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Hello, my name is Mr. March, and I'm here today to teach you all about oil in Nigeria.
So grab everything that you need for today's lesson and let's get going.
So by the end of today's lesson, you will be able to explain how oil affects Nigeria's economy, environment, and society.
There are five key terms for today's lesson, and those are economy, inequality, development, corruption, and stakeholder.
The economy is the way money in a particular area is made and spent.
Inequality is when something is not shared evenly between everyone.
Development is when something changes, usually an improvement.
Corruption is dishonest behaviour by people in a position of power for personal gain.
And, finally, a stakeholder is a person who has an interest in a given resource.
There are two learning cycles for today's lesson.
We're gonna start with learning cycle one, which is all about oil in Nigeria, the benefits.
The oil industry is very important to Nigeria's economy, and Nigeria is actually one of the largest oil producers in Africa and indeed the world because Nigeria has huge oil and gas deposits.
And most of these are actually located in the Niger Delta region in the south of the country as you can see identified and marked on the map in front of you.
Oil exploration in the Niger Delta began in the early 1900s where most of the region was actually under British control since Nigeria was one of Britain's colonies.
Multinational oil and gas companies have actually operated in the region since the 1950s.
And production of crude oil began in 1957.
Today, Nigeria exports oil to many different countries around the world including the UK.
So a quick learning check, it says.
When did production of crude oil in Nigeria begin? What you need to do then is pause the video here whilst you read through those three options and select what you think is the correct answer.
And the correct answer was C 1957.
Really well done if you were able to get C as the correct answer.
The oil industry has provided so many different benefits for Nigeria, and these include the following.
Economic growth, being able to generate more income by selling that oil around the world.
It's also created jobs for its people.
It's also attracted foreign investment from transnational corporations.
And it's also supplying energy both to Nigeria and in the region as a whole.
Economic growth, and let's start there.
Well, the Nigerian government legally owns all of its minerals, gas and oil within the country.
This means that the government has control over the exploitation, production, and distribution of Nigeria's oil resources.
What does this mean then? Well, it means that oil generates a huge amount of money for the government, which it can then use to improve infrastructure and services such as education and healthcare, and thereby improve the quality of life of Nigerians.
What about job creation? While the oil industry creates many, many jobs for the people of Nigeria, directly related jobs in oil extraction, for example, as well as indirectly related jobs in areas such as transportation, as well as services.
Most of Nigeria's oil reserves are actually found in the south of the country as we saw earlier in the Niger Delta.
The south therefore has much better job opportunities.
Higher average incomes and more investment in infrastructure and services are all located in the south, or more so in the south of the country.
For example, Port Harcourt, as you can see here in the image, is a large city on Nigeria's southern coast, and it's a really important hub for the country's oil and gas industry.
The oil industry is one of the causes, actually, of the inequalities in people's lives between the north of the country and the south of the country.
As I said previously, the south of the country is much more developed and prosperous than the poorer north.
And, again, this links back to that key word from the beginning of the lesson, inequality.
Foreign investment.
Well, the oil industry has attracted so much investment from foreign countries and foreign companies.
Several multinational oil companies actually operate inside Nigeria, and foreign investment can lead to development and advances in technology.
What about energy supply? While Nigeria's oil and gas reserves are important sources of energy for the country.
Other sources include biofuels, waste, and hydropower.
Look at Nigeria's increasing energy consumption through the years.
This graph that you can see in front of you dates back to just before 1980.
Compare the energy consumption then to what it looks like today.
As Sam says, "The energy consumption of the average person in Nigeria is less than 12% of the average person in the UK." So yes, the UK still outstrips Nigeria in terms of energy consumption per person, but nevertheless, look at that graph, and you can see how Nigeria's energy consumption is increasing year on year and really speaks volumes about the level of development and the pace of development within the country of Nigeria.
So a quick learning check, it says.
True or false? The oil industry doesn't provide any benefits for Nigeria.
What you need to do is pause the video and then consider and select your answer.
And the correct answer was false.
Now, once again, I'd like you to pause the video whilst you consider as to why this statement is false.
And the reason it's false is be is because oil in Nigeria actually brings many, many different benefits to the country, including helping to grow its economy, it creates jobs, it attracts investment and contributes to the country's energy needs.
Really, really well done if you were able to identify those two correct answers.
We'll now add to our two practise tasks for our first learning cycle.
And the first one says to complete the first column in the table to list some of the benefits of the oil industry in Nigeria.
And the second one says to think about some of the challenges of oil in Nigeria, what they might be, and perhaps even share your ideas with someone else.
So what you need to do right now then is pause the video here whilst you attempt these two practise tasks.
Best of luck.
And now some feedbacks.
The first question asks you to complete the first column in the table, and these are then some of the benefits which you may have included.
We've seen economic growth, we've seen job creation, foreign investment via transnational corporations.
And finally, energy supply, particularly as Nigeria's energy consumption per person has increased as we looked at before through each decade.
Really well done if you were able to identify those four correct answers.
The second question asked you just to think of some different challenges caused by oil in Nigeria.
And these were some possible ideas which you may have got yourself.
Andeep says, "Oil and gas are major sources of greenhouse gases that are causing climate change." Alex says, "The money generated by the oil industry might not be shared fairly among its people." And finally, Sam, she says, "There might be other environmental impacts such as air and water pollution." And these are all absolutely fabulous answers, which you may have got yourself.
So really, really well done if you were able to think of any of those answers on the screen in front of you.
We're on now to our second and final learning cycle, and this is all about the challenges of oil in Nigeria.
There are many, many different challenges of the oil industry in Nigeria, and they include the following, the environmental impacts, the economic dependence, corruption and mismanagement, and, finally, tensions and conflict.
So you can see how these challenges caused by Nigeria's oil industry really are spread across social, economic, and environmental factors.
And we're gonna spend the next part of the lesson trying to understand each and every one of these four different challenges.
Let's start with environmental impacts, because fossil fuels, such as oil and gas, are a major source of the greenhouse gas emissions that are driving climate change.
And as Andeep says, "The world needs to move away from fossil fuels towards renewable energy sources such as solar, hydropower, and wind," and he is absolutely spot on.
Nigeria's greenhouse gas emissions are undoubtedly increasing.
That much is true.
But some countries such as the UK have emitted a lot more greenhouse gases in the past.
Now that graph in front of you on the right-hand side does a great job in actually describing and sort of explaining what that's all about.
Let's start by looking at that blue line, it's of the United Kingdom, and it's showing us greenhouse gas emissions.
Now, what we can see clearly is that the United Kingdom's contribution in terms of greenhouse gases began much, much earlier than Nigeria.
It started back in 1750 with the industrialization, that Industrial Revolution.
Whereas Nigeria began that move towards industrialization in 1910, 1920, the early 1900s.
So it hasn't produced as much greenhouse gases as the United Kingdom.
Also look at the gap today between UK and Nigeria in terms of greenhouse gas emissions.
But there's a slight nuance to that as Lucas says here.
Lucas says that, "This chart is showing emissions within a country's border.
Now, the majority of Nigeria's oil is actually exported for use in other countries." So we need to try to bear that in mind, the fact that Nigeria's oil is actually being exported to countries such as the UK, who then burns it for their own energy needs.
Therefore, carbon emissions produced by UK could be coming from Nigerian oil.
Decades of oil exploration and extraction of made the Niger Delta, sadly, one of the most polluted places anywhere in the world.
Frequent oil spills here pollute the air, soil, and water.
Now, "Gas flaring," which as Izzy says at the bottom, "is the burning off of the gas which comes out at the ground during oil drilling," causes air pollution and releases greenhouse gases that is driving and causing climate change.
But what are the impacts then of pollution from oil extraction in the Niger Delta? It can impact local communities and ecosystems as the following diagram actually does a great job in outlining, because these impacts can include the following, poor air quality, unsafe drinking water for both the animal and people living in that area, decreased agricultural productivity making it more difficult to grow food, a reduction in fishing stock which both of those combined will undoubtedly affect the diet and nutrition of those people living there, a loss of biodiversity, as well as the destruction of mangrove forests.
Time now for a learning check.
And it says to fill in the missing words to describe some of the environmental impacts of oil extraction in the Niger Delta.
So what you need to do right now then is pause the video here whilst you attempt this learning check.
And the answers were poor air quality, unsafe drinking water, decreased agricultural productivity, reduction in fishing stocks, loss of biodiversity, and destruction of mangrove forests.
Really well done if you were able to remember those six different impacts.
What about economic dependence then? Well, Nigeria's economy is very dependent on its oil industry.
It generates so much income from that one industry.
This unfortunately makes Nigeria very vulnerable to fluctuations in global oil prices.
There is also less investment in other sectors such as agriculture and manufacturing.
Global oil prices go up and down depending on the state of the world's economy.
And when the world's economy is strong, there is a higher demand for oil, and prices go up.
Very good.
But a weaker economy causes prices to fall.
Other factors such as political events, conflict, and extreme weather can also affect those prices.
So Nigeria really is at the mercy of world markets in terms of its oil trade price, and this undoubtedly affects its economy as a result.
What about corruption and mismanagement? Well, oil in Nigeria has undoubtedly created a huge amount of wealth in the country.
And for some of its people.
Corruption and mismanagement of funds means that this money isn't shared fairly among its people.
Some people benefit more, perhaps those at the top of society, than others, perhaps at the bottom of society, which is creating that inequality in society.
Despite the wealth generated from oil, a lack of investment means that many people in Nigeria still don't have access to clean water, education, and healthcare.
So the real basic, the real essentials of a normal quality of life.
Oil theft is also a real issue within Nigeria.
This involves illegally tapping in to oil pipelines and diverting the oil.
In fact, thousands of barrels of oil are stolen each and every single day, and this impacts Nigeria's oil production and costs the government billions of dollars each and every single year.
So what about tensions and conflict? How is the oil industry in Nigeria creating these tensions and conflict? Well, the environmental impacts and economic inequality caused by the oil industry in Nigeria is actually causing those tensions and conflict between people.
Because we need to recognise and understand that there are three different groups, really three different stakeholders.
These are the local communities, government, and oil companies, and they all have their own interests and also they are benefiting or not benefiting in their own particular way.
For example, oil companies and government would for sure be making a lot more money than perhaps the local communities in Nigeria.
Likewise, local communities, who are perhaps depending on agriculture and fishing as a source of income as well as food, may very well be negatively affected by the oil industry when things such as oil spills occur.
Likewise, the profits from the oil industry may not trickle down to those local communities, and thereby they feel like they're being ignored by their government.
And this feeling or this sense of inequality is being borne out in their society.
Time now for a learning check.
And it says Sam and Jun are having a discussion.
You need to decide who you think is correct.
So please then pause the video here, read through Sam and Jun's Statements and decide who you think is correct.
And the correct answer was Jun.
Jun says that, "Global oil prices can fluctuate," which means that they go up and down.
"This affects the amount of money that Nigeria can make from selling its oil." Factors such as the strength of the world's economy, political events, conflict, and extreme weather can all affect global oil prices.
So really well done if you were able to select Jun as the correct answer.
Now, different stakeholders in Nigeria have very different opinions about what the future of the country's oil industry should look like.
These are some of the stakeholders of Nigeria's oil industry, so local communities, oil workers, oil company directors and shareholders, government officials, climate scientists, and, finally, conservation groups.
Now, we can imagine a situation whereby the oil workers and the oil company directors and shareholders want to exploit more of the oil in the Niger delta, for example.
Likewise, government officials may very well be on the side of the oil company since it will generate more income for the government, which they can then use to improve services in Nigeria.
Perhaps on the other hand, though, local communities may not be as in favour as the government officials are in terms of exploiting the oil for fear of things such as oil contamination and pollution perhaps affecting fishing stocks and their agriculture.
Likewise, conservation groups and climate scientists will be more concerned about the environment and the ill effects of oil drilling and exploration in the Niger Delta, for example, since it causes mangrove destruction and loss of biodiversity.
So it's clear then that this topic undoubtedly has a variety of different opinions.
For example, I mentioned earlier that local communities may be against oil exploration.
Well, that might not necessarily be true.
Local communities may be in favour of oil exploration since it generates a lot of income for the country.
And as a result, they may see service provision improved as a result of the income that the oil industry is generating.
So once again, we can clearly see this is a really controversial topic with many, many different opinions.
Time now for a learning check.
And it says, true or false? Everyone in Nigeria is agreed about what the future of the country's oil industry should be.
So please then pause the video here whilst you consider and then select your answer.
And the correct answer was false.
So once again, I'd like you to pause the video whilst you consider as to why this statement is false.
And the reason it's false is that people are connected to the oil industry in Nigeria in many different ways.
Different stakeholders often have very different ideas and opinions about what the future of Nigeria's oil industry should look like.
Really well done if you were able to identify those two correct answers.
Time now for our two practise tasks for our final learning cycle.
And the first one says to complete the second column in the table from task A to list some of the challenges of the oil industry in Nigeria.
The second question says to select and read one of the stakeholder cards.
Consider what this stakeholder's viewpoint might be about the way forward for Nigeria's oil industry.
Identify some reasons for this perspective.
I would like you to also share your ideas with someone else.
So let's have a look at those different stakeholder cards.
We see stakeholder 1 who is a farmer.
Stakeholder 2 is the chief executive of a multinational oil company.
Stakeholder 3 is someone who works for the Nigerian government.
Stakeholder 4 is a climate scientist at a university.
Stakeholder 5 is a Nigerian conservation organisation.
And finally, stakeholder 6 is someone who works in an oil refinery near Port Harcourt.
So please then pause the video here whilst you attempt these two practise tasks.
Best of luck.
In terms of feedback then for the first question.
These were the challenges you may have included of oil in Nigeria, and those are the environmental impacts, the economic dependence, corruption and mismanagement and, finally, tensions and conflict.
And here's some feedback for the second question, and here are some possible views and opinions which you may have included yourself.
So for stakeholder 1, "I think that the oil companies and government should do more to compensate communities affected by the environmental impacts of oil extraction.
I would also like the Nigerian government to use the money more fairly so that everyone in our country benefits." Stakeholder 2, "I think the oil industry should carry on as normal.
It creates a lot of wealth and jobs for Nigeria and attracts foreign investment from companies such as mine.
Climate action is important but we still need oil to meet global energy needs." It continues, stakeholder 3, "I think oil extraction should continue.
The Nigerian economy would suffer otherwise.
However, I think more should be done to tackle corruption and oil theft.
More money should be spent on improving infrastructure and services so that everyone in Nigeria benefits." Stakeholder 4, "I think oil extraction around the world should be stopped.
This would help to reduce the greenhouse gas emissions that cause climate change.
I also think that more needs to be done to support everyone to take action and adapt to climate change impacts." And finally, then, stakeholder 5, "I think that the world needs to move towards a world without oil to help tackle climate change.
I would also like to see the Nigerian government and oil companies do more to reduce the environmental impacts of this industry and clean up past damage." Finally, stakeholder 6, "If I didn't work at the oil refinery, it would be difficult for me to find another job.
My job doesn't pay much but it's enough to feed my family and me.
However, I think that more could be done to improve people's working and living conditions." So really, really well done if you were able to include anything like that in your own answer.
Time now for our learning summary and what you need to know from today's lesson.
Well, Nigeria is one of the world's largest oil producers.
Oil brings wealth, jobs, and economic growth, but also corruption and inequality.
Many people in Nigeria don't benefit from oil revenue.
Oil extraction has environmental impacts which harm people and ecosystems. And finally, different stakeholders often have different perspectives about the future of Nigeria's oil industry.
So really well done during today's lesson.
It was a pleasure teaching you, and I will see you again on the next lesson.
Goodbye.