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An Evaluation of the Impact of the Amnesty Programme On Offiah E.I 1 AN EVALUATION OF THE IMPACT OF THE AMNESTY PROGRAMME ON CRUDE OIL EXPLORATION IN NIGER DELTA: THE IMPLICATION TO CRISES MANAGEMENT IN PUBLIC RELATIONS BY OFFIAH; EMMANUEL IKECHUKWU PG/M.SC/08/53045 DEPARTMENT OF MARKETING (PUBLIC RELATIONS), FACULTY OF BUSINESS ADMINISTRATION, SCHOOL OF POST GRADUATE STUDIES UNIVERSITY OF NIGERIA ENUGU CAMPUS JUNE 2010 Offiah E.I 2 TITLE PAGE AN EVALUATION OF THE IMPACT OF THE AMNESTY PROGRAM ON CRUDE OIL EXPLORATION IN NIGER DELTA: THE IMPLICATION TO CRISES MANAGEMENT IN PUBLIC RELATIONS BY OFFIAH EMMANUEL IKECHUKWU PG/M.SC/08/53045 A RESEARCH PROJECT PRESENTED TO THE MARKETING DEPARTMENT, FACULTY OF BUSINESS ADMINISTRATION, UNIVERSITY OF NIGERIA ENUGU CAMPUS IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE AWARD OF M.SC IN PUBLIC RELATIONS. JUNE 2010 Offiah E.I 3 CERTIFICATION I Offiah, Emmanuel Ikechukwu a post graduate student of Public Relations in the Department of Marketing, Faculty of Business Administration, University of Nigeria, Enugu Campus, with registration number PG/M.SC/08/53045 here by certify that the work embodied in this project has not been submitted in part or full for any other degree of the institution and others. _________________ Offiah Emmanuel I. (Candidate) Date_______________ Offiah E.I 4 APPROVAL PAGE Offiah, Emmanuel Ikechukwu a post graduate student of Public Relations in the Department of Marketing, Faculty of Business Administration, University of Nigeria, Enugu Campus, with registration number PG/M.SC/08/53045 has satisfactorily completed the requirements for the programme. _________________ _________________ DR J.O. NNABUKO DR J.O. NNABUKO (Supervisor) (Head of Department) Date_______________ Date_______________ Offiah E.I 5 DEDICATION This work is highly dedicated to the Almighty God who is God for ever, the giver of all wisdom and every good thing. I dedicate this work also to my two daughters Vitoria Chioma and Success Chinemeze. They are precious gift from the Lord to me. Offiah E.I 6 ACKNOWLEDGEMENTS Writing a project work on a virgin topic and the one that is about the current happening like the Niger Delta crisis and the amnesty issue, is not an easy task. My thanks go to organizations like Nigerian National Petroleum Corporation (NNPC) and the Central Bank of Nigeria (CBN) whose websites provided the necessary materials needed for the research work. I also give thanks to the owners of and contributors to the Wikipedia free online encyclopaedia for the valuable materials that they offer to the public which was of great help to me in writing this research project. Also, no academic work like this can be written without references and uses of past or existing works of other experts particularly, in the field of Public Relations and Crises Management. I therefore, acknowledge with thanks the authors of books, articles and materials referenced in this work, whose efforts and wisdom have sharpened my thought and insights towards the delivery of this project work. It is my pleasure also to acknowledge the effort of my project supervisor Dr J.O. Nnabuko who is also the Head, Department of Marketing University of Nigeria Enugu Campus, for her scholarly guidance toward this project work. This section will not be complete without mentioning the scholarly contribution and guidance provided by the lecturers from whom I received tutelage in the University especially Prof. Nwaizugbo, Prof. C. Amadi, Prof. Onah, Prof. I.E. Nwosu, Dr. J.I. Uduji, Dr. Ehikwe, Dr. S.L. Moguluwa, Dr. C. Obeta, and Chief C.B. Achision. I also, acknowledge all the members of M.Sc Public Relations 2008/9 Class. I appreciate and at the same time apologize to my two little children, Vitoria and Success, whom I temporally denied care and guidance in their school assignments while writing this project. Offiah E.I 7 TABLE OF CONTENTS TITLE PAGE CERTIFICATION APPROVAL PAGE DEDICATION ACKNOWLEDGEMENT TABLE OF CONTENTS LIST OF TABLES ABSTRACT CHAPTER ONE: INTRODUCTION 1.1 Background of the Study 1.2 Statement of the Problem 1.3 Objectives of the Study 1.4 Research Questions 1.5 Research Hypotheses 1.6 Significance of the Study 1.7 Delimitations of the Study 1.9 Limitations of the Study 1.10 Definition of Key Terms References CHAPTER TWO: LITERATURE REVIEW 2.1 Introduction 2.2 Public Relations 2.3 Crisis Management in Public Relations 2.4 Amnesty Approach to Niger Delta Crisis 2.5 Petroleum industry in Nigeria 2.6 Oil History and Politics 2.7 Niger Delta Development Commission and Niger Delta Ministry References Offiah E.I 8 CHAPTER THREE: RESEARCH METHODOLOGY 3.1 Introduction 3.2 Design of the Study 3.3 Area of the Study 3.4 Population of the Study 3.5 Sources of Data 3.10 Method of Data Presentation and Analysis References CHAPTER FOUR – PRESENTATION AND ANALYSIS OF DATA 4.1 Introduction 4.2 Research question 4.3 Hypotheses testing References CHAPTER FIVE – SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS 5.1 Summary of Findings 5.2 Conclusion 5.3 Recommendations References Offiah E.I 9 Abstract The major purpose of this study was to evaluate the impact of the amnesty programme by Nigerian government to the Niger Delta militants on crude oil exploration in Niger Delta and also, look at the implication to crises management in public relations. Six research questions and two hypotheses were formulated to guide the study. This study utilizes the ex post facto and historical research designs. Data on Crude oil production, export and prices by NNPC from 1961 to 2010 were collected for the study. The data were analysed using descriptive and inferential statistics. One-tailed test was used to test the hypotheses at 0.05 level of significance. The major finding of the study was that immediately after the amnesty program, the crude oil production appreciated by 181 million barrels in 2010 and this increase amounted to $14.659 billion or N 2.2 trillion. It was concluded that the amnesty programme had significant improvement on the level of crude oil exploration and on the level of revenue generated from crude oil from Niger Delta region. (1) It was recommended that the government and the oil multinationals should use every public relations and crises management strategy to rebuild, sustain and maintain peace in the Niger Delta region as this will guarantee steady growth in oil revenue. (2) The government and the oil multinationals should be transparent and accountable enough and ensure participatory development schemes that should foster development in the Niger Delta communities. (3) The Niger Delta crisis requires a negotiated political resolution as any attempt to use military solution would always be disastrous for residents and risky for the oil industry. Most facilities are in the maze of creeks and rivers that are particularly vulnerable to raids by well-armed militants with intimate knowledge of the terrain. (4) Greater effort should be made to stop illegal oil “bunkering” as it accelerates the conflict and provides militant and criminal groups with funds to purchase arms. (5) To encourage faster development of Niger Delta and in an effort to deflect growing public impatience, government should spend, more than ever, greater amounts on community projects. The Oil industries should also contribute to greater extent to the development of the region and should not leave the developmental efforts to the government alone. Offiah E.I 10 CHAPTER ONE: INTRODUCTION 1.2 Background of the Study Prior to the discovery of crude oil in the Niger Delta, the area had been very peaceful. The residents were mainly engaged in agriculture and fishing. But the discovery of crude oil and its subsequent elevation as the basic or major resources of the nation, Nigeria, created problems to the inhabitants of the Niger Delta, especially those communities from whose land the oil is tapped and those whose means of livelihood come from fishing. As the federal government of Nigeria received huge royalties from the oil companies, and the oil companies themselves, as well as their workers swim in affluence while the oil communities wallow in abject poverty in addition to contending with environmental degradation and pollution. This situation over the years had propelled and provoked strong agitation and upheaval in the Niger Delta region. The contention has always been between the oil communities in one hand and the oil multinationals and the federal government of Nigeria in the other hand. However, the Niger Delta crisis was multifaceted. The root cause of this crisis is traceable to the collective failure and neglect of the region by the federal government of Nigeria, the Niger Delta state governments and the multinational oil corporations. They failed to bring about rapid socioeconomic development to the region over the decades, beginning from the time crude oil was found in the region. Thus the Niger Delta crisis is reducible to underdevelopment of the region. The region has been clamouring for fair compensation and revenue allocation from oil extracted from their land. Oil revenue allocation had been the subject of much contention well before Nigeria gained its independence. As shown in Table 1, allocations had varied from as much as 50%, owing to the First Republic's high degree of regional autonomy, and as low as 10% during the military dictatorships. In practice, 85% of the oil wealth was retained by Nigerian elites who comprise 1% of the population. It is important to note that petroleum industry is the largest industry and main generator of GDP in Nigeria. Since the British discovered oil in the Niger Delta in the late 1950s, the oil industry has been marred by political and economic strife largely due to a long history of corrupt military regimes and complicity of multinational corporations, notably Royal Dutch Shell.
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