Page 10 - AfrOil Week 10 2023

AfrOil POLICY AfrOil

Theft, illegal refining and sabotage trigger spills such as this one at Diebu Creek flow station in 2014 (Photo: Shell)

Leakages at Shell facilities have made the been adversely affected by the environmental
company the target of a significant number of damage caused by oil spills.
lawsuits. Shell argues that the communities lack the
In February 2023, a lawsuit was filed against legal standing to enforce a clean-up and claims
Shell in the High Court in London by more than that the spills were caused by theft and sabo-
13,000 residents from two Nigerian commu- tage rather than negligence. The company also
nities. The residents are seeking compensation asserts that the Nigerian government should
and requesting that Shell clean up residual oil, handle the matter, rather than a private enter-
claiming that their ability to farm and fish has prise. ™

Fuel subsidy audit in Kenya exposes

large-scale raiding of public coffers

KENYA A controversial fuel subsidy programme was
used to expropriate more than $263.8mn from
public coffers in the last 15 months of Kenyan
President Uhuru Kenyatta’s administration, the
Office of the Auditor General has revealed.
Deputy President Rigathi Gachagua has said
he will soon release a detailed report expos-
ing senior government officials in the for-
mer administration who looted public funds.
According to a special audit report prepared for
Parliament by Auditor-General Nancy Gath-
ungu, the fraud involved overpaying $4.3mn to
11 oil marketing companies (OMCs).
The fuel subsidy, which was abolished by the
administration of current President William
Ruto after he assumed power in September The subsidies were ostensibly designed to protect Kenyan consumers (File Photo)
2022, was introduced to stabilise prices at the
pump to cushion Kenyans against price hikes in light of the revelations of how they used the
stemming from fluctuations in global oil prices. fuel prices stabilisation programme to loot pub-
The Ruto government intends to investigate lic coffers either by commission or omission,
senior officials in the previous administration according to Kenyan media outlet The Nation.

P10 www. NEWSBASE .com Week 10 09•March•2023