14 Energy Transitions and Environmental Protection …
445
resources management and coordinates all petroleum stakeholders at the
national and state level.
The Petroleum Act of 2012 stipulates the legal framework for the
petroleum sector and provides some crucial requirements to ensure
transparency in the management of oil revenues. In particular, the Act
provides for public disclosure and publication of information about
contracts, oil production data, revenues and ownership of contractors or
companies. The Petroleum Act provides a factual basis for building sound
oil company–community relations, notably its Articles 52, 59, 82, 94
and 100. Unfortunately, these articles have yet to be fully implemented.
What is more, the country has enacted the Petroleum Revenue
Management Act 2012, in part to establish an Oil Revenue Stabilization
Account and a Future Generation Account. The stabilization account is
intended to protect the country from volatility, mainly when revenues
go down, and the future generation account provides reserves for when
the oil deposits are depleted. This approach of saving for the future has
enabled other resource-rich countries, particularly Botswana, to reduce
resource curse (availability of extractive resources).
With respect to the environment, the Petroleum Act has features built
in to ensure environmental protection.
32 These include the requirement
for Environmental and Social Impact Assessments (ESIA).
33 An Environmental Management Plan is required in Section 60 to guide the
implementation of the Environmental and Social Impact Assessment.
Section 61 highlights the responsibility for pollution control. Health and
safety considerations are paramount as stated in this Act and are also
highlighted in the Labour Bill 2012, which specifies the guidelines for
industrial safety in Chapter 11, Articles 73–96.
The Environment Protection and Management Bill, 2012 also has
provisions for Environmental Impact Assessments and Environmental
Audits for projects in mining, all aimed at reducing environmental degradation and ensuring pollution control. The National Environment Policy
2012 also aims to control pollution and ensure the protection of the
environment and water bodies that may arise from mining activities. For
32 Sections 50-62, the Petroleum Act.
33 Section 15 and 59, the Petroleum Act.
445
resources management and coordinates all petroleum stakeholders at the
national and state level.
The Petroleum Act of 2012 stipulates the legal framework for the
petroleum sector and provides some crucial requirements to ensure
transparency in the management of oil revenues. In particular, the Act
provides for public disclosure and publication of information about
contracts, oil production data, revenues and ownership of contractors or
companies. The Petroleum Act provides a factual basis for building sound
oil company–community relations, notably its Articles 52, 59, 82, 94
and 100. Unfortunately, these articles have yet to be fully implemented.
What is more, the country has enacted the Petroleum Revenue
Management Act 2012, in part to establish an Oil Revenue Stabilization
Account and a Future Generation Account. The stabilization account is
intended to protect the country from volatility, mainly when revenues
go down, and the future generation account provides reserves for when
the oil deposits are depleted. This approach of saving for the future has
enabled other resource-rich countries, particularly Botswana, to reduce
resource curse (availability of extractive resources).
With respect to the environment, the Petroleum Act has features built
in to ensure environmental protection.
32 These include the requirement
for Environmental and Social Impact Assessments (ESIA).
33 An Environmental Management Plan is required in Section 60 to guide the
implementation of the Environmental and Social Impact Assessment.
Section 61 highlights the responsibility for pollution control. Health and
safety considerations are paramount as stated in this Act and are also
highlighted in the Labour Bill 2012, which specifies the guidelines for
industrial safety in Chapter 11, Articles 73–96.
The Environment Protection and Management Bill, 2012 also has
provisions for Environmental Impact Assessments and Environmental
Audits for projects in mining, all aimed at reducing environmental degradation and ensuring pollution control. The National Environment Policy
2012 also aims to control pollution and ensure the protection of the
environment and water bodies that may arise from mining activities. For
32 Sections 50-62, the Petroleum Act.
33 Section 15 and 59, the Petroleum Act.