Sunday, January 25, 2009

Distribution of Oil Income not Equal

Nigeria's income from oil revenue is huge. But much of that wealth does not reach the common people. This article features some of the groups that have come out on the losing end of this unequal arrangement - the Rumuekpe Youth Council, comprised of armed young people from the formerly-inhabited town of Rumuekpe, and the Rumuekpe Justice Fighters, a more organized group of men from the same town who relocated to Port Harcourt, the regional capital. Both groups agree that the four multi-national oil companies opperating in Rumuekpe did not invest in the community and are willing to react, an example of pressure from the bottom up, if revenue is not, in their opinion, distributed fairly. The oil producers argue that they are paying the rightful owners of the land they opperate on.
There is no question that oil has the potential to boost Nigeria's local economies. What is in question is the method of delegating these revenues. The Rumuekpe Justice Fighters claim that the current method of paying landowners divides the community against itself, a coinciding cleavage, and that the only way to peacefully repopulate Rumuekpe is to distribute funds directly to the community.

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