Oily Livelihoods - July 2020

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DYNAMICS OF ARTISINAL REFINING ON SUSTAINABLE LIVELIHOODS IN THE NIGER DELTA AUGUST 2020 - NIGERIA

OILY LIVELIHOODS

Authors / Contributors

◼ Akinwumi Oke Strategic Partnership for Lobby & Advocacy / Cordaid ◼ Inatimi Odio Strategic Partnership for Lobby & Advocacy / FACE Initiative ◼ Tolase Olatinwo Strategic Partnership for Lobby & Advocacy / Cordaid ◼ Oluwapelumi Adeyera Independent Consultant / Research Assistant

Disclaimer This research report was made possible through the support of the Strategic Partnership for Lobby and Advocacy programme which is funded by the Dutch Ministry of Foreign Affairs and implemented by Cordaid. However, the findings and conclusions in this report are those of the authors and do not necessarily represent the official position of the Dutch Ministry of Foreign Affairs and Cordaid. .

Suggested Citation The Strategic Partnership on Lobby & Advocacy Programme in Nigeria, June 2020. Oily Livelihoods: The dynamics of artisanal refining on sustainable livelihoods in the Niger Delta.

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CONTENTS

EXECUTIVE SUMMARY ...... 4 Key Findings ...... 4 Recommendations ...... 6

1.INTRODUCTION ...... 7 Background ...... 7

2.LITERATURE REVIEW ...... 9

3.METHODOLOGY ...... 11 Study Site ...... 11 Study Design and Study Population ...... 11

4.DATA ANALYSIS AND INTERPRETATION ...... 13 4.1Socio-Demographic and Occupational Characteristics ...... 13 4.2Perception of Impact of Artisanal Refining on Livelihoods ...... 15 4.3Satisfaction with Current Livelihoods and Livelihood Support ...... 16 4.4Coping Livelihood Strategies against Artisanal Refining ...... 18 4.5Preference for Alternative Livelihoods ...... 19 4.6Possessed and Needed Livelihood Assets ...... 20

5.RECOMMENDATIONS AND CONCLUSION ...... 21 Recommendations ...... 21 Conclusion ...... 23

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EXECUTIVE SUMMARY

This research report – Oily livelihoods: Dynamics of artisanal refining on sustainable livelihoods in the Niger Delta – is based on the findings and analyses from the Sustainable Livelihood Assessment in Selected Oil Impacted Communities in the Niger Delta conducted by the Fostering Achievement of Community Empowerment (FACE) Initiative and commissioned by the Strategic Partnership (SP) for Lobby and Advocacy programme in Nigeria.

Funded by the Dutch Ministry of Foreign Affairs and implemented by Cordaid in partnership with local organizations, the SP is a programme aimed at strengthening the social contract in fragile contexts in six countries – Afghanistan, Burundi, the Central African Republic (CAR), the Democratic Republic of Congo (DRC), Nigeria and South Sudan.

In Nigeria, the SP has been working to empower communities in the Niger Delta to advocate for and participate in the clean-up of oil spills in the region, especially in the most affected Ogoniland. Among the programme’s interventions is the promotion of sustainable livelihoods. The Sustainable Livelihood Assessment in Selected Oil Impacted Communities in the Niger Delta was conducted to gather local evidence for knowledge building around sustainable livelihoods and the activities of oil pipeline vandalism, oil bunkering and artisanal refining, which are major drivers of conflicts in the oil- rich but oil-polluted region in Nigeria.

This condensed report focuses on the interplay between livelihoods in the Niger Delta and artisanal refining. It highlights perspectives to better understand measures that can help ensure sustainable, alternative livelihoods in the Niger Delta, especially in the face of increasing trend of artisanal refining (perceived or real) in the region. It is hoped that the findings will help enrich information for decision-making geared towards improving the livelihoods of the people of the Niger Delta and ultimately towards strengthening the social contract between the people and the state.

Key Findings

Socio-demographics of respondents: The study interviewed 927 community members with male respondents (54.3%) being more than the females. Majority of the respondents (74.2%) were between the ages of 15 and 44. Many of the respondents (71.6%) had a means of livelihood with farming, fishing and other agriculture-based occupations being the most common occupations among the respondents (39.3%) followed by trading (25.2%). About 40% of the respondents have two or more occupations. More than half (54.1%) of those with means of occupation earned below N20,000 ($52) monthly. Majority of the respondents (60.4%) attained up to secondary education which may explain why 64.4% of them indicated having human capital assets (e.g. knowledge and skills) more than any other assets (finance, etc.) to earn a living or improve their livelihoods.

Perception of impact of artisanal refining on livelihoods: Among the 664 respondents who had means of livelihood, 60.4% reported that their livelihoods had been affected by oil spills from artisanal refining and other related activities. This implies that while those involved in artisanal refining may be benefiting materially from the activity, majority of the people and communities disapproved of artisanal refining and regarded it as a barrier to acceptable livelihoods. It also implies that artisanal refining remains an issue of concern in the communities needing attention to stop or at least reduce it. The effects of artisanal refining appeared more felt or perceived among those who were 35 years old and above; those in agriculture-related jobs; those with only one means of occupation or source of income; those who had been in their jobs for more than five years; and those who earned less than 20,000 Naira per month.

Satisfaction with current livelihoods and livelihood supports: More than half of the respondents (53%) were not satisfied with their current occupations. Half of the respondents (50.1%) had previous livelihoods and the major reasons for leaving included financial and health challenges. Only 11% or respondents however reported leaving their previous livelihoods because of oil spills. This implies that besides the issue of oil spills in the communities, there are other major barriers to sustainable livelihoods in the Niger Delta.

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awareness raising in the community. Similarly, only 2.4% of respondents indicated that their communities had specifically empowered community members whose livelihoods had been affected by oil spills. Furthermore, more than two-thirds (71.6%) reported that they are not satisfied at all with government efforts in promoting sustainable livelihoods in their communities. There is thus a huge gap between current realities and the expectations of the communities. Invariably, there is a lot that needs to be done towards improving the livelihoods and meeting the expectations of the people of the Niger Delta.

Coping livelihood strategies against artisanal refining: Sixty percent (60%) of the respondents who mentioned that their livelihoods had been affected by artisanal refining also indicated that they had remained in their jobs and taken no specific steps to cope with the effects. However, 14.0% of respondents said they changed jobs; 5.5% relocated to another community; and 8.0% reported the issue of artisanal refining in their communities to authorities for help. Over half of the respondents (56.1%) stated that business or trade was the best livelihood option to cope with the problem of artisanal refining or oil spill in the communities. Empowering locals with relevant livelihood opportunities and alternatives or creating awareness about such opportunities is therefore an important action that should be considered towards ensuring sustainable livelihoods in the Niger Delta. This is especially important for lobbyists and advocates working on sustainable livelihoods to take into consideration in their plans and activities.

Preference for alternative livelihoods: With 53% of respondents indicating their dissatisfaction with their current occupation, it is not surprising that 82% of the respondents reported that they would prefer another source of livelihood. Trading topped the list of most preferred alternative livelihoods by 41% of the respondents which sorts of align with the choice of trading as the best livelihood option against the shocks and stress of oil spills. Even, a high percentage of farmers (44.4%) opted for trading as alternative livelihoods to their current occupations. The implication of this is that traditional farming might have become less attractive among community members. While this may be argued to be as a result of polluted farmlands, it is a likely pointer to the need to rethink agriculture in the Niger Delta in the context of shifting from traditional subsistence agriculture to mechanized agriculture that will create and sustain opportunities for agricultural entrepreneurship (or agropreneurship).

It is worth noting that 42.9% of respondents felt that people involved in artisanal refining would prefer alternative livelihoods if offered sustainable livelihoods. Only about the same percentage of respondents (43.1%) submitted that modular refining will be a suitable alternative to artisanal refining. This means that modular refining as being promoted by the federal government is presently not a well acceptable alternative to artisanal refining by the people. While the reasons for this are outside the scope of this study, it is important that the government revisit her promotion of modular refining to make it more acceptable among the people and communities in the Niger Delta.

Possessed and needed livelihood assets: As 64.4% of respondents indicated having human capital assets (e.g. knowledge and skills) more than any other assets (finance, etc.) to earn a living or improve their livelihoods, it is therefore understandable therefore that 74.1% of respondents indicated that they needed financial capital (e.g. credits and grants) the most. A significant number of respondents (59.3%) also indicated the need for human capital support (e. g. skill acquisition). Specifically, respondents in agriculture-related jobs (86.2%) expressed the highest need for financial capital followed by traders (79.6%).

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Recommendations

Considering the homogeneity of the Niger Delta communities, the Strategic Partnership is using the findings from the communities in Bayelsa State to recommend the following:

◼ While creating community awareness about the effects of artisanal refining in the Niger Delta is good, many communities have already disapproved of artisanal refining as a livelihood activity, so the emphasis of the government, oil companies, development partners and other stakeholders involved or interested in improving livelihoods in the region, should now be more on community awareness that directs locals to other sustainable livelihood opportunities and alternatives derivable from the traditional ecosystem assets.

◼ To address the current high level of dissatisfaction by community members with their present occupations, government, oil companies, development partners, civil society organizations, community groups and other key stakeholders should urgently prioritize initiating concrete sustainable livelihood programs across the communities in the Niger Delta.

◼ Considering the high preference for trading, government should rethink agriculture in the Niger Delta in such a way to bring to life enterprises or trading around agriculture. This will involve shifting from traditional subsistence agriculture to climate-smart and mechanized agriculture that will create and sustain opportunities for agricultural enterprises and agricultural entrepreneurship (or agropreneurship).

◼ Government agencies including but not limited to the Central Bank of Nigeria (CBN) and Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) should prioritize and expand provision of financial support such as credit facilities and grants for farmers. Similarly, oil companies operating in the Niger Delta should include and prioritize provision of grants to farmers in their corporate social responsibility plans as part of efforts to incentivize climate-smart farming and improve traditional, sustainable livelihoods in the Niger Delta.

◼ With many respondents expressing desires to acquire or improve livelihood skills, it is important that relevant stakeholders, including but not limited to government agencies like HYPREP with plans for livelihood support, prioritize the provision of skill acquisition interventions especially for youth and women.

◼ In addition to providing concrete sustainable programs, there is need for government at the local, state and federal levels as well as development partners and civil society organizations to focus on managing the expectations of the people and communities in the Niger Delta for improved livelihoods considering the wide gaps between current efforts and community members’ aspirations.

◼ The Federal Government should revisit its strategies for promoting modular refining to make it more widely acceptable by the people and communities in the Niger Delta as an alternative to artisanal refining.

◼ With many people and communities believing that their livelihoods have been affected by oil spills through artisanal refining, which is regarded by many as a response to the failure of the government and oil companies to clean up the Niger Delta, it is important that HYPREP expedites the clean-up of oil spills in the Niger Delta so that people become more assured that the state is working towards addressing the effects of oil spills on their livelihoods.

◼ There is need for further research to holistically understand the barriers and drivers of sustainable livelihoods in the Niger Delta beyond the links with the dynamics of artisanal refining. Researchers can bridge the knowledge gap by focusing on a SWOT (strength, weakness, opportunity, and threat) analysis of sustainable and alternative livelihoods for different or heterogenous communities in the Niger Delta.

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1. INTRODUCTION

Background

The Strategic Partnership on Lobby and Advocacy aims to strengthen the social contract in fragile contexts in six countries – Afghanistan, Burundi, the Central African Republic (CAR), the Democratic Republic of Congo (DRC), Nigeria and South Sudan. The project is funded by the Dutch Ministry of Foreign Affairs and implemented by Cordaid in partnership with local organizations in each of the six countries.

In Nigeria, the SP has been working since 2016 to empower communities in the oil-rich but oil polluted Niger Delta to advocate for and participate in the clean-up of oil spills in the region, especially in the most affected Ogoniland. The SP envisions an inclusive, peaceful Niger Delta that is based on equity and sustainability.

The project prioritizes generating local evidence for effective lobby and advocacy and to inform decision making pertaining to the resolution of issues around the clean-up of oil spills in the Niger Delta. This involves a participatory research approach that gives voice to the people and communities of the Niger Delta. All civil society organization (CSO) members of the SP are thus tasked to collect local evidence from target groups (with participatory data collection methodologies) for effective lobby and advocacy strategies and knowledge building.

It was against this background that the SP commissioned the Fostering Achievement of Community Empowerment (FACE) Initiative, a CSO partner in the Strategic Partnership, to carry out an assessment of the dynamics of artisanal refining on sustainable livelihoods in the Niger Delta. The study is especially important in generating local evidence for lobby and advocacy to end artisanal refining on the one hand, and to promote sustainable alternative livelihoods on the other hand.

Scope of Study The study assessed the interplay between artisanal refining and sustainable livelihoods among selected communities in Bayelsa State, a state in the Niger Delta region that has been significantly exposed to different levels of oil spills from artisanal refining and other illegal or unauthorized extractive activities. The study covered the perception of selected community members on the impact of artisanal refining on their livelihoods, preferences for alternative livelihoods, and possessed and needed livelihood assets. The study also measured the satisfaction of sampled communities with the efforts of government and other stakeholders at improving livelihoods in the region in spite of the challenges of artisanal refining as well as the actions taken by communities themselves to advocate for improved livelihoods and make government and other authorities more accountable.

Problem Statement Restoring the social contract in fragile contexts requires that the causes of fragility are addressed by all stakeholders. It requires especially that the needs of the citizens are attended to by the government. In the Niger Delta, spills from commercial oil activities, including artisanal refining and other related illegal activities, and the attendant negative effects on the environment, health, culture, social and economic life of the people, remain constant causes of crisis and fragility in the region. This is especially the case with artisanal refining which appeared to have increased in the Niger Delta in the past decade and contributing further to oil spills and pollution in the region.

However, for stakeholders working to promote sustainable livelihoods in the Niger Delta – such as local civil society organizations, government agencies and development partners – the interplay between artisanal refining and sustainable livelihoods in the Niger Delta appears nebulous. The inter-relationships between the two, such as the bearings of one on the other [or the drivers of conflict between the two] are not evidently clear.

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(perceived or real) artisanal refining in the region, including in Bayelsa State with rather widespread artisanal refining activities.

Research Purpose and Objective The study of the current dynamics of artisanal refining on livelihoods in the Niger Delta is therefore important in order to generate new knowledge and foster better understanding about measures that can help address the real or perceived increase in artisanal refining and attendant lack of interest in or total loss of traditional livelihoods. The study was designed to inform the efforts and decisions to promote alternative or sustainable livelihoods especially among the youth involved or benefiting from artisanal refining, and ultimately to reducing the potentials for conflicts and improving the interaction between the government and communities in the Niger Delta. The outcome of this study will contribute to guiding stakeholders and partners in developing and implementing sustainable livelihood strategies in the Niger Delta.

The specific objectives of the study were as follows: 1. Determine the perception of community members on the effect of artisanal refining on their livelihoods. 2. Assess the satisfaction of community members with their current livelihoods on the one hand, and their satisfaction with the efforts of their communities, governments and other stakeholders in promoting sustainable and alternative livelihoods on the other hand. 3. Identify the coping strategies employed by people in selected communities in the Niger Delta to mitigate the effects of artisanal refining on their livelihoods. 4. Identify the preferences for alternative livelihoods among selected communities in the Niger Delta 5. Determine the livelihood assets currently possessed and also needed by community members to effectively earn a living in the Niger Delta

Research Questions 1. What are the perceptions of selected community members in the Niger Delta on the effect of artisanal refining on their livelihoods? 2. How satisfied are community members with their current livelihoods and with the efforts of their communities, governments and other stakeholders in ensuring sustainable and alternative livelihoods in the Niger Delta? 3. What are the coping strategies employed by people in selected communities in the Niger Delta to mitigate the effects of artisanal refining on their livelihoods? 4. Which alternative livelihoods do community members in the Niger Delta prefer most? 5. What are the livelihood assets currently possessed and mostly needed by community members to effectively earn a living in the Niger Delta?

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2. LITERATURE REVIEW

Decades of commercial oil explorations in the Niger Delta have led to extensive oil contamination of the lands, waterbodies and vegetation of the region1. The oil contamination has negatively affected virtually all aspects of life of the people of the Niger Delta, including the health and socio-economic life. Very noticeably, economic progress has been impeded due to loss of livelihoods resulting from the oil contamination2. Unemployment rates in the Niger Delta are higher than the national average rate of unemployment in the country3.

While successive Nigerian governments have made plans to clean up the oil spills in the Niger Delta, the long delay in implementing these plans and the attendant prolonged sufferings of the people in the region had led to widespread dissatisfaction and crisis in the region4. Bearing the heavy burden of worsened health conditions, loss of farmlands, and loss of livelihoods, many people in the region, especially the youth, became aggrieved and agitated, and resorted to a wide range of activities to protest the situation or to self-help. These activities include pipeline vandalism, oil bunkering and artisanal refining5.

While oil pipeline vandalism refers to the “willful or deliberate act of damaging petroleum pipelines”6, bunkering is a term used to describe the process of filling a ship with oil, with ‘illegal oil bunkering’ referring to or being a euphemism for the ‘stolen’ oil being loaded on the ship7. On the other hand, artisanal refining, popularly called kpofire among locals8, is referred to as a small-scale, subsistent or primitive distillation of usually illegally obtained crude oil in makeshift facilities9.

While some have suggested that these activities in the Niger Delta are a form of protest against the government and multinational oil companies who many blamed largely for the oil pollution in the region, some others regarded these activities as act of purposely stealing crude oil and associated petroleum products and gaining economically from them10. Many agreed though the high rates of poverty and unemployment in the Niger Delta and accompanying youth restlessness were the major causes of pipeline vandalism, illegal bunkering and artisanal refining in the Niger Delta11.

While there are different views regarding the root causes of pipeline vandalism, illegal bunkering and artisanal refining in the Niger Delta, there appears a general understanding that the social and economic deprivation found in the region is largely a result of environmental degradation by oil spill.12 There is also a consensus that these inter-related activities have contributed to more pollution in the Niger Delta. For instance, the illegal and makeshift refineries that are built to refine crude oil to finished products through artisanal refining have all affected the air, water and land around the illegal refineries. Shrinking vegetation and asphyxiation of plants in different parts of region as well as diminishing arable lands for farming and polluted waters for fishing have all been attributed to artisanal refining.13

With traditional occupations like farming and fishing affected by artisanal refining, the livelihoods of many people became more threatened. And threatened livelihoods eventually became loss of livelihoods and loss of income and revenue. Agricultural productivity is found to reduce with increasing rates of illegal bunkering and refining. Following the persistent environmental degradation through oil pipeline vandalization, decrease in agricultural yield and land

1 UNEP. Environmental Assessment of Ogoniland. 2011. 2 Ibid 3 Ukponahiusi, O. & Famusudo, M. (2019). A revisit of the oil theft and pipeline. Journal of Peace, Security and Development, 5(1), 161–172. 4 Osuagwu, S. E. & Olaifa, E. (2018). Effects of oil spills on fish production in the Niger Delta. PLoS ONE, 13(10), e0205114. 5 Ibid 6 Udofia, O.O. & Joel, O.F. (2012). Pipeline Vandalism in Nigeria: Recommended Best Practice of Checking the Menace. SPE Journal, SPE-162980-MS 7 Add reference 8 Nigerian Tribune (2020). 14 Local Govts In Rivers Operate Illegal Refineries. Available online at https://tribuneonlineng.com/14-local-govt-in-rivers- operate-illegal-refineries/ 9 United Nations Environment Programme. (2017). UNEP Ogoniland Oil Assessment Reveals Extent of Environmental Contamination and Threats to Human Health. Retrieved from https://www.unenvironment.org/news-and-stories/story/unep-ogoniland-oil-assessment-reveals-extent-environmental- contamination 10 Osuagwu, S. E. & Olaifa, E. (2018). Effects of oil spills on fish production in the Niger Delta. PLoS ONE, 13(10), e0205114. 11 Ibid 12 Ukponahiusi, O. & Famusudo, M. (2019). A revisit of the oil theft and pipeline. Journal of Peace, Security and Development, 5(1), 161–172. 13 Goodnews, M. M., & Wordu, S. A. (2019). Analysis of Trend and Emergent Factors of Artisanal Refining In the Niger Delta Region of Nigeria. International Journal of Innovative Human Ecology & Nature Studies, 7(1), 43–55.

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productivity has been observed. Crude oil pollution has been found to reduce size of farms, loss of efficiency, loss of physical ability, and reduction in psychological desires to farm. Occupational changes, loss of farmlands, depletion of aquatic fauna, rapid urbanization and loss of livelihoods are some of the issues being faced by communities in the Niger Delta. Low capital income and poor standard of living have also been observed.14 15

The situation became a big source of discouragement to those whose traditional livelihoods depend on the environment and to those who might have wanted to go into fishing or farming. Youths dwelling in oil-impacted communities prefer to rely on oil bunkering or vandalization16. There is no motivation to engage in traditional livelihood activities like farming or fishing. Local dealers in petroleum products patronize artisanal refiners for refined products and crude oil. It has also been reported that a significant number of artisanal refiners were often disgruntled former workers associated with multinational companies17. These individuals, having been trained for specific assignments in the oil and gas companies with the promise of employment but when such promises of unemployment go unfulfilled, such individuals turn to artisanal refining with the knowledge possessed18.

Furthermore, the trend of artisanal refining has increased in the past decade. In 2017, the number of artisanal refineries in the state were five times more than the number in 2013 making it among the states with high rates of artisanal refining. Bayelsa State has one the highest rates of unemployment in the country.19

However, to achieve successful clean-up and land remediation, artisanal refining needs to end20. Sustainable livelihoods are required so that people can utilize their skills and interests or passion for human development. Therefore, it is important for stakeholders working to promote sustainable livelihoods in the Niger Delta – such as local civil society organizations, government agencies and development partners – understand the interplay between artisanal refining and sustainable livelihoods in the Niger Delta. However, the exact or total bearings of one on the other – such as the current perception of the effects of artisanal refining on livelihoods or practices or strategies for coping with the effects – are not evidently clear.

This is especially challenging for advocacy purposes as there is lack of up-to-date local evidence for advocates to effectively set lobby and advocacy agenda for improving livelihoods in the Niger Delta. This is more so in the face of increasing (perceived or real) artisanal refining in the region, including in Bayelsa State, which has reported a number of artisanal refining activities21.

14 Osuagwu, S. E. & Olaifa, E. (2018). Effects of oil spills on fish production in the Niger Delta. PLoS ONE, 13(10), e0205114 15 Goodnews, M. M., & Wordu, S. A. (2019). Analysis of Trend and Emergent Factors of Artisanal Refining In the Niger Delta Region of Nigeria. International Journal of Innovative Human Ecology & Nature Studies, 7(1), 43–55. 16 Ojimba, T. P. (2012). Determining the effects of crude oil pollution on crop production using stochastic translog production function in Rivers State, Nigeria. Journal of Development and Agricultural Economics Vol., 4(13), 346–360. https://doi.org/10.5897/JDAE12.082 17 Ukponahiusi, O. & Famusudo, M. (2019). A revisit of the oil theft and pipeline. Journal of Peace, Security and Development, 5(1), 161–172. 18 Ibid 19 Oseh, J. O. (2014). The Effect of Georesources Exploitation on Fishing and Farming in the Niger Delta Region of Nigeria. International Journal of Agriculture Innovations and Research, 3(3), 770–781. 20 UNEP. Environmental Assessment of Ogoniland. 2011. 21 Oseh, J. O. (2014). The Effect of Georesources Exploitation on Fishing and Farming in the Niger Delta Region of Nigeria. International Journal of Agriculture Innovations and Research, 3(3), 770–781.

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3. METHODOLOGY

Study Site

The study was conducted in 12 oil impacted communities across six local government areas (LGAs) in Bayelsa State, which has reportedly witnessed increased rates of artisanal refining but decline in traditional livelihoods like farming and fishing. All communities have been exposed to different levels of oil spills from pipeline vandalism, bunkering and artisanal refining and or equipment failure in the past and currently. Table 3.1 shows the sample communities and the LGAs.

TABLE 3.1 » LIST OF SAMPLED COMMUNITIES

Sample Community Local Government Area Geographic Area Number

1 Buoama Brass Riverine

2 Kongho

3 Ogbolomabiri Nembe 4 Akakuama

5 Ologoama

6 Ondewari Southern Ijaw (Central) 7 Olugbobiri

8 Peretoru-gbene Ekeremor (West)

9 Oruma Ogbia (East) Upland

10 Otuasega

11 Kalaba

Yenagoa 12 Ikarama

Study Design and Study Population

This assessment utilized a cross-sectional, descriptive quantitative approach. The interview was conducted among individuals (male and female) aged 15 years and above.

Sample Size and Sampling Procedure A total of 927 individuals were selected from the LGAs using proportionate sampling.

Development of Instruments: Questionnaire The Questionnaire was developed from literature review and according to the set objectives. The questionnaire elicited information about: livelihood assets, satisfaction and preferences, experience of the effect of artisanal refining and oil bunkering, coping and recovering from impact of oil bunkering and artisanal refining, perspectives on alternatives to oil bunkering and artisanal refining, community efforts to stop vandalization and satisfaction with such efforts.

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Data Collection The interviews were Interviewer-administered and collected with the use of CommCare. Seven research Assistants who are B.Sc holders collected the data after they were trained for four days. The interviews were conducted in May- July 2019. Pre-test was conducted in a community outside the selected communities for the study. All ambiguity in the questionnaire was corrected before the proper data collection.

Data Processing and Analysis Data was imported from Microsoft Excel into IBM SPSS version 22. Descriptive statistics was used to summarize data and results were presented using frequency tables, percentages and the mean. Associations were determined through the use of chi-square with significance set at 5%. Some variables were recategorized in order to test for association. Table 3.2 shows how occupation was recoded. Other recoded variables are:

◼ Age was recategorized into “15 to 34” and “35 years and above” ◼ Education was recategorized into “Primary and below” and “Secondary and above” ◼ Duration of main occupation was recategorized into “less than 5 years” and “over 5 years” ◼ Average monthly income was recategorized into “less than 20,000” and “over 20,000” ◼ Satisfaction with earning was recategorized into ‘Not at all and Little” and “Moderate to Extreme” ◼ Satisfaction with community efforts was recategorized into ‘Not at all and Little” and “Moderate to Extreme”

TABLE 3.2 » SPECIFIC JOBS IN LIVELIHOOD CATEGORIES

Broad Category Specific Occupations

Agricultural-related Farming, Fishing

Trading Business; buying and selling of clothes, drinks, provisions, food, spare parts, building materials, phone accessories, wood, farm produce, firewood; chemist, lumbering, logging, petty trading

Civil/private service Civil servant, laboratory attendant, teacher, uniform personnel, NGO worker, security officer, company worker

Artisanry Baker, hairdresser, driver, bricklaying, carpentry, catering, cleaner, fashion designing, construction, electrician, laborer, engineer, photographer, surveyor, tailoring, basket weaving

Oil business Bunkering, Oil refining, Selling of fuel, oil and gas staff, seismic

Others Bone doctor, clergyman, pensioner

TABLE 3.3 » LIVELIHOOD ASSETS

Broad Category Specific Assets

Human capital Skills, knowledge, physical and mental strength

Social capital Family, friends, associations and other support groups

Natural capital Access to land, forests, water

Physical capital Basic infrastructure like transport and communication systems, shelter, water and sanitation systems, and electricity)

Financial capital Income or regular inflows of money, savings, pension, access to credit facilities, state or welfare benefits e.g. trader money)

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4. DATA ANALYSIS AND INTERPRETATION

4.1 Socio-Demographic and Occupational Characteristics

The study interviewed 927 participants with 503 of the respondents being males (54.3%,) and 424 being females (45.7%). The participants were selected from across seven different Local Government Areas (LGAs) in Bayelsa State. Table 4.1 shows the number of participants interviewed in each LGA. Ogbia LGA had the highest proportion of participants (216 or 23.3%) while Ekeremor LGA had the lowest number of respondents (71 or 7.7%).

TABLE 4.1 » PARTICIPANTS IN EACH LGA

Community Frequency Percentage

LGA

Ogbia 216 23.3

Yenagoa 174 18.8

Southern Ijaw 160 17.3

Brass 156 16.8

Nembe 150 16.2

Ekeremor 71 7.7

SP-Supported Community

Yes 422 45.5

No 505 54.5

Majority of the respondents (74.2%) were young adults between the ages of 18 and 44.

Over two-thirds (71.6%) of the respondents had a means of livelihood. Farming, fishing and other agriculture-related occupations made up 39.3% of the major occupations followed by trading (25.2%). The trading includes buying and selling of a wide range of items such as clothes, drinks, provisions, food, medicine, spare parts, building materials, phone accessories, wood, farm produce and firewood. It also includes lumbering and logging.

Four hundred and twenty-two (45.5%) of the respondents lived in communities where the Strategic Partnership had carried out community sensitization and awareness on sustainable livelihoods and other interventions (Table 4.1).

More than half (54.1%) of those with means of occupation earned below N20,000 monthly (Table 4.2).

Majority of the respondents (60.4%) attained up to secondary education with 119 respondents (or 12.8%) having tertiary education. This may explain why 64.4% of the respondents indicated having human capital assets (e.g. knowledge and skills) more than any other assets (finance, etc.) to earn a living or improve their livelihoods.

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TABLE 4.2 » SOCIO-DEMOGRAPHIC AND OCCUPATIONAL CHARACTERISTICS Charactistic Frequency Percentage Gender Female 424 45.7 Male 503 54.3 Age 15-24 245 26.4 25-34 242 26.1 35-44 201 21.7 45-54 126 13.6 55 and above 113 12.2 Education Not educated 70 7.6 Primary 172 18.6 Secondary 560 60.4 Tertiary 119 12.8 Post-graduate 6 0.6 Means of Livelihood Yes 664 71.6 No 263 28.4 Main Occupation* Agricultural-related 261 39.3 Trading 167 25.2 Civil /Private service 73 11.0 Artisanry 132 19.9 Oil business 23 3.5 Others 8 1.2 Have other occupations* Yes 263 39.6 No 401 60.4 Duration of main occupation* Less than one year 54 8.1 1 to years 73 11.0 3 to 5 years 170 25.6 6 to 10 years 137 20.6 Over 10 years 230 34.6 Average monthly income (in naira)* Less than 20,000 359 54.1 21000 to 40000 207 31.2 41000 to 60000 68 10.2 Over 60000 30 4.5 *n = 664

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4.2 Perception of Impact of Artisanal Refining on Livelihoods

Among the 664 respondents who had means of livelihood, 60.4% reported that their livelihoods had been affected by oil exploration activities in the Niger Delta. General oil spill affected the livelihoods of 409 respondents (or 61.5%) while oil bunkering and artisanal refining affected 401 (60.4%) of the respondents.

A total of 213 respondents (81.6%) in agriculture-related occupations reported experiencing the effect of artisanal refining on their livelihoods compared with 83 respondents or 49.7% in trading; 30 respondents (41.1%) in civil / private service; and 53 respondents (40.2%) among artisans. Over one-third (75.6%) of the respondents in Yenagoa LGA and 73.9% in Ekeremor LGA reported experiencing the effect of artisanal refining compared to less than 60% in other LGAs.

Significant associations were found between age and occupation and perception of the effect of artisanal refining on livelihood. A high proportion of respondents aged 35 years and above (65.1%) compared to those who were between the ages of 15 to 34 (54.5%) reported that artisanal refining had an effect on their livelihoods with the odds being almost two times (OR=1.557). A high proportion of farmers (81.6%) compared to 49.7% of traders and 41.1% of civil servants reported that their livelihoods were affected by artisanal refining. The odds of livelihoods being affected by artisanal refining was almost five times lower (OR=0.223) for traders and six times lower (OR=0.157) for civil servants compared to farmers (Table 4.3).

TABLE 4.3 » ASSOCIATION BETWEEN SOCIO-DEMOGRAPHIC AND OCCUPATIONAL CHARACTERISTICS AND EFFECT OF OB AND AR ON LIVELIHOOD

Livelihood Affected by Artisanal Refining P-Value Variable Unadjusted OR (* = significant No (n=263) Yes (n=401) association) n (%) n (%)

Gender

Female 122 (40.1) 182 (59.9) 1 0.800

Male 141 (39.2) 219 (60.8) 1.041

Age

15-34 133 (45.5) 159 (54.5) 1 0.006*

35 and above 130 (34.9) 242 (65.1) 1.557

Education

Primary and below 66 (33.1) 122 (64.9) 1 0.136

Secondary and above 197 (41.4) 279 (58.6) 0.766

Main Occupation

Agric-related 48 (18.4) 213 (81.6) 1

Trading 84 (50.3) 83 (49.7) 0.223 <0.000*

Civil/Private Service 43 (58.9) 30 (41.1) 0.157 <0.000*

Artisanry 79 (59.8) 53 (40.2) 0.151 <0.000*

Oil business 8 (34.8) 15 (65.2) 0.423 0.065

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4.3 Satisfaction with Current Livelihoods and Livelihood Support

More than half of the respondents (53%) were not satisfied with their current occupations. Half of the respondents (50.1%) had previous livelihoods and the major reasons for leaving included financial and health challenges. Over half of the respondents (53.0%) reported not being satisfied with earnings from their current livelihood and only 3.5% were extremely satisfied with their earnings. Over three-quarter (81.9%, 544) of the respondents reported that they would prefer another source of livelihood. Half of the respondents had a previous livelihood (50.1%, 464) and the major reasons for leaving were financial reasons (43.0%, 107) and health reasons (12.4%, 31) (Table 4.4). Only 11% of respondents however reported leaving their previous livelihoods because of oil spills. This implies that besides the issue of oil spills in the communities, there are other major barriers to sustainable livelihoods in the Niger Delta.

TABLE 4.4 » SATISFACTION WITH LIVELIHOOD ACTIVITIES Variable Frequency Percentage Satisfaction with earning Not at all 352 53.0 A little 148 22.3 Moderately 115 17.3 Very 26 3.9 Extremely 23 3.5 Preference for another livelihood Yes 544 81.9 No 120 18.1 Have a previous livelihood Yes 463 49.9 No 464 50.1 Reasons for leaving previous livelihood Financial reasons 107 43.3 Health implications 31 12.4 Stressful and uncomfortable 22 8.8 Contract ended 18 7.2 Oil spill/pollution 11 4.4 Flood 5 2.0 Others* 55 22.0 *others: relocation, education, seasonal job, changed jobs

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TABLE 4.5 » OCCUPATIONAL DIFFERENCES IN SATISFACTION WITH EFFORTS TO ADDRESS ARTISANAL REFINING

Occupation n (%)

Variable Agric-related Trading Civil/ Private Artisanry Oil business Others (n=8) (n=261) (n= 167) Service (n=73) (n=132) (n=23)

Community Awareness

Not at all/a little 146 (55.9) 101 (60.5) 39 (53.4) 92 (69.7) 17 (73.9) 5 (62.5)

Moderately- 115 (44.1) 66 (39.5) 34 (46.6) 40 (30.3) 6 (26.1) 3 (37.5) Extremely

Community Action

Not at all/a little 148 (56.7) 106 (63.5) 48 (65.8) 95 (72.0) 15 (65.2) 6 (75.0)

Moderately- 113 (43.3) 61 (36.5) 25 (34.2) 37 (28.0) 8 (34.8) 2 (25.0) Extremely

Government efforts against bunkering

Not at all/a little 181 (69.3) 121 (72.5) 52 (71.2) 99 (75.0) 16 (69.6) 7 (87.5)

Moderately- 80 (30.7) 46 (27.5) 21 (28.8) 33 (25.0) 7 (30.4) 1 (12.5) Extremely

Government efforts in sustainable livelihood

Not at all/a little 242 (92.7) 149 (89.2) 69 (94.5) 123 (93.2) 21 (91.3) 8 (100.0)

Moderately- 19 (7.3) 18 (10.8) 4 (5.5) 9 (6.8) 2 (8.7) 0 (0.0) Extremely

Although 60.4% of respondents said their communities had created awareness and advocated to authorities about the effects of artisanal refining on livelihoods, 38.9% of respondents reported being not satisfied at all with the level of awareness raising in the community. Similarly, only 2.4% of respondents indicated that their communities had specifically empowered community members whose livelihoods had been affected by oil spills. Furthermore, more than two-thirds (71.6%) reported that they are not satisfied at all with government efforts in promoting sustainable livelihoods in their communities (Table 4.5).

There is thus a huge gap between current realities and the expectations of the communities. Invariably, there is a lot that needs to be done improving the livelihoods and meeting the expectations of the people of the Niger Delta.

4.4 Coping Livelihood Strategies against Artisanal Refining

Sixty percent (60%) of the respondents who mentioned that their livelihoods had been affected by artisanal refining also indicated that they had remained in their jobs and taken no specific steps to cope with the effects. However, 14.0% of respondents said they changed jobs; 5.5% relocated to another community; and 8.0% reported the issue of artisanal refining in their communities to authorities for help.

Respondents also reported the best livelihood options that can cope with the impact of oil spills in their communities. Over half of the respondents (56.1%) stated that business or trade was the best livelihood option against the stress and shocks of oil spills e.g. through artisanal refining. Employment in the civil service or private sector was stated by one-fifth of the respondents (20.6%) while 14.1% and 6.9% stated that agriculture and work as an artisan respectively are suitable livelihoods that can cope against the stress and shocks of oil spills (Figure 4.1).

Figure 4.1: Best Livelihoods to cope with stress and shocks of oil impact

60 57,2

30 Percentage 20,6 20 14,1

10 6,9

1,2 0 Any business/trade Civil/private service Agricultural related Artisanry Others employment and modular refining Livelihoods

Empowering locals with relevant and needed livelihood opportunities and alternatives or creating awareness about such opportunities is therefore an important action that should be considered towards ensuring sustainable livelihoods in the Niger Delta. This is especially important for lobbyists and advocates working on sustainable livelihoods to take into consideration in their plans and activities.

4.5 Preference for Alternative Livelihoods

With 53% of respondents indicating their dissatisfaction with their current occupation, it is not surprising that 82% of the respondents reported that they would prefer another source of livelihood. Trading topped the list of most preferred alternative livelihoods by 41% of the respondents (Figure 4.2) which sorts of align with the choice of trading as the best livelihood option against the shocks and stress of oil spills.

Figure 4.2: Preferred Alternative Livelihoods

Education Oil venture Others 1% 5% 5% civil/private service 7%

Trading 41% Anything 7%

Farming 15%

Artisanry 19%

Even, a high percentage of farmers (44.4%) opted for trading as alternative livelihoods to their current occupations. The implication of these preferences is that traditional farming might have become less attractive among community members. While this may be argued to be as a result of polluted farmlands, it is a likely pointer to the need to rethink agriculture in the Niger Delta in the context of shifting from traditional subsistence agriculture to mechanized agriculture that will create and sustain opportunities for agricultural entrepreneurship (or agropreneurship).

It may also be useful to explore trading opportunities along the various cash crop value chains as well as using indigenous farming techniques and promoting climate smart agriculture.

It is worth noting that 42.9% of respondents felt that people involved in artisanal refining would prefer alternative livelihoods if offered sustainable livelihoods. Only about the same percentage of respondents (43.1%) submitted that modular refining will be a suitable alternative to artisanal refining (Table 4.6). This means that modular refining as being promoted by the federal government is presently not a well acceptable alternative to artisanal refining by the people. While the reasons for this are outside the scope of this study, it is important that the government revisit her promotion of modular refining to make it more acceptable among the people and communities in the Niger Delta.

TABLE 4.6 » PERSPECTIVES ON ALTERNATIVES TO ARTISANAL REFINING Variable (n = 912) Frequency Percentage People involved in artisanal refining will prefer alternative livelihoods Unlikely 194 21.3 Maybe 327 35.9 Likely 391 42.9 Modular refining is a suitable alternative livelihood Unsuitable 298 32.1 Maybe 221 24.2 Suitable 393 43.1 Attractive alternative livelihood options and activities (n=723) Modular refining/Oil-related venture 165 22.8 Skill acquisition and empowerment 149 20.6 Civil/private service employment 241 33.3 Trading/business 112 15.5 Agricultural related jobs & others 56 7.7

4.6 Possessed and Needed Livelihood Assets

The level of livelihood assets available to the respondents varies. Almost two-thirds (64.4%) of the respondents possessed human capital (e.g. knowledge and skills) compared to only 13.5% possessing financial capital.

However, for the assets required by the respondents for sustainable livelihood, the most required asset by the respondents was financial capital (74.1%), followed by human capital (59.3%), physical capital (37.2%), social capital (14.6%) and natural capital (12.6%) – Figure 4.3. As 64.4% of respondents indicated having human capital assets more than any other assets (finance, etc.) to earn a living or improve their livelihoods, it is understandable therefore that 74.1% of respondents indicated that they needed financial capital (e.g. credits and grants) the most.

Figure 4.3: Required Assets for Sustainable Livelihood

80 74,1 70 59,3 60

40 37,2

30 Percentage

20 14,6 12,6 10

0 Financial Capital Human capital Physical Capital Social capital Natural Capital Livelihood assets

The occupational differences in required assets for sustainable livelihood show that respondents in agriculture-related jobs (86.2%) expressed the highest need for financial capital followed by traders (79.6%). Less than half of those in the oil business (47.8%) reported a need for financial capital. Regarding human capital, 69.6% of those in oil business compared to 41.0% of those in Agric-related occupations reported it as a required asset for livelihood.

5. RECOMMENDATIONS AND CONCLUSION

Recommendations

The study covered the perception of selected community members on the impact of artisanal refining on their livelihoods, preferences for alternative livelihoods, and possessed and needed livelihood assets. The study also measured the satisfaction of sampled communities with the efforts of government and other stakeholders at improving livelihoods in the region in spite of the challenges of artisanal refining as well as the actions taken by communities themselves to advocate for improved livelihoods and make government and other authorities more accountable.

Overall, the study showed that many of the sampled community members believed that the dynamics of artisanal refining in the Niger Delta has some level of bearings on the state of their livelihoods but that very little has been done by the state to address this challenge and potential driver of present and future conflicts. Many sampled community members including those engaged in the traditional occupations like farming and fishing preferred trading as their alternative livelihoods. This explains or is the reason why more than half of respondents chose business or trade as the best livelihood option against the stress and shocks of oil spills. Most respondents also wanted livelihood support in the form of financial assistance and skill acquisition.

Considering the homogeneity of the Niger Delta communities, the Strategic Partnership is using the findings from the communities in Bayelsa State to recommend the following, which also serves as lobby and advocacy topics:

1. While creating community awareness about the effects of artisanal refining in the Niger Delta is good, many communities have already disapproved of artisanal refining as a livelihood activity, so the emphasis of the government, oil companies, development partners and other stakeholders involved or interested in improving livelihoods in the region, should now be more on community awareness that directs locals to other sustainable livelihood opportunities and alternatives derivable from the traditional ecosystem assets.

2. To address the current high level of dissatisfaction by community members with their present occupations, government, oil companies, development partners, civil society organizations, community groups and other key stakeholders should urgently prioritize initiating concrete sustainable livelihood programs across the communities in the Niger Delta.

3. Considering the high preference for trading, government should rethink agriculture in the Niger Delta in such a way to bring to life enterprises or trading around agriculture. This will involve shifting from traditional subsistence agriculture to climate-smart and mechanized agriculture that will create and sustain opportunities for agricultural enterprises and agricultural entrepreneurship (or agropreneurship).

4. Government agencies including but not limited to the Central Bank of Nigeria (CBN) and Nigeria Incentive- Based Risk Sharing System for Agricultural Lending (NIRSAL) should prioritize and expand provision of financial support such as credit facilities and grants for farmers. Similarly, oil companies operating in the Niger Delta should include and prioritize provision of grants to farmers in their corporate social responsibility plans as part of efforts to incentivize climate-smart farming and improve traditional, sustainable livelihoods in the Niger Delta.

5. With many respondents expressing desires to acquire or improve livelihood skills, it is important that relevant stakeholders, including but not limited to government agencies like HYPREP with plans for livelihood support, prioritize the provision of skill acquisition interventions especially for youth and women.

6. In addition to providing concrete sustainable programs, there is need for government at the local, state and federal levels as well as development partners and civil society organizations to focus on managing the expectations of the people and communities in the Niger Delta for improved livelihoods considering the wide gaps between current efforts and community members’ aspirations.

7. The Federal Government should revisit its strategies for promoting modular refining to make it more widely acceptable by the people and communities in the Niger Delta as an alternative to artisanal refining.

8. With many people and communities believing that their livelihoods have been affected by oil spills through artisanal refining, which is regarded by many as a response to the failure of the government and oil companies to clean up the Niger Delta, it is important that HYPREP expedites the clean-up of oil spills in the Niger Delta so that people become more assured that the state is working towards addressing the effects of oil spills on their livelihoods.

9. There is need for further research to holistically understand the barriers and drivers of sustainable livelihoods in the Niger Delta beyond the links with the dynamics of artisanal refining. Researchers can bridge the knowledge gap by focusing on a SWOT (strength, weakness, opportunity, and threat) analysis of sustainable and alternative livelihoods for different or heterogenous communities in the Niger Delta.

Conclusion

Livelihoods of the people, especially traditional livelihoods are affected by artisanal refining. There is also preference to engage in other sources of livelihood asides agriculture. With lack of satisfaction on community efforts to end artisanal refining, more efforts involving the community members needs to be put in place. Findings from this study should be considered in lobby and advocacy issues as it incorporates the views of the people themselves. The findings from this study are important to inform strategies and interventions to end artisanal refining in Bayelsa State.

This study highlights opportunities for significant interventions by Bayelsa State Government in shaping livelihood interventions, especially as it is clear from recent NBS Data that Bayelsa State has one of the highest unemployment rates in the country. Government and communities need to address the barriers to sustainable livelihoods; need for human capital development, provision of grants and loans to farmers and traders, actively engagement with repentant artisanal refiners in agropreneurship.

The civil society also can shape interventions in the region through a knowledge-based approach. Using the information from this study to align advocacy with connecting community members with available opportunities in traditional livelihoods, capacity development in climate smart agriculture, trading and commodity brokering in the Agric sector may offer immediate pathways for re-engaging youths in sustainable livelihoods.

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