In order to make up for the harm that four Nigerian farmers and their communities claim was brought on by pollution from Shell’s oil pipeline breaches, Shell has agreed to pay $16 million (£13 million) to them.
The oil firm and the environmental advocacy group Friends of the Earth reached an agreement on the amount.
But according to a joint statement, it is being given with “no admission of liability. “The oil sector in Nigeria has significantly harmed the environment.
The oil spills in this instance occurred between 2004 and 2007, and the payout comes after a Dutch court determined that the Nigerian unit of Shell was accountable for the damage last year.
Up until the beginning of this year, Shell’s headquarters were in the Netherlands. The 2021 court ruling was lauded by activists as the first time a multinational had been held legally accountable for the actions of a subsidiary.
“We can once again strengthen our community because of this reimbursement. We can begin investing again in the area where we live, “The case was brought in 2008 in conjunction with the Dutch chapter of Friends of the Earth, according to Eric Dooh, the son of one of the farmers.
Communities in Oruma, Goi, and Ikot Ada Udo will receive the funds. Even if the compensation is not significant, environmental campaigners and rural populations in the Niger Delta region view this move as a significant step forward. Many people in the area continue to suffer health problems and loss of income due to oil pollution.
Barizaa Dooh, Elder Friday Alfred Akpan, Chief Fidelis A. Oguru, and Alali Efanga, the four farmers who initiated the action, claimed that the contamination of land and waterways caused by subsurface oil pipeline breaches had cost them their livelihoods.
Since Mr. Efanga and Mr. Dooh passed away after the complaint was initially filed, their sons took the case on.
The court order from last year mandated that Shell install a system for leak early detection in addition to compensating Shell. According to the joint statement from Shell and Friends of the Earth, this has now been installed.