LEGAL EVALUATION OF GAS FLARING AND ITS ECONOMIC IMPACTS IN NIGERIA

Abstract

Environmental degradation has become a global issue experienced in various forms. Every action of man whether deliberate or otherwise, impacts the environment, either negatively (adversely) or positively (sustainably). In particular, gas flaring which is the burning away of unwanted associated gases explored with crude oil is a menace that is seriously impacting the environment and the economy negatively. For example, not only is the environment seriously polluted, the value of revenue lost to flaring is a huge economic waste to Nigeria. Gas flaring is therefore an anti- nation’s economy as it is of no benefit to the nation or the host communities in which it is flared. Strictly, there is obviously no beneficial impact of gas flaring on any country’s economy, as gas flaring is a wastage of natural resources of a nation. Arguably, Nigeria is the 9th largest gas province globally; however, the country is still rated as one of the poorest countries in the world, as it flares over 75% of its natural gas. It is in view of this adverse economic impact of gas flaring that this study is undertaken. The study adopts a doctrinal legal research methodology, focusing on the examination and analysis of a legal rule or doctrine with the use of primary sources, such as: statutes, case laws, and secondary source such as: text books, journals periodicals, magazines, newspapers and internet sources. The study found that the disadvantages of flaring far outweigh its advantages. Nigeria is blessed with huge deposit of natural gas yet it is still suffering from inadequate supply of gas. The study has also proffered some recommendations, including the point that government should diversify its natural resources by promoting the utilization of natural gas for other purposes, namely: driving car and powering generating sets.