Chilenye Nwapi

Defining the 'Local' in Local Content Requirements in the Oil and Gas and Mining Sectors in Developing Countries

Abstract This paper examines how the term “local” has been understood in the definitions of “local content” in selected jurisdictions in developing countries. The paper critiques the centralist approach adopted by these countries that defines local content in terms of first consideration being given to their “nationals.” Little or no thought is given to the local populations who live in the area where the resource extraction takes place. The paper argues that if policymakers do not pay close attention to how “local” is defined, the benefits of local content requirements (LCRs) may be captured by “outsiders.” A bottom-up approach that recognizes the local populations where the extractive activities take place can help developing countries to prevent or douse resource conflicts. Community frustration resulting from seeing lucrative jobs given to “outsiders” can stir up conflicts. Given that revenues from extractive resources are managed by national governments in most jurisdictions, LCRs can provide a mechanism to meet the demands of subnational stakeholders, such as local governments and communities. This will in turn enable companies to obtain the social license to operate.

A Legislative Proposal for Public Participation in Oil and Gas Decision-Making in Nigeria

Nigeria is on the verge of comprehensively reviewing its oil and gas laws. The review is aimed at, among other things, addressing the conflicts associated with the management of the resources and, especially, the affect on the people of the oil producing region of the country who have been vigorously protesting about their alienation from the resources. Drawing on the international law of public participation in natural resource management, this article seeks to develop a viable legislative framework for public participation in oil and gas decision-making that Nigeria can adopt. A viable legislative framework must take into account the various factors that shape the effectiveness of participation and the elements that promote the objectives of participation. It is premised on the ground that looking to international prescriptions might help to elucidate gaps in domestic laws, as well as alternatives to overcome them.

Enhancing the Effectiveness of Transparency in Extractive Resource Governance: A Nigerian Case Study

Abstract Nigeria has been acclaimed as a model for the implementation of the principles established under the Extractive Industries Transparency Initiative (EITI). The goal of the principles is to promote accountability and effective management of resource revenues, which in turn would result in improvements in public welfare and better developmental outcomes, such as a more equitable distribution of wealth, improved socio-economic conditions, and poverty alleviation. However, a look at the socioeconomic condition in Nigeria raises questions regarding the impact of the achievements of NEITI on public welfare. Corruption remains endemic in the oil and gas industry, the sector on which the implementation of the EITI principles has been almost entirely focused. This article analyzes Nigeria’s experience with the implementation of NEITI with a view to theorizing about the reasons behind the lack of, or minimal, improvements in the lives of ordinary Nigerians as well as the persistence of corruption despite Nigeria’s acclaimed achievements in EITI implementation. The article argues that while EITI is an important driver of economic progress in Nigeria, it should not be viewed as enough to overcome the broader problems hindering improvements in public welfare. Other factors are necessary to translate the gains of EITI into visible public welfare improvements. The article identifies those factors and analyzes how they hold back the gains of EITI in Nigeria as well as its implications for emerging extractive countries signing or considering signing up with EITI.

International Law and Governance of Natural Resources in Conflict and Post-Conflict Situations by Daniëlla Dam-de Jong

Daniella Dam-de Jong’s International Law and Governance of Natural Resources in Conflict and Post-Conflict Situations appears in “Cambridge Studies in International and Comparative Law” series. The book aims to answer three key questions: (1) to what extent does international law provide rules to ensure that natural resource exploitation promotes sustainable development? (2) To what extent do those rules continue to apply in times of armed conflict? And (3) to what extent do the norms developed out of ad hoc mechanisms (such as through United Nations Security Council (UNSC) resolutions) for countries recovering from natural-resource-related armed conflicts contribute to improving natural resource governance in those countries? The analysis is set out in nine chapters, divided into an introduction (Chap. 1), three thematic parts comprising seven chapters, and a concluding chapter (Chap. 9).

Adjudicating Transnational Corporate Crimes in Foreign Courts: Imperialism or Assertion of Functional Jurisdiction

This article explores both theoretical and practical perspectives on the propriety and utility of litigating transnational corporate crimes in foreign courts. Is such litigation normatively appropriate? Is it useful for the promotion of corporate compliance with established standards of business conduct? In addressing these questions, the article combines perspectives from TWAIL scholarship, Felix Cohen’s theory of legal functionalism, socio-legal scholarship and democratic theory. The article’s fundamental intent is to provide a deeper understanding of the significance of litigating transnational corporate crimes in foreign courts. The article argues that criticisms of this type of litigation relating to imperialism and sovereignty are often misconceived. It also argues that opposition to this type of litigation by third world scholars would defeat the overarching goal of TWAIL scholars: to promote and protect the well-being of ordinary people of the third world, as distinct from their states.