearly budget for social amenities to be provided to the host communities?

5)         Will these oil companies with stand conflict if they fail to compensate.

6)         What types of conflicts may likely rest in the absence of compensation by this oil companies.

1.3              PURPOSE OF STUDY

The purposes of study are

1)         To identify the activities of these oil companies in the area of contribution to their host communities.

2)         To identify the problems encountered by the oil companies in pursuance of its contributions to the communities.

3)         To find out whether being responsive to the social responsibility on the host communities bring about a lasting peace.

4)         To suggest ways of improving on its contribution in developing the communities.

1.4              SCOPE OF THE STUDY

In carrying out this study it was limited to port Harcourt and Ogoni local government area in river state.

1.5              SIGNIFICANCE OF STUDY

1)                  The finding of this study will be of benefit to all the host community and also see how the oil companies are helping them by contributing to their well being.

2)                  The government will benefit by them in developing community by providing these communities with social amenities.

3)                  The  study will assist may future research in this area to know all the certain contributions the oil companies has been rendering to our communities particularly port Harcourt and Ogoni

1.6              DEFINITION TERMS

1)         POLICT:       It is referred to the oil company’s method procedure rules and administrative practices associated with the strategic plan into results.

2)         ENVIRONMENT DEGRADATION:       This is the wearing away of the surface oil through environmental operation of the oil companies.

3)         OBLIGATION:        They are duty or promise act indicates that ought to be done by the companies.

4)         INDUSTRIAL POLLUTION:        This refers to industrials waste either in the from of gas or chemical during their operations.

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