14266 Volume 2 Defining antEnvironmental Devl-opment Strategy for the-Niger Delta.. May 25th, 1995 Volume II Industry and Energy Operations Division West Central Africa Department DEFINING AN ENVIRONMENTAL DEVELOPMENT STRATEGY FOR THE NIGER DELTA VOLUME II ANNEXES CONTENTS Paee No. ANNEX A LIST OF WRITTEN STAKEHOLDER COMMENTS ON THE INITIAL DRAFT REPORT ........................................................... . 1 ANNEX B GLOBAL SEA LEVEL RISE.................................... . ................ 3 ANNEX C CHARACTERISTICS OF FOREST ECOSYSTEMS ................... 6 ANNEX D VALUATION OF FOREST PRODUCTS ...................... . ..... . 10 ANNEX E PLANTATIONS AND LARGE SCALE AGRICULTURAL DEVELOPMENT......................................................................... . 17 ANNEX F EXOTIC SPECIES ...........................................................22 ANNEX G ASSESSMENT METHODOLOGIES............................................ 24 ANNEX H INDUSTRIAL SUBSECTOR POLLUTION INFORMATION........ 31 ANNEX I GAS FLARING ASSESSMENT AND ALTERNATIVES.............. 40 ANNEX J REGULATORY AND INSTITUTIONAL RESPONSE TO DEGRADATION.................................................................... . 45 ANNIEX K EDUCATION...............................................................................66 ANNEX L ESTIMATING THE HEALTH COSTS OF ENVIRONMENTAL DEGRADATION...............................................................6..... 69 ANNEX M OIL INFRASTRUCTURE SABOTAGE AND COMPENSATION PROGRAM S ................................................................................ 74 ANNEX N INTRODUCTION TO INTEGRATED COASTAL ZONE MANAGEMENT......................................................................... . 78 ANNEX 0 LAND USE ZONING................................................................ 81 ii Paee No. FE NC?ESU~S 122 REFERENE ....................................................... . . 12 Boxes 1 Sustainable Mangrove Management in Malaysia ............................................... 12 2 Validation and Crosschecking of Traffic Data ................................................... 30 3 Compensation Rates and the Value of Forest Land ........................................... 75 Figures 1 Example of the Annual Production of Palm Fruits in 30 Year Rotation ............. 19 2 School Attendance ......................................................... 67 Tables 1 Scenarios of the Displacement of People for Various Levels of Sea Level Rise (SLR) in Nigeria ..........................................................3 2 Impacts of Sea Level Rise in the Nigeria Delta ................................................... 3 3 Cost of Protecting Against Sea Level Rise (SLR) .............................................. 4 4 Niger Delta Mangrove Forest Estimates .......................................................... 7 5 Commercial Timber Species .........................................................9 6 Common Agricultural and Tree Crops .........................................................9 7 An Estimate of the Annual Value of Wood Products in Delta State ..........11.......... 1 8 Some NTFPs (Mainly Edible) Commonly Gathered in the Niger Delta ......... ...... 13 9 Estimated Collection and Value of Some NTFPs for a Family (10 Persons) ....... 15 10 Risonpalm Plantations ........................................................ 18 11 Niger Delta Basin Development Authority Irrigation Projects ............................. 21 12 Fuel Comsumption in Some African Countries ................................................... 26 13 Number of Cars, Traffic Volume and Number of Cars per 1,000 Inhabitants in Some African Countries .27 14 Annual Travelling Distances for Different Types of Vehicles in Some African States ................................................ 28 15 Estimated Traffic Volumes Separated into Areas and Types of Fuels .................. 30 16 Effluent Ranges for Plating and Electroplating Industries .................................... 32 17 Typical Palm Oil Mill Waste Effluent ................................................ 34 18 Median Waste Flows and Loadings for Petroleum Refinery Operations Foliowing Oil/Water Separation .................................................. 36 19 Air Emissions from Gas Flaring ................................................. 41 20 Acidification and Life Time of Galvanised Sheet Steel ................................. ....... 43 21 Monthly Average Earnings in Port Harcourt ................................................. 69 22 Oil Spillage. Causes and Volumes for Shell in Delta State, 1991-1994 ............... 74 23 Compensation Rates In Oil Exploration Areas ................................................. 76 iii Paee No. 24 Mangrove Valuation Studies ........................................................ 77 25 Benefits of ICZM for Environmental Problems in the Niger Delta ....................... 78 Annex Boxes A. 1 Water Supply Issues ........................................................ 83 A.2 Intensification and Plantations - Issues for Forest Conservation .......................... 85 A.3 Experiments to Study the Effects of Oil Pollution in Mangrove Vegetation ......... 94 A.4 Existing and Potential Uses of Water Hyacinth .................................................. 108 Annex Tables A. 1 Land Use in Rivers State ........................................................ 82 A.2 Cost and Benefits of Increased Frequency of Flooding .................... ................... 84 A.3 Catch and Catch Per Effort of Inshore Fish and Shrimp Trawlers ........... ............ 85 A.4 The Potential Maximum Sustainable Yield (MSY) in Metric Tons ...................... 86 A.5 Official Catch Statistics and an Index of Fishing Effort for the Niger Delta ......... 87 A.6 The Price in Port Harcourt and the Capture in Rivers State for Eight Species ..... 88 A.7 Constituted and Proposed Forest Reserves ........................................................ 89 A.8 Rivers State Area Measurement of Land Use within Forest Reserves .................. 90 A.9 Conservation Status of Selected Fauna in the Niger Delta ................................... 91 A.10.a Oil, Water and Gas Production by The Shell Petroleum Development Company of Nigeria (East), Port Harcourt, Rivers State .................................................... 92 A.10.b Oil, Water and Gas Production by The Shell Petroleum Development Company of Nigeria (West), Warri, Delta State ................................................. ....... 92 A. 11 Average Concentrations and Total Amounts of Oil in Discharged Production Water ........................................................ 93 A. 12 Oil Spillage in Delta and Rivers State, 1991-1994 .................................. ............ 95 A. 13 Impact of Oil in Mangroves ........................................................ 96 A. 14 Manufacturing Industries in Port Harcourt Area ................................................. 98 A.15a Estimated Air Emissions from Traffic in Nigeria ................................................ 106 A. 15b Estimated Air Emissions from Traffic in Rivers State .......................................... 106 A. l 5c Estimated Air Emissions from Traffic in Port Harcourt ...................................... 107 A. 16 Estimated Air Emissions from Industries in the Port Harcourt Area ................... 109 A. 17 Estimated Water Effluents from Industries in the Port Harcourt Area ......... ....... 112 A. 18 Estimated Waste Generation from Industries in the Port Harcourt Area ............. 115 A. 19 Manufacturing Industries in Delta State, 1987 ............ ...................................... 117 ANNEX A LIST OF WRITTEN STAKEHOLDER COMMENTS ON THE INITIAL DRAFT REPORT Representative and Organization Date Niger Delta Weltands Centre 17 March 1995 B. Chinsman and 0.0. Okoro, 20 February 1995 - Resident Representative and Environment Officer, UNDP Lagos. 9 February 1995 J.P van Dessel 31 January 1995 - Consultant - Former Head of Environmental Studies, Eastern Region, Shell Petroleum and Development Company of Nigeria. C. Wicks and Dr. Sian Pullen 25 January 1995 - Head of International Programme and Scientist, World Wildlife Fund - UK. Dr. A.J.T. Otobo 20 January 1995 - Niger Delta Wetlands Center. Dr. M. F. Ivbijaro 21 December 1994 Commissioner, Ministry of Agriculture and Natural Resources, Delta State. J.E.E. Ighogboja 21 December 1994 - Ministry of Works, Delta State. L.E. Onyeche 21 December 1994 - Department of Fisheries, Delta State. Dr. W. I. Bell-Gam 19 December 1994 - International Centre for Environmental Education, Planning, and Training, UK. Dr. L.A. Daniel-Kalio 19 December 1994 - Crop Protection, Rivers State University of Science and Technology. N. Achebe 17 December 1994 - Director and General Manager,, Shell Petroleum and Development Company of Nigeria. P.A. Dike 14 December 1994 - Engineer, Rivers State Environmental Protection Agency Dr. N. C. Alagoa 9 December 1994 - Fisheries Department, Rivers State University of Science and Technology. M.N. Chimah 7 December 1994 - Eleme Petro-Chemicals Company Ltd. Chief H.J.R. Dappa-Biriye 15 November 1994 -2- Representative and Organization Date Dr. J. Oates 24 October 1994 - Department of Anthropology, Hunter College. City University of New York I.G. Nwafor and P.A. Dike no date - Rivers State Coastal Zone Coordinating Committee M. J. Ayotamuno no date - Engineer, Rivers State Environmental Protection Agency B.A. Lawson no date - General Manager, Niger Delta Basin Development Authority T.T. Isoun and M. Isoun no date - Niger Delta Wetlands Center Flood and Erosion Department, Rivers State Ministry of Works no date Dr. T.K.S. Abam no date - Niger Delta Wetlands Center ANNEX B GLOBAL SEA LEVEL RISE2 The threat of coastal erosion is increased by the prospects of a global sea level rise (SLR). In Nigeria, a one meter sea level rise could flood 18,000 km2 of land, damage assets valued at US$9 billion, and force the relocation of up to 3.7 million people. The estimated population displacement will vary depending on the extent of sea level rise and protection measures. Table 1 shows displacement in Nigeria ranging from 100,000 to 8.5 million people given various levels of sea rise and corresponding protection measures. Table 1: Scenarios of the Displacemnet of People for Various Levels of Sea Level Rise (SLR) in Nigeria (Million People) Scenario (SLR), meter 0.2 0.5 1.0 2.0 No protection 0.64 1.60 3.18 8.50 Important areas protected 0.20 0.52 1.06 1.99 Total protection 0.10 0.27 0.56 0.99 Source: French et al. (1994) The table below illustrates the potential impacts on Niger Delta. Table 2: Impacts of Sea Level Rise in the Niger Delta Present 1 m SLR 2 m SLR Erosion rate m/year 10-15 16-19 20-25 Area lost to erosion km2 26-45 55-120 130-230 Inundation and erosion km2 3,000 7,000 15,000 Percent of area lost % 15 35 75 Villages impacted No. 50 200 350 People displaced rnillion 0.15 1-2 2-3 Note: The Niger Delta is defined as an area of 2 million ha. Source: Awosika et al. (1992). Sea level rise will submerge low lying areas and increase salinity in some ecosystems. Fish populations will change by migrating while vegetation will adapt much more slowly. The 2 Linddal., 1995. -4 - diverse ecosystems in the Niger delta are vulnerable to changes in salinity, but a low rate of change should make accommodation possible. Three major response strategies to evade the cost of sea level rise are: * Retreat, e.g., movement of population and investments. Relocation of a village is estimated to cost US$400,000 on average. (Relocation costs). * Accommodate, e.g., conversion of activities from land-use to fishery (Indirect opportunity costs). * Protect, e.g., building of seawalls and nourishment of beaches (defensive expenditures). The values at risk are investments in the oil industry (estimated US$13 billion) and other socio-economic investments (estimated US$10 billion). Some of these investments are sunk costs. Two coastal engineering techniques have been considered as protection strategies: * Seawalls, which cost between US$2 million and 18 million per knL3 * Beach nourishment, which costs between US$10/m3 for beach fill with sand and US$100/m3 for rock filling (French et al, 1994). The cost of protection of highly developed coastal areas in Nigeria, oil development infrastructure and a total protection of all moderately developed areas at different sea level rises is estimated in the table below. Protection of the country's whole coastline is not economically feasible. Table 3: Cost of Protecting Against Sea Level Rise (SLR) (Million US$) SLR 0.5m 1.0m 2.0m Areas: Only highly developed areas 220-320 560-670 1,700-1,922 Incl. moderate developed areas 610-890 400-1,780 3,537-3,992 Note: The costs occur over 50 years (2051-2100) Source: WDR, 1992: Development and the environment. The World development report, The World Bank, Oxford University Press, 329 pp. (cf. French et al., op.cit.). 3 The low estimate is fiom French et al. (op.cit.) and the higher is from IPCC (1990). The lower figure is based on an in- country data collection. IPCC, 1990: Strategies for adaption to sea level rise. Report of the coastal zone management subgroup, IPCC Worldng group m, The Netherlands, 122 pp. - 5 - The cost of protecting Nigeria from a sea level rise of one meter has been estimated to be US$3,162 billion (IPCC). This protection scenario only includes areas with a population density larger than 10 cap/kiM2, and thus excludes the Niger delta. Another estimate for the costs of a similar scenario is US$1.4 -1.8 billion, i.e., significantly less (French, 1994). Sea level rise places the low-lying Niger delta at particular risk. Little priority has been given in the national estimates to the prospects of the inundation in the Niger delta because of: * The prevailing uncertainty of the eventual extent of sea level rise paired with the presumed relatively low socio-economic impact in the Niger delta (due mainly to the relatively low population density) compared with other regions. * The low priority given to the people in the delta. * The oil wells can be exhausted before a sea level rise becomes a problem. It is also possible to extract the oil from submerged areas. ANNEX C CHARACTERISTICS OF FOREST ECOSYSTEMS Mangroves Nigeria has the third largest mangrove forest in the world and the largest in Africa (9,730 km2). The majority is found in the Niger Delta and estimated to cover between 5,400 km2 and 6000 km2 (SECAL in Sayer, Harcourt, and Collins, 1992, 231; Adegbehin and Nwaigbo, 13). According to the FAO 1979 land use survey of the delta, 30 percent of Rivers State is composed of mangrove forests (5,891 km2) (see Table 4). Defined by regular salt water inundation, the mangroves form a vegetative band 15 to 45 km wide parallel to the coast. The mangrove region is widest on the sides of the delta, 35-45 km, and narrows towards the center to a width of 15 km, except for the channel of the Brass River which has extensive mangroves far upstream (hug, 413; Powell, 1995, 7). Creeks, which are kept open by tidal action and flooding, flow throughout the forests (The River Chiefs, 1992, 38). Delta tidal effects, most evident in the mangroves, range between 1 and 3 m. Acid sulfate, silty clay, clay loam, and peat, or chikoko, soils predominate in the mangroves. They tend to be saline and have almost neutral pH when wet. However, when the soils dry, the sulfides are oxidized to sulfuric acid, leaving a highly acidic environment (down to pH 3). Greatly influenced by both freshwater flows and diurnal tides, mangrove forests have low species diversity and elevated productivity. In contrast to the low standing biomass, averaging 150 tons per hectare, productivity can be relatively high - 15 to 20 tons per hectare per year for river mouth and creek edges stands. Productivity is much lower for inner mangrove forests, which are composed mainly of stunted trees. Mangrove productivity is important in that approximately half of it falls as leaf litter and dead wood (Commission of the European Communities, 1992, 10). The combination of the accumulation of dead mangrove biomass and the living trees' ability to trap sediments and organic matter can increase land area. Whether they do depends on the interactions of river sediment transport, erosion by currents and waves, and the vertical movement of land. The litterfall and accumulation of organic matter are also the basis for the aquatic food chain linking decomposers to marine and estuarine fish, mollusks (such as oysters and periwinkles), and crustaceans (especially shrimp and crabs) (Ashton-Jones and Douglas, 1994, 140). The mangrove forests of the Niger Delta principally comprise only three tree families and six species: Rhizophoraceae (Rhizophora racemosa, R. harrisonii, and R. mangle), Avicenniaceae (Avicennia africana), and Combretaceae (Laguncularia raremosa, and Conocarpus erectus). The distribution pattern of mangrove species depends on several factors: salinity, frequency and duration of flooding, siltation rates, soil compaction, and strength of erosion forces (Linden and Jernelov, 1980, 83). Only trees on the nutrient rich creek banks grow to large size (30m); the rest are much smaller (Powell, 1993, 6). Rhizophora racemosa (red mangrove), which forms a dense growth throughout the region, is the most common species, estimated to cover 90 percent of the mangrove area (NEST, 140). - 7- Being a pioneer, it is followed by the shorter R. harrisonii and R. mangle, which progressively prefer drier habitats. Avicennia (white mangrove) is also found on firmer ground than R. racemosa. Nypa fruticans, an exotic palm, has spread through the eastem delta and is common around the mouths of the Bonny and Imo Rivers (see the exotic species section). In degraded areas, sedges, grasses, especially Paspalum vaginatum, and fems, like Acrostichum aureum, thrive (Sayer, Harcourt, and Collins, 1992, 232; Federal Environmental Agency (FEPA), 1992, 14). The process of succession from R. racemosa establishment to dry land takes approximately 100 years in ideal conditions. Water flow, erosion, and sediment deposition changes frequently disrupt succession to the extent that R. racemosa remains the dominant species in the mangroves. As salinity drops away from the coast, the mangrove species are eventually outcompeted by the freshwater swamp forest flora. Table 4: Niger Delta Mangrove Forest Estimates Forest size Standing Volume (ha) (million m3) Researchers 404,500 7-9 Niger Delta Development Board (1962/3) 512,000 30-40 Niger Delta Development Board (1963/4) 404,500 5.64 FENCO (1976) 540,000 13.9 Adapted from Okigbo (1985) 540,000 16.7 Adegbehin and Nwaigbo (1990) Source: Adegbehin and Nwaigbo, 1990. Freshwater Swamp Forests With the severe deforestation of other forest zones in Nigeria, freshwater swamp forests will soon become the most extensive forest zone in the country (World Conservation and Monitoring Centre, 15). Large areas remain intact because of the high cost of extracting timber, developing plantations, and clearing land for agriculture. These forests cover one third of the land area of Rivers State (Forestry Department, Rivers State, 1994). The freshwater swamp forests are most extensive in the west and central delta. In the eastem delta, the freshwater forest band is much thinner because of the higher elevations. Seasonal flooding is the dominant ecological influence on the freshwater swamp forest. Flood waters collect in countless swamps and ponds, saturating the soil for at least the rainy season. Standing water evaporates during the dry season in most areas, but permanent swamps are common in many areas, such as behind the riverbank levees. The swamp forest zone can be divided into two general ecological groups: (1) riverbank levees which are rarely flooded and have been mostly converted to agriculture, but have the best conditions for tree growth, and (2) the back swamps which can be inundated with water for most of the year. The soils are heterogeneous in the swamp forest zone. They are cohesive when dry, but much less so when wet. During flooding periods, they become saturated and erode easily. The humid tropical environment coupled with deforestation has deteriorated soil fertility (Linden, 1993, 6). Since soils are saturated to within a few centimeters of the surface in most -8 - locations, succession to a lowland rainforest has not occurred, leaving instead an edaphic climax of freshwater forests (Skoup and Co. Ltd., 5). No systematic vegetation survey of swamp forests has ever been conducted; the information available is based on isolated studies and observations. The forest stands fringing the rivers and creeks are dominated by Raphia, Calamus and Alchornea, that are usually less than 1 Sm high. Behind the fringe, a taller forest that includes many commercial species grows upwards of 45m on the levees (Table 5). Irvingia gabonensis (Ogbono), Symphonia globulifera, Alstonia boonei, Berlinia spp., Nauclea gilletti and Pandanus candelabrum (screw pine) are also common. One early study in the Mamu River Forest Reserve, which is located in the freshwater ecozone outside of the delta, found that Anthostema aubrvanum and Carapa procera comprised more than 65 percent of tree species (Skoup and Co. Ltd., 5). The secondary forest species, Musanga cecropioides (umbrella tree) is abundant in drier areas (The River Chiefs, 1992, 42). In small areas, Oxystigma mannii, Raphia hookeri, and Pandanus candelabrum establish essentially single species stands (NEST, 143). Severe seasonal flooding has kept the back swamp forests from being converted to farmland. Largely unstratified, the main canopy is generally open, giving the impression of a secondary forest. Tall trees are abundant, but patchy and interspersed with dense thickets of shrubs and lianas. The trees are concentrated on the areas of higher ground. Though wide variation in species composition is common, Mitragyna ciliata (up to 36 percent), Raphia palms, Symphonia globulifera, Pterocarpus santalinoides, and Uapaca are the common swamp forest stand, with palms dominating in the wettest areas (Richards in Skoup and Co. Ltd., 6; Ashton-Jones and Douglas, 129). The dense tangle of lianas and other climbers is the most distinguishing characteristic of these forests (NEST, 144). Barrier Island Forests The smallest of the ecozones in the delta (1,140 km2), the barrier island, or beach ridge island forests, are degraded in accessible areas, but large areas of high quality forest with high concentrations of biodiversity remain. For example, the Adoni area is still relatively intact. It has been proposed as a game reserve because of its remnant populations of elephants and sea hippopotami (see the biodiversity section ) (Hall, 1994, 27). Similarly, the forests around Sangana and in the Olague Forest Reserve along the western coast of Delta State are in good condition. The beach island forests are freshwater forests found between the coastal beaches and the estuarine mangroves. They typically contain a band of rainforest species growing on the inland side of the beach ridges and freshwater swamp forests created by the high freshwater table (common species are listed in the freshwater swamp forests description and Table 5). A littoral forest of small trees and shrubs with thick waxy leaves protect the rainforests from the open ocean environment (Ashton-Jones and Douglas, 1994, 146-7). The forests grow on sandy inceptisols that are well to very poorly drained depending on whether the forest is located on a beach ridge or back wetland. - 9 - -9-.~~~~~~ Table 5: Commercial Timber Species Scientific Name Common Name Mitragyna ciliata Abura Cebia spp. Gmelia spp. Khaya spp. Mahogany Nauclea diderrichii Opepe Terminalia spp. African walnut Militia excelsa Iroko Lophira alata Ironwood Cleistopholis patens Otu Table 6: Common Agricultural And Tree Crops Agricultural Crops Tree Crops Cassava Oil palm Yam (esp. water yams) Raphia palm Cocoyam Citrus fruits Maize* Cashew nuts Rice Mango Beans* Ogbono Peppers Pawpaw Spices Cocoa Melon Guava Sugar cane Garcinia spp. Plantain Banana * Not extensively cultivated in riverine areas, but common in lowland areas. ANNEX D VALUATION OF FOREST PRODUCTS The Value of Wood Products4 There are several uses of the forest, but the use generating the largest direct economic revenue is the harvest of wood, i.e., timber logs for sawn wood and wood products, smaller dimensions for fuelwood and several other uses (e.g., chewing sticks and building poles). Based on figures on the production from the forests in Delta state in 1992 and various sources of prices, e.g., a recent study on forest products in Cross River state (Omoluabi, 1994), it is possible to estimate the annual value of the wood production in Delta state (Table 7). The forest products are: O Sawlogs 0 Building poles O Transmission poles 0 Fuelwood O Bamboo 0 Chewing sticks The unit values are estimated as approximations to the market value net of productions costs. It is a rough value, which is hampered by the variability of the pricing system, the huge transport costs, and the chain of processing adding an extensive value to the semi-processed products. The unit values are estimated as a lower bound, and the value added in the processing is not included. With the production figures from Delta State, it is possible to estimate the primary production value of woodbased forest products from the Niger delta. Sawlogs have a market price of about N5,000/m3, and mahogany is sold for about 25 percent more.5 The stumpage value for mahogany (market price net of extraction costs) is about N500-1,000/m3 (one tree yields 3 logs that are 12 feet long, i.e., approximately a total of one m3). The timber tariff in Cross River state is reported to be N700/m3, and is used as the stumpage value. Value is added from converting the logs into sawn wood, and it is assumed that the value added is equal to the stumpage price. The study from Cross River state found a profit margin in sawn wood processing of Nl,000/m3. Building poles are sold in Calabar for NIO. They are usually 3 m long and have a diameter of 6 cm, i.e., 200 poles are equal to one m3 with a market price of N2,000/m3. With a profit margin of 80 percent the net value is N400/m3. Transmissions poles were reported to have a net value of N500/pole in 1992 in Delta State. This value is relatively high since there are several poles in one m3. A low estimate is to keep 4 Linddal, 1995. S Dr. Leh, Forest Director, Rivers State (Pers. comm.). the reported price from 1992 and assume that only two poles make one m3, i.e., the net value is N1,000/m3. Fuelwood is sold in markets in bundles: A small bundle (10 kg) for N1O and a larger (50 kg) for :N40 (prices in Port Harcourt). These prices are equal to N500/m3 (with a wood density of 0.6)1. There is a substantial value added from splitting larger bundles. The price of roundwood billets of mangrove wood that yield 1 m3 of fuelwood have an estimated value of N330/m3 in Cross River state (including expenditures on community permits, harvesting, transport, labor and profits). The shadow price is large in terms of the substitute for fuelwood and the open access regime with regard to collecting fuelwood makes the communities continue to collect fuelwood despite a large effort. The value of collected fuelwood can also be valued at the indirect opportunity costs of the effort. An estimate based on the market prices for fuelwood is a net value of N50/m3. Chewing sticks are sold in bundles of 20 sticks for N1O-15 per bundle. The value added is a large proportion of the product value. The market price for a log for chewing sticks is about N500 in Ghana (Falconer, 1992). This price includes large transport costs and the fact that the species used for chewing sticks are being over-exploited in Ghana. The net price in Nigeria is assumed to be NI00/log, and since there are about 20 logs for one m3 the net price is N2,000/m3. The only data on the value of a bamboo pole is a net price of N2.5 in 1992. With a small adjustment for changing price levels the net price is set at N5 per pole. Table 7: An Estimate of the Annual Value of Wood Products in Delta State Product Harvest Price Value Sawlogs 46,000 m3 700 N 32.2 mio. N Building poles 50,000 m3 200 N 10.0 mio. N Transmission poles 20.000 m3 1,000 N 20.0 mio. N Fuelwood 1.7 mio. m3 5ON 85.0 mio. N Chewing sticks 8,250 m3 2,000 N 6.5 mio. N Bamboo poles 1.2 mio. poles 5 N 6.0 mio. N Total annual value (Delta state) 169.7 mio. N Total annual value in Niger delta6 500.0 mio. N Value of annual direct production 400 N/ha per ha (excluding mangroves) Note: Quantities are as reported for 1992 in the Delta State (TFAP report) Source: Adapted from Linddal, 1995. 6 One third of the Niger delta is assumed to be in Delta State. - 12 - Value added to the products comes from: (i) splitting the fuelwood into smaller bundles, (ii) converting logs into sawn wood, (iii) producing the chewing sticks from logs, or (iv) substituting other building materials with poles, bamboo and raffia roofing. The forest production is a source of input to several economic sectors. Shortage of forests products can have severe economic impacts in traditional economies or when processing sectors lack a raw material and consumers must use more expensive substitutes, e.g., imported goods. Box 1 Sustainable Mangrove Management in Malaysia An example of a successfully managed mangrove forest is found in Malaysia (Vanclay, personal communication, 1995). The mangrove is managed in plots of 5-10 ha in a 25 year rotation. The products are not merely firewood; poles and building materials are also produced from thinnings. At the end of the rotation, with a tree height of about 20 m the plot is clearfelled, and the final crop is converted to a high-quality charcoal. The bark is stripped on site and used as tannin for dyeing fishing nets. The stems are burnt in permanent kilns to produce high quality charcoal that is exported to Japan for medicinal purposes. Similar charcoal produced in the Niger delta could have various industrial uses in Nigeria or in export markets. Carbon from good quality charcoal is, for example, used for purifying polluted ground water in urban areas in developed countries. The mangroves are managed in a mosaic pattern, and the forest is left in 10 meter wide bands along rivers and creeks in order to minimize the enviromnental impacts. Regrowth is natural and an inventory controls whether the regrowth is sufficient. If not, additional seeds are captured in the river with nets and sown in the plot. There are few problems with weeds. A fem is the main problem and the plot occasionally has to be sprayed with herbicides. The mangrove forest is probably the best managed forest in Malaysia with some of the plots now in their third rotation. Linddal, 1995. The Value of Non-Timber Forest Products (NTFPs)7 The traditional uses of the forest for gathering of a variety of products other than wood are, together with fishing activities and small-scale farming, essential activities for the inhabitants of the delta (Table 8). NTFPs are derived from animal and plant sources, and support many activities of the communities and other economic sectors in Nigeria. The uses of the forest resources are so diversified that no precise assessment is possible.8 NTFPs from fauna are: bush meat, skins and trophies, medicinal parts, snails (periwinkles), fish, and live animals. The major plant NTFPs are: fruits, leaves, medicinal barks, spices, roots etc, which are used for food, medicinal purpose, building/construction, traditional/cultural uses or arts/crafts. The people use NTFPs: (i) as a food supplement, (ii) for traditional medicine, (iii) for a variety of other purposes in the household, (iv) for building materials, (v) as material for fishing 7 Linddal, 1995. 8 Two recent studies have been used to some extent as background papers for this section on NTFP. The best Southern Ghana: Falconer, J., 1994: Non-timber forest products in Sourthern Ghana. Main report, 244 pp. - 13 - equipment, (vi) as road and path surfacing with shells from periwinkles, oysters, and palm fruits, and (vii) as a source of income. Table 8: Some NTFPs (Mainly Edible) Commonly Gathered in the Niger Delta Raffia palm: Used for palm oil and gin production. Gin costs N40/bottle in Port Harcourt and N30/bottle in local markets. Raffia leaves are used for roofing (large bundles of raffia for matting are sold for N1 0-20). Ogbono (bush mango) (Irvingia gabonensis): The seeds are used for cooking (like okra). Seeds are sold for N200/kg in local markets. In Yenegoa the price of one cup (less than 100 gr.) was N20. A rice bag of ogbono (50 kg) in Yenegoa was bargained from N6,500 to N5,000, i.e., 4100/kg. The price in Asaba is N20 per cup but the market is small, because ogbono is traditionally not eaten in this area. The price in Lagos is N600/kg. Ogbono is sold (grounded) in Europe. Giant snails: In Yenegoa 5 snails (small) are sold for N20. In Port Harcourt the price for five is N35 and one for N10. In Asaba snails are sold for in bundles of five for N20. In Lagos one snail is sold for N20. The price of the snails varies according to size of the snail and location of the market. Spices: Various types are sold for N150/100 gr. at the market in Yenegoa. Cola nuts are exported to other states. Leaves are collected for wrapping materials such as cola nuts and other products transported to other locations. Mangrove salt: Mangrove salt is produced from mangrove wood in the coastal regions. It is a specialized activity confined to a small number of communities. For example, in the Apoi area half the community is engaged in this activity. The mangrove salt is supposed to have medicinal functions. The gathering of several NTFPs, in particular those which are edible, is seasonal. The exploitation depends on the life cycle of the particular products, on accessibility (e.g., restricted or improved by flooding), and on effort expended for other seasonal activities. Other products such as building materials can be collected all year round. The gathering of - 14- NTFPs is a harvest of renewable resources. Some NTFPs are not destroying the productive resource directly (e.g., ogbono are collected seeds) while others are (e.g., chewing sticks or snails). However, there are no known cases of these resources being exploited beyond a sustainable level. An economic valuation of NTFPs without any prior inventory of production levels or the consumption pattern must be taken with caution. The economic assessment can be estimated on the basis of assumed potential yields per area converted into an economic figure. Another approach is to estimate the collection per family and convert it into value per area. The latter gives a lower bound of the potential value because the NTFPs are not collected equally intensively over the whole delta. There is a difference between the actual and potential value. An assessment of the actual value of NTFPs, requires an assessment of the harvest level. This harvest can be above the production level of the reproducible resource, but is likely to be less when exploited by traditional uses. The potential value is estimated on the basis of a sustainable harvest level, and this is the value that is lost if an area is converted. The revealed market prices can be used as a proxy for the value for those main NTFPs that are collected for sale. There are, however, many other NTFPs that are collected only for domestic use and thus not subject to trade. Another and more precise valuation would be based on the cost of a close substitute, i.e., if the NTFPs were not available, the community will purchase other commodities instead with an incremental cost in terms of money and effort (i.e., the cost of an indirect substitute). For medical plants the benefits are relief, but also the saved costs of modern medical treatment and transport to a medical centre (in some situations modern medical treatment has no substitute). A third approach is simply to value the NTFPs according to the shadow value of the effort put into collecting them, i.e., if the community used less time collecting a particular NTFP, what is the value from an alternative activity (i.e., an indirect opportunity cost). It is assumed that the costs of collecting the NTFPs are relatively low. The effort (time) used to collect NTFPs has decreasing marginal returns due to the spatial distribution, i.e., a community collects the nearest NTFPs first. The value a family (10 members on average) can obtain from gathering NTFPs for domestic use is estimated on the assumed consumption and the value of the product based on either a market price or the assumed cost of substitutes (Table 9). - 15 - Table 9: Estimated Collection and Value of Some NTFPS for a Family (10 Persons) Product: Annual value: Directly: Ogbono estimated 100 kg * N1O 1,000 N Giant snails (or periwinkles in mangroves) estimated 1,000 * N3 per piece 3,000 N Bush meat: estimated consumption: 30 kg * N100/kg9 3,000 N Raffia, cane, fibers, leaves: estimated for fishing material, food wrapping, etc. 3,000 N Spices, nuts, fruits etc.: 100 kg * N50 5,000 N Indirectly: Other products for the household: Saved costs for substitutes 5,000 N Medical plants: Relief, savings medical care and transportation 10,000 N Total for a family of 10 members 30,000 N It is assumed that the population density is at least 1 to 1.5 persons/ha in the delta, i.e., when a family of 10 members can earn N30,000 a year from NTFPs, it implies that the forest has a minimum average value from the actual use of NTFPs of N2,000 per ha/year. This is presumed to be a lower bound because: (i) the potential value of the forest when all available resources are harvested up to the sustainable level would probably be larger,10 (ii) it is an average value while the use is concentrated around villages, and (iii) other uses of NTFPs may exist. The diversity of the ecosystems in the delta and their diverse uses imply that the crude assessment of N2,000/ha does not hold for the mangroves, but mainly is an estimate for the more dense population in the freshwater swamp forest. A survey 11 of studies on extractive value from tropical forests or other products than timber (i.e., NTFPs) reveals that the value of NTFPs ranks from US$5 to US$422 per ha annually 9 A study from Ghana reports an average value of N130/kg (5 cedis to NI) for bush meat. The average value for a grass cutter is 2,000 cedis (N400) in Ghana (Falconer, 1994, op.cit.). A similar price level was observed in Asaba (Delta State) for an informal sale. 10 Assuming that only half of the area is used intensively for collection of NTFP, the potential average value could be N4,000/ha. 11 Lampetti, J.A. & J.A. Dixon, 1994: A guide to non-timber forest benefits. Environment department, The World Bank, Washington, D.C. [draft]. - 16- with a majority of the estimated values clustered around US$70 per ha/year (Lamnpetti and Dixon, 1994). The value estimated in this study is around US$30-90 per ha/year. ANNEX E PLANTATIONS AND LARGE SCALE AGRICULTURAL DEVELOPMENT Risonpalm is one of the largest developers in Rivers State. It has converted over 20,500 ha of forest and small holder farmland into oil palm monocultures. If its full project portfolio is completed, 38,000 ha, or over 2 percent of the state will be planted in oil palms. Delta State has a similar oil palm plantation program covering 7,000 ha, with plans for another 20,000 ha, but no information is available on it (Ministry of Agriculture, Delta State, 1994b, 1994). The environmental impact is expected to be nearly identical to the effects of Risonpalm because of the similar ecosystems. If completed as envisioned, which is now unlikely, Risonpalm's activities are expected to permanently alter 78,000 ha either by directly clearing land or by changing the hydrological regime (Guardian, 1994e, 3). Major plantations are distributed in four locations in the state: Yenagoa, Elele, Ubima, and Bori (Table 10). The primary environmental impact of the projects is the destruction of large areas of forest and swidden agriculture. Although project locations are mostly secondary and bush-fallow forests, project managers do not discriminate between forest quality and have slated other primary forests for development. Environmental assessments are not conducted. The current focus for Risonpalm is the development of the lowland Yenagoa plantation. The original proposal called for clearing the fully gazetted Upper Orashi Forest Reserve (9,696 ha) which is one of the most biologically important sites in the delta (see biodiversity section). It would also have disturbed water flow into the Lower Orashi Forest Reserve, located downstream of the project. Managers scaled down the project after community protests caused the European Union to cut back funding. Outside of the reserve, timber species and valuable tree crops, such as natural oil palms, mangoes, and ogbono, which are harvested by farmers, are being cleared by the project. To dry the plantation site, the parastatal has completed 90 percent of a 24 km dyke (originally proposed to be 80 km long) and numerous drainage canals. Farmers are complaining that the plantation canals flood fields adjacent to the project (Powell, 91). Downstream users will also be affected; the dykes will block sediments to downstream areas forcing farmers to purchase fertilizers to keep yields constant. Fisheries may also be disturbed. The company has not been able to afford the inputs necessary to attain yields anticipated in feasibility studies. Use of NPK fertilizer has decreased and the company is not able to purchase magnesium sulfate fertilizer which is required at Ubima and Elele. Similarly, managers apply less pesticides because of the high cost. Currently, they only spray for weed control and during outbreaks of foliage eating insects, which occur on 4-5 year cycles. Given the frequent flooding and high groundwater table, if fertilizer and pesticide use increases, migration into drinking water and other water sources will be extensive. By inducing Risonpalm to limit applications of pesticides, the high cost of inputs reduces their - 18- environmental impact, which include water contamination and eutrophication for fertilizers and health impacts on non-target organisms, including humans. Nonetheless, workers on the Yenagoa plantation held a strike in 1993 because of the large amounts of pesticides they were required to apply (Ashton-Jones and Douglas, 1994, 176). Local communities have also reported that pesticide applications at the oil palm nursery have caused large fish kills (Powell, 91). Risonpalm officials confirmed that pesticides are intensively applied at the nurseries. Table 10: Risonpalm Plantations Location Proposed Area Current Area Smallholder Area (ha) (ha) (ha) Yenagoa 9,000 1,500 2,000 Elele 6,500 6,500 0 Ubima3 15,000 15,000 0 Bori 6,000 unknown unknown TOTAL 36,500 23,000+ 2,000 Source: Risonpalm, 1994; Guardian, 13 March 1994; Economic Analysis Of Oil Palm Plantations.4 Data on a typical stand of oil palm plantation is used to assess the economic value of land with oil palms. Figure 1 shows the annual production (harvest) of palm fruits (tons of ffb, fresh fruit bunch) from one ha of a Tenera hybrid (Pisifera x Dura). The rotation is 30 years and the average annual production over the rotation is 10.5 tons of ffb. This is the production level in the upland; lowland plantations can yield 30 percent more.5 The establishment costs are assumed to be N10,000/ha in the upland and N50,000/ha in the lowland.6 The higher costs in the lowland are due to drainage, forest clearing and soil preparation. There are 140 palms planted per ha (spacing are 8 times 8 meters). 2 kg of fertilizer (NPK) are added per palm annually from the 5th year. The price of fertilizer is 500 N per 50 kg. At Bori there was on average 1 worker employed per 10 ha. The labor costs are about N3,000/ha annually. It is assumed the annual labor costs per worker, including administrative staff, etc., is N30,000/ha. 3 The World Bank assisted the development of the original estate of 10,000 ha with a $30 million loan between 1978 and 1985 (loan 1591-UNI) (Project Completion Report, 1988). 4 Linddal, 1995. 5In Malaysia the potential yields from reclaimed mangrove soils can be as high as 55 tonnes of ffb/ha/yr compared with the production of 20 tonnes of ffb/ha/yr on upland soils (FAO, 1994, op.cit.). 6 Risonpalm reported the cost of establishment and called the cost for lowland plantations alarming. - 19 - The palm fruits are pays commonly processed at the estate's mill and the t- s h". Palm fruit production economic transaction is internal. Based on (Pisifera x Dura hybrid) the prices Risonpaim external suppliers to the mill, it is assumed that the value of palm 12 fruits is N500-1,000 ton of ffb. 1/ Using this information, the land value of the oil palm plantation is calculated as the 2 present value in year zero of the future 5 20 25 ar income from an oil plantation in perpetuity. 20 25 30 The interest rate is 10 percent. The land value is the present value of the cash-flow of Figure 1: Example of the Annual one rotation divided by an annuity (with Production of Palm Fruits in periods of 30 years).7 30 Year Rotation An upland plantation has, with the given assumption, a land value between -N16,500 and N19,000/ha depending on whether the price is N500 or 1,000/ton of ffb. The break-even price for palm fruits (the land value is being zero) is N729/ton. For the lowland plantation with a higher establishment cost but 30 percent higher yield the land value is between N-47,600 and N-2,100/ha with a break-even price equal to N1,023/ton of fib. The assessment of the land value reveals that an oil palm plantation is more profitable in the upland than in the lowland due to larger establishment costs. The difference is only comparable if the opportunity costs of land are equal or zero. Developers might argue that the financial value of land (the opportunity costs) is higher in the upland than in the lowland. The uplands are utilized for agricultural production while the lowlands are supposed to have no direct economic value at all. The no-value perception of the lowlands entails part of the ramifications ensuing the development of the Yenegoa estate. The lowlands has an opportunity value of cleared forest and socio-economic impacts even though these values are not couched in economic terms. For a plantation of 10,000 ha the value of the land for the oil plantation is between N210 and N3 10 million higher in the uplands depending on the price of palm fruits and other assumptions. In order for a plantation to be more profitable in the lowland compared with the upland, the difference in the opportunity value of land in the upland must be between N21,000 and N3 1,000/ha higher than for the lowland. Apparently there is no clear economic justification for establishing oil palm plantations in the lowlands compared with the suitable locations in the uplands. The production of wild palm fruit also has an economic value. It may produce 350 kg of ffb/year (Ashton-Jones and Douglas, 1994), although an average production of more than 50 kg of fib/tree annually from wild palms is not likely. The production per tree in the plantation 7 The method used is known from forest economics to assess the value of land for growing trees, and it is known as the Faustmanforimula. The annuity factor is (I -e 30)', and r is the interest rate. - 20- is about 100 kg of ffb/year when it is at the highest level. Assuming that an average of 50 kg of ffb/tree can be produced annually in the wild, there are 10 productive trees per hectare at any time,8 and the palm fruit can be sold for a value of N500/ton of ffb collected. The annual value of wild palm production is thus N250/ha. The value of the land for palm production at 10 percent interest rate is thus N2,500/ha. If the price was N1,000/ton of ffb the value of the "wild" production would be N5,000/ha. These values are almost comparable with plantations, but the production in the plantations may be more uniform, more efficient and produce palm oil of higher quality. One ton of palm fruit yields about 180 to 210 kg of palm oil. The value of a ton of palm fruit converted to palm oil is about N4,000/ton (the market price for palm oil is N20,000/ton). Residues from the production also have an economic value: palm kernel (livestock feeding), shells (road material or fuel agent) and palm ash (ingredient for soup). The stem of the oil palm in the plantation has no use but is normally burned on site after the rotation as fertilizer supply and to avoid the spread of diseases. Lowland Plantations. The development of oil palm plantations in the lowland leads to more serious environmental and socio-economic problems as compared with the upland plantations. The location is preferable due to the fertility of the soil and the fact that water is not in deficit. Despite these advantages, the incremental costs of site preparation (e.g., drainage and flood control) make the economic advantage arguable. Niger Delta Basin Development Authority Agricultural Projects. The Niger Delta Basin Development Authority (NDBDA) is the major large scale crop development agency in the delta, concentrating on irrigated rice projects. The Authority's plans for new irrigation projects appear to be on a much larger scale than its budget (Table 11). Although the Peremabri scheme has slowly been implemented, the other projects are at pilot or feasibility stages. In the past the agency ran the irrigated farms, but now restricts its involvement to developing the project and providing services to farmers. The Authority reports that it has recently begun conducting EIAs of its projects, but none have been completed. Unlike the Risonpalm plantations, no environmental evaluations by external organizations have been performed at the project sites. Potential impacts include: * Cleared primary and secondary forests, including loss of biodiversity and valuable timber and tree crop species; * Modification of hydrological regimes disturbing downstream ecosystems and users; * Pollution from fertilizer and pesticide run-off, * Schistosomiasis in rice-farming populations; An inventory of the swamp forest in Cross River state found an average number of 58 oil palms per hectare (Dunn et al., op.cit). -21 - * Reduced fisheries productivity; and * Higher risk of income volatility and crop failure because of monoculture cropping. Table 11: Niger Delta Basin Development Authority Irrigation Projects Proposed Area Area Cleared Cultivated Area Land Location (ha) (ha) (ha) Classification9 Peremabri 2,500 340 100 Primary Forest (Rivers St.) Isampou 4,000 50 25 Primary Forest (Rivers St.) Kolo 2,000 0 0 Primary Forest (Rivers St.) Ewu 100 50 30 Primary Forest (Delta St.) Koko 2,000 24 0 Primary Forest (Delta St.) TOTAL 10,600 464 155 Source: NDBDA, 1994. 9 The land classification was provided by NDBDA officials. ANNEX F EXOTIC SPECIES Nypa Palm. Nypa palm (Nypafruticans) was introduced to Calabar in 1906 (Adegbehin and Nwaigbo, 1990, 15). It is common only in the mangroves of the eastern Delta. Compared with water hyacinth, nypa palm has expanded very slowly: spreading from Calabar to the Bonny area over the past eighty-five years. Although almost no uses are made of the palm in Nigeria, it is widely utilized in Asia for sugar, vinegar, thatching, hats, beverages, and medicines (Hamilton, Dixon, and Miller, 1989, 262). In Southeast Asia, nypa leaves are extensively used as thatching material. A case study from Southeastern Bangladesh explains that permits to harvest nypa leaves are sold in open auctions. The purchasers divide the permits up and sell them by boat loads to actual collectors. The extraction of nypa leaves is now completely regulated by the forestry department through officers who issue the permits for collection and supervise the operation (Linddal, 1995, 36). As some of these uses become exploited in Nigeria, the species may be viewed as less of a scourge. For example, Delta communities have begun using it for thatching and for fishing poles. Another value of nypa palms is that they are effective for coastal and lagoon erosion control (Bamidele, 1994). Researchers at NIOMR have determined that nypa palm out competes mangroves in the recolonization of exposed waterfronts and degraded sites (NIOMR, n.d., 3). The species will not expand into intact mangroves because it requires scarified mud to establish (Bamidele, 1994). Consequently, actions which directly degrade mangrove ecosystems, such as oil activities and extensive cutting near population centers, increase the spread of nypa palm. While some researchers believe that the species requires a high level of nutrients, it has established in remote areas away from the nutrient rich waters downstream of Port Harcourt (Bamidele, 1994). In addition to restricting mangrove regeneration, nypa palm does not provide a good nursery for marine fish. Fishermen state that in contrast to Rhizophora species, they do not find shell or fin fish near the nypa palm roots (Otobo, 1994). Thus, activities which degrade mangroves and allow Nypa palms to invade may be reducing marine fish stocks. Water Hyacinth. Between its introduction in 1984 and 1991, water hyacinth (Eichhornia crassipes) expanded over 800km from Lagos to Akwa Ibom State (Epelle and Farri in Egborge, 1993b, 2). Remote sensing imagery from those years confirms the general absence of the plants in 1984 and their abundance in 1991 (Eedy, 1994). It is a serious problem in ten LGAs in Rivers State (Rivers SEPA, 1993, 12). Using a defensive expenditure approach, the World Bank report, Towards the Development of an Environmental Action Plan for Nigeria, estimated that water hyacinth control would cost US$50 million annually and that the species negatively effects about 5 million people (Western Africa Department, 1990, 39). Since the delta includes over half of the southern freshwater systems, it will incur the majority of these -23 - costs. The major problem with water hyacinth is that as it encroaches on open water, rivers become very difficult to navigate. Fishing is further impeded because the plant becomes entangled in fishermen's nets. Other potential problems are the infestation of irrigated fields, fish ponds, and irrigation channels, as well as a breeding habitat for mosquitoes ( Western Africa Department, 1990, 16). Concerns that the plant depletes oxygen levels and reduces fish populations in rivers have not been investigated. It is known that the species provides protection from human predation and a habitat for a large variety of organisms that commercial fish consume, including algae, nematodes, insect larvae, crabs, shrimps, and fish, which could lead to an increase in fish biomass (Egborge, 1993b, 6). Fishermen have also reported that fish tend to congregate near the hyacinth mats. If current rates of expansion continue, the species can be expected to cover large portions of the freshwater streams and rivers in the delta within the next 3 to 5 years. Some streams and ponds in the western delta are already completely blanketed. The expansion of the species towards the coast is constrained by salinity, with the plant unable to survive salinity levels above 10 percent. It is most common in eutrophic conditions: high nitrate levels, warm (24- 33°C), mostly acidic (pH 4-6.8) and not fully oxygenated waters ( Egborge, 1993b, 3). Since it thrives in eutrophic waterbodies and can reduce BOD loadings, water hyacinth is used as a biological wastewater filter in the United States and India ( NEST. 1991, 160). Of the two major exotics, nypa palm and water hyacinth, the latter is considered to be much more of a threat to local communities because of its rapid expansion rate and its impact on navigation and fishing activities. Other Exotic Species. In the lowland rainforest ecozone, the exotic weed, siam weed (Chromalaena odorata) restricts the regeneration of trees and shrubs during fallow periods (Ashton-Jones and Douglas, 1994, 4). The marine fern (Acrostichum aureum) is reported to be degrading mangrove forests (Daniel- Kalio, 1994). Sea urchins are reported to have migrated up the Bonny River. The spines are injuring fishermen and destroying their nets (Powell, 1994). The Indo-pacific fish, Butis koilomatodon, has moved into the delta, but the impact is not known (Powell, 1993, 60). ANNEX G ASSESSMENT METHODOLOGIES Industrial Pollution Assessment Methodology 11 In cooperation with the FEPA Zonal Office and the Rivers State EPA, about 80 manufacturing industries were contacted for collection of primary data, such as: number of employees, consumption of raw materials, products manufactured, production capacity and more specific process related information. The 80 manufacturing industries contacted represent nearly all the major manufacturing activities in Port Harcourt. Most of them are located in the Trans Amadi Estate area. The method is based on an estimation of waste generation from production figures and generally accepted coefficients for air emissions, water effluents and waste generation. Coefficients have been elaborated from a great number of studies on production methods and waste generation within different sectors of manufacturing industries. The outcome of all calculations is: * air emissions expressed as load of particulates, nitrogen oxides (N-oxides) and non-methane volatile organic carbon (NM VOC); * water effluents expressed as biochemical oxidation demand (BOD5), suspended solids (SS), oil, nitrogen (N) and phosphorus (P); and * waste generation expressed as putrescible waste, non-hazardous solid waste, hazardous solid waste, non-hazardous sludge and hazardous sludge. Initially all information has been classified according to international standards' (ICIS- numbers). In Appendix 3, all categories of economic activities found in this study are listed with indication of categories where tools for estimation of effluents and emissions are available. The method does not consider pollution outlets from accidents or emissions related to power generation. Power generation may be of quite different origin in enterprises working with the same category of production. This may be especially true for Nigeria, which has very unstable public power generation, forcing the private sector to generate much of its own power. In Annex Tables A. 16, A. 17 and A. 18 (pages 108, 111, and 114), respectively, data on air emissions, water effluents and waste generation for all identified industries in Port Harcourt are represented. When production figures were not available, the yearly production has been " Grevy, 1995. -25 - estimated from number of employees or was defined in accordance with the output from an average industry within the respective category of industry. The applied method also includes information about production processes which may differ considerably and have a considerable impact on pollution loads. In many cases it has been necessary to make a best estimate to provide the necessary information. The production is assumed to take place uncontrolled without any treatment or abatement precautions. An exception is NAFCON where some processes in fertiliser production are assumed to be controlled. For pollution from NAFCON it should be stressed that even if N-oxides from the production are not emitted, other nitrogen components, like NH3 and HNO3, will be emitted into the environment, but such components are not included in the following overall calculations. At the refinery a CO boiler is assumed to be present, eliminating NM VOC from air emissions. Other components such as heavy metals, phenols and many other hazardous components are not indicated in overall estimates. For many other industries, hazardous components are excluded from the present calculations. Generally, the method describes only discharges under normal conditions and do not consider pollution from accidents. In Nigeria, using UNDP's Urban Management Programme criteria for industry size it has been estimated that the distribution between size categories can be described as shown below: 8 percent by numbers represent large enterprises with more than 50 employees; 40 percent by numbers represent small enterprises with less than 50 employees; and 52 percent by numbers represent very small enterprises with less than 10 employees. In Trans Amadi Estate, at least 25 enterprises can be categorized as large enterprises with an average number of employees of around 230. Assuming a similar distribution of enterprises in Port Harcourt with respect to size categories a total number of enterprises can be calculated to around 310. This number is close to the number of enterprises found in FEPA files in the Zonal Office in Port Harcourt. Assuming an average number of employees in small and very small enterprises of 20 persons, the relation between numbers of employees in large enterprises and enterprises with less than 50 percent of employees (92 percent of industries) can be expressed as 5,750/6,200 or 0.9. From this estimate NAFCON, the refinery and number of people occupied in oil company headquarters have been left out. Production and the corresponding pollution is related to number of employees which is also the concept behind development of the Winvent waste generation model. For Port Harcourt this would mean that pollution loads presented in Tables X-X should be multiplied by 2 for most components, except for hazardous sludge amounts mainly produced within the refinery sector. Nevertheless, one of the questions to be raised on this issue is to what extent pollution loads from small enterprises can be distinguished from general household solid waste generation, septic effluents and use of solvents by consumers. - 26- Vehicular Emissions Assessment Methodology12 Statistical information about traffic volumes in Nigeria was not available. For this report, it has been necessary to partly assess aspects of traffic volume in Nigeria, Rivers State and Port Harcourt from statistical data from other African countries,13 which is not very appropriate on all topics, and the World Bank report, World Road Statistics: 1989-1993. More detailed information of impacts is mainly based on surveys in Lagos City (Ogunsola et al., 1994). For an evaluation of traffic pollution in Nigeria, some information on traffic volume must be generated. The main figures concern population size, fuel consumption, consumption of fuel per kilometre and vehicles per 1,000 inhabitants. Other figures may be calculated indirectly, e.g., annual average distance driven by one car and the yearly traffic volume. For Nigeria only population size and yearly consumption of gasoline and diesel is available. In Table 12, population size and fuel consumption for some African countries is shown in accordance with statistical data cited by International Road Federation (IRF). Table 12: Fuel Consumption in Some African Countries Population Gasoline Consumed Diesel Consumed Country million inhab. (1,000 tons) (1,000 tons) Nigeria, 1989 91.3 4,36614 2,383 Kenya 27.3 376.7 537.3 Madagascar, 1989 13.0 75.3 181.3 Togo, 1991 4.1 20.2 70.7 Zimbabwe, 1992 10.8 1.1 2.9 Ghana, 1989 16.7 92.2 61.0 Data for Nigeria has not been provided by IRF. Other data from African countries has been selected from different tables representing statistical data for about 20 African countries. From Table 12, it is evident that there is only vague correlation between population size and fuel consumption even in neighbouring countries. It might indicate a different practice for reporting fuel consumption or even wrong estimates. With respect to diesel, it is indicated that only part of the consumption is related to transportation. As an average, for 20 African countries, about 50 percent of the diesel consumption can be referred to transportation with 12 Grevy, 1995. 13World Road Statistics 1989-1993. Edition 1994. International Road Federation (IRF). Washington D.C. 20024, 525 School Street, S.W. 4Nigeria. Issues and Options in the Energy Sector. A joint report with the World Bank Western Africa Department of Industry and Energy Division. July 1993. -27- cars. The remaining half of diesel consumption can in most countries mainly be accounted for in generators for production of electricity. In Table 13, vehicles in use, traffic volume, number of cars per 1000 persons is cited to show the scatter of existing information from selected countries. Table 13: Number of Cars, Traffic Volume and Number of Cars per 1,000 Inhabitants in Some African Countries Vehicles Traffic Work Vehicles Country (number) (million vehic. km) (per 1,000 persons) Nigeria, 1990 Not available Not available Passenger cars Busses 64,000 Lorries Kenya, 1989 11.9 Passenger cars 150,681 1,034 Busses 12,340 245 Lorries 114,876 3,586 Madagascar, 1989 34.216 Passenger cars 37,363 21,38315 Busses 2,586 7,760 Lorries 25,044 7,143 Togo, 1991 1.48 Passenger cars 5,056 335,0 Busses 31 Lorries 197 Zimbabwe, 1992 32.7 Passenger cars 310,412 6,620 Busses 17 Lorries 30,182 1,200 Ghana, 1989 Not available Not available Passenger cars 5,160 Busses Lorries Statistical information from 18 Central African countries on number of cars per 1,000 inhabitants varies between 1.18 in Togo and 78 in Namibia with a simple average of about 20 15Not reliable. 16 Calculated. 171ncluded in number of passenger cars. - 28 - four-wheeled vehicles per 1,000 inhabitants. The same average can be calculated from the table above showing the spread of information. In Table 14, the annual average distance travelled by vehicles in some African states is presented. Table 14: Annual Travelling Distances for Different Types of Vehicles in Some African States Country Average annual distance Nigeria Not available Kenya 1989 Passenger cars 6,860 Busses 19,891 Lorries 113,755 Madagascar, 1989 Passenger cars Not reliable Busses Not reliable Lorries Not reliable Togo, 1991 Passenger cars Not reliable Busses Not reliable Lorries Not reliable Zimbabwe, 1992 Passenger cars 20,000 Busses 50,000 Lorries 40,000 Ghana, 1989 Passenger cars Not available Busses Not available Lorries Not available There is no consistency between the statistical information presented in Table 5.3 and the same information which can be calculated from Table 5.2. From statistical data on vehicular traffic in 18 African countries, it can be at least stated that: - The average number of four-wheeled vehicles in central African countries is about 20 per 1,000 inhabitants. - An average African private car drives less than both vans and lorries per year. -29- - All types of vehicles are driven considerably longer than European vehicles per year (about 15,000 km per year). The following assumptions have been made concerning the assessment of traffic volume in Nigeria: - The average number of vehicles per 1,000 inhabitants in Nigeria is above the average for other African states and is assumed to be 30 vehicles per 1,000 inhabitants. - All private cars are assumed to use gasoline, and busses and lorries use only diesel. - An average Nigerian car is assumed to run considerably more than an European car per year corresponding to 30,000 km/year. - The distribution of traffic volume by private cars and busses and lorries respectively is mirrored in a yearly consumption of gasoline of 4.336 million tons and 2.383 million tons of diesel which equals 6.719 million tons or 9.132 million m3 of fuel/year. From these assumptions the following statements can be made: - Number of cars in Nigeria is 2.76 million. - The total traffic volume for Nigeria is 82,200 million cars*km. - Fuel consumption for an average Nigerian car is 9.0 km/litre. Fuel consumption of 9 km/litre refers to values generally being used elsewhere for traffic volume calculations for urban driving (WHO, 1982). For validation of data refer to Box A.5. For assessment of traffic volumes in Rivers State and Port Harcourt, the following assumptions have been made: - Cars travelling in Rivers State and Port Harcourt rely on the same assumptions as for the whole of Nigeria. - The traffic volume for whole Nigeria, Rivers State and Port Harcourt correlates only with population figures. - The traffic volume for gasoline and diesel powered vehicles depends on the relation between gasoline and diesel consumption. - The population figure for Nigeria is 91.4 million. The population in Rivers State amounts to 4 million people and the number for Port Harcourt is 850,000. - 30- From these assumptions, traffic volumes can be calculated as shown in Table 15. Table 15: Estimated Traffic Volumes Separated into Areas and Types of Fuels Population Total Traffic Volume Specified Traffic Volumes Area (million) (1,000 km) (1,000 km) Nigeria 91.4 82.2 million Gasoline 52.2 million Diesel 29.0 million Rivers State 4.0 3.6 million Gasoline 2.3 million Diesel 1.3 million Port Harcourt 0.850 0.76 million Gasoline 0.49 million Diesel 0.27 million The figures for Port Harcourt do not take into account long distance driving out of Port Harcourt or varying distribution of cars in urban and rural districts. Box 2 Validation and Crosschecking of Traffic Data The most precise figure on traffic that should be validated is fuel consumption. Consumption of fuel by an average car should be in the range: 8-12 kn/l of fuel. Given Population size of Nigeria: 91.4 x 106 inhabitants Fuel consumption in Nigeria: 6.749 x 106 tons/year Conversion of fuel consumption: Density of fuel, 0.739 tons/rn3 Fuel consumption: (6.749 x 106 tons/year)/(0.739 tons/m3) = 9.132 x 106 m3/year Assumptions Distance driven by an average car per year: 30.0 x 103 km/year Number of cars in the population: 30 cars/ 103 inhabitants Calculations Number of cars in Nigeria: (91,4 x 106) x (30/103) = 2.74 x 106 cars Traffic volume: (2.74 x 106) x (30 x 103) = 82.2 x 109 cars*km Validation Fuel consumption per car per litre = (82.2 x 109)/(9.132 x 109) = 9.0 km/litre Remarks Fuel consumption for an average car of 9.0 km/litre is within the reliable range of 8-12 km/l and is generally applied elsewhere for describing urban driving (WHO, 1982). ANNEX H INDUSTRIAL SUBSECTOR POLLUTION INFORMATION Information on Effluents from Major Industries44 Steel Works. Able to produce I million tons of steel annually, the government owned Delta Steel plant located near Warri is the largest steel plant in West Africa. However, capacity utilization did not exceed 20% between 1986 and 1991 (Western Africa Department, 1994d, 62). Wastewater from steel facilities tends to be high in suspended solids, metals, acids, oil and greases, and dissolved iron. Coke operations can produce over 50 organic and inorganic wastewater pollutants depending on the specific characteristics of the plant. Many of these chemicals, such as cyanide, thiocyanate, ammonia, sulfides, and chlorides, can be present in toxic concentrations. Pollutants in wastewater from steel plating operations include metals and anions, such as phosphates, chlorides, and metal complexing agents. Depending on the gas cleaning system installed for the blast furnace, wastewater parameter values change. The parameters of concern are fluorides, suspended solids, ammonia, sulfides, arsenic compounds, and pH (World Bank, 1988, 152). Waste metallic compounds from the smelting process can also be dispersed into nearby water bodies (Ndiokwere and Ezihe, 1990, 292). The final cleaning processes before shipping the steel can add significant quantities of acid, alkaline, and solvent liquid wastes to waterbodies (World Bank, 1991, 136). Iron and steel producers in Nigeria, including the Delta Steel facility, have difficulty complying with effluent limits for suspended solids, phenols, ammonia, and cyanide. Heavy metal and organic pollutants also contaminate receiving water bodies. Metal Fabrication and Finishing. According to available information, fourteen metal fabricating plants, but no foundries operate in Rivers State (Table A. 14). Missions assessed waste loads at the nine facilities in Port Harcourt which fabricate steel and aluminum products. Several enterprises employ well over one hundred workers. No information on metallurgy facilities in Delta State has been found. The metal working and finishing industries dispose of potentially harmful levels of cyanide, metals, oils, caustic soda, and acids. Table 16 is provided to give a sense of the wide variety and concentration ranges for pollutants in the plating and electroplating industry. It is expected that sludges and liquid wastes are disposed untreated as is the case in other developing countries (Benavides, 1992, 15). 44 See Table A.24 for production data and Tables A.36-37 for pollution data for specific facilities in Port Harcourt. -32 - Table 16: Effluent Ranges for Plating and Electroplating Industries (mg/1) Pollutant Parameter Subpart Common Electrolyses Metals Plating Plating Anodizing Coatings Copper 0.032-272.5 0.002-47.90 Nickel 0.019-2,954 0.028-46.80 Chromium, Total 0.088-525.9 0.268-79.20 0.190-79.20 Chron-tium 0.005-334.5 0.005-5.000 0.005-5.000 Hexavalent Zinc 0.112-252.0 0.138-200.0 Cyanide 0.003-130.0 0.005-1.00 0.004-67.56 0.004-67.56 Amenable Fluoride 0.022-141.7 0.110-18.00 Cadmium 0.007-21.60 Lead 0.663-25.39 Iron 0.410-1,482 0.410-168.0 Tin 0.060-103.4 0.102-6,569 Phosphorus 0.020-144.0 0.030-109.0 0.176-33.00 0.060-53-30 Total Suspended 1-9970 .1-39.00 36.1-924.0 19.1-5275 Solids Source: World Bank, 1988. Synthetic Fibers and Plastics. Although the national industrial pollution study did not determine the synthetic fibers and plastics subsector to be one of the most critical sources of pollution in Nigeria, it is an important industry in the region with 14 plants in Port Harcourt. Only one has more than 100 employees. A newly established plant, run by Polo Packaging, with a yearly production capacity around 120,000 tons of polypropylene bags and packaging material, is also assumed to have several hundred of employees. It is not known to what extent enterprises are actually modifying or only fabricating plastic products from imported raw materials. At least for polypropylene products, some production, or modification, of raw materials is expected to occur. If no modification of synthetic fibres or plastic raw materials occur, then the pollution load within this category of industries is overestimated, but for most enterprises manufacturing of polypropylene has been anticipated which generally is not especially polluting. It is uncertain what role the Eleme petrochemical plant will have concerning production of synthetic fibres and plastics. Generally, enterprises working with synthetic materials have a very bad reputation in Port Harcourt. The major pollutants from the production of synthetic materials are air emissions of VOC and water effluents with high concentrations of BOD5 and suspended solids. Depending on the product, a number of organic chemicals, including acids and pigments may be - 33 - discharged. Trash from production is reported to be burned in open pits at some of the enterprises. Oil Service Industry. Seven oil service companies are included in the Port Harcourt Assessment (Tables A.16-18). Oil service companies are probably very common in Port Harcourt, but their pollution levels are not known. Generally their activities are performed in the delta, but storage of fuel, cement, and drilling fluids are probably mixed and to some extent produced in Port Harcourt. Equipment maintenance and cleaning is also performed in Port Harcourt. Oil Industry and Oil Companies. Only few oil companies were included in the Port Harcourt industrial pollution assessment (Table A. 14), but it is known that all the major oil companies have their Rivers State headquarters in Port Harcourt, including NNPC. The Shell Petroleum Development Company (East) employs around 7,000 people in Port Harcourt. Most of the pollution from oil companies in Port Harcourt is a consequence of high concentrations of employees and is included as part of the total septic loads from densely populated urban area. Food Processing. Port Harcourt has 12 food processing plants. The facilities tend to be relatively large, with two employing 400 workers. Although this group of industries is very diverse, all dispose of large amounts of organic wastes which cause oxygen depletion, turbidity (suspended solids), and sometimes also abnormal pH. The vegetable oil industries discharge kernels and cotton seed cake, and sugar wastes. Mills must dispose of grain bran, husks, and chips. Similarly, cassava, yam, and plantain processing generates large quantities of solid waste. While the environmental impact of food processing wastes in the Niger Delta has not been studied, reports on similar facilities in other parts of the country show a consistent pattern of discharges greatly above the FEPA limits. BOD5 and temperature levels are often extremely high. Similarly, dissolved oxygen commonly drops to zero near outfalls (Ogedengbe, Fapohunda, and Gotau, 1984, 58-60). In addition to high organic loading, one study found diluted food processing effluent with chlorine levels in excess of 5000 mg/l; the national standard is 1 mg/l (Olawuni in Industrial Control Unit, 1986, 195-6). The palm oil industry which operates in both states is a major contributor to air and water pollution in the region. Risonpalm operates the largest mills in the delta at Ubima and Elele. Communities manage small mills along the major distributaries of the Niger and dump their wastes directly into the water. Palm oil effluent is comprised almost entirely of biodegradable organic matter so the critical effluent measurements are pH, BOD5, COD, and suspended solids. Averages and ranges for palm oil mill wastes internationally are presented in Table A. 17. The values are far in excess of most Nigerian effluent standards for the food processing industry and illustrate the water contamination potential of this common industry. -34 - Table 17: Typical Palm Oil Mill Waste Effluent Parameter Average Range FEPA Guideline pH 3.7 3.5-4.5 6 BOD5 - mg/i 25,000 20,000-35,000 15 COD - mg/l 45,000 30,000-60,000 NH3N- mg/ 1 30 20--60 Org.N - mg/I 600 500-800 NO3 -mg/l 30 20-60 20 Tot. Sol. - mg/l 35,000 30,000-40,000 Susp. sol. - mg/l 25,000 20,000-30,000 Ash. - mg/l 4,500 4,000-5,000 Oil/Grease - mg/l 7,000 5,000-10,000 15 Starch - mg/l 2,000 Protein - mg/i 3,000 Tot. Sugar - mg/l 1,000 Flow - kg/kg FFB 0.6 - Empty Bunches - kg per kg FFB Processed 0.25 Source: World Bank, 1988. Textiles. Although textiles are Nigeria's second largest industry, only three textile plants are known to operate in the two states. The largest of the mills is located outside of the delta in Asaba; it employs around 900 workers and produces 50,000 m of cloth per year from 175 tons of cotton per month. Fiber residues make textile wastewater high in BOD and suspended solids. It also contains a wide variety of chemicals including dyes, surfactants, oxidizing and bleaching agents, reducing agents, silicates, and inorganic salts (lbidapo in Industrial Control Unit, 1986, 140). Effluent from textile factories often contaminate water with oils, greases, and waxes (Akintunde in Industrial Control Unit, 1986, 90). The dyeing process is the most hazardous, contributing chromium, lead, zinc, and copper to wastewater (Benavides, 1992, 9). In general, the industry has done little to treat its wastewater and contributes heavily to aquatic pollution. The Asaba facility uses 2 million liters of water per day (including water pumped to near by communities) and discharges 1.7 million liters of wastewater. The alkaline wastewater contains at least caustic soda (4 tons/month released), dyes, and suspended solids (Datta, personal communication, 1994). At facilities in other parts of Nigeria that have been assessed for waste generation, effluent standards (including BOD5, COD, color, pH, and alkalinity) are greatly exceeded (FEPA, 1991, 88; Osibanjo in Industrial Control Unit, 1986, 277). A study on industrial pollution of the Kaduna River found that four of the seven largest polluters were textile facilities (Osuide, 6, 1990). However, this situation may gradually be changing as firms begin to comply with environmental regulations. For example, the General Cotton Mill facility in Onitsha, just upstream from the delta, which employs 1,500 workers, currently discharges 250,000 I/day of untreated effluent into a settling pond which overflows into the Niger River. However, it is developing treatment options to comply with International Bank for Reconstruction and Development (IBRD) guidelines as part of an approved International Finance Corporation (IFC) loan (IFC Project Summary, 1992, 3). - 35 - Petroleum Refineries and Petrochemical Facilities. Three of the four Nigerian refineries are located in the Niger Delta at Warri and Port Harcourt (two). The newest Port Harcourt refinery was commissioned in 1.989 and is capable of producing 150,000 bpd. The older Port Harcourt refinery has been shut down for repairs since 1989 (ESMAP, 23). Except for the new Port Harcourt refinery, which is operated by a foreign company, Nigerian refineries are very inefficient compared with their developed country counterparts. For example, the operating costs for the Warri refinery were US$22 per ton while a typical Western European refinery would cost US$13 per ton to operate. The high energy consumption of the Nigerian plants causes most of the inefficiency: the Warri refinery uses up 11% of crude throughput just to operate (West African Department, 1989, 17). Marginal pollution output would decline dramatically if the refineries were simply more efficient. However, since they do not pay the full price of their oil inputs or have to maximize profits, they have little incentive to stop wasting energy. The government also operates a petrochemical plant in conjunction with the Warri refinery, which produces linear alkyl benzene, solvents, carbon black, and polypropylene. Production began in 1987, but capacity utilization has been kept very low by a shortage of inputs from the refineries (Economist Intelligence Unit, 1993, 30). A gas-based petrochemical plant at Elelle was expected to open in early 1995. The new oil refinery near Port Harcourt has its waste water outlet into Okrika Creek. The refinery consists of 2 separated production lines. One line, or refinery, is a very simple hydro skimming plant, which has been out of production for a long period and may never return to operation. The other refinery is a high cracking facility. The production capacity of the later is around 120,000 barrels/day. Table 18 lists median effluent characteristics for different refining operations. The major pollutants emitted from refineries are oil and grease, ammonia, sulfides, organic acids, chromium, and other metals. Spills of raw materials or leaks during processing can cause serious surface water, soil, and groundwater contamination (World Bank, 1991, 157). From descriptions of operating conditions at the Nigerian refineries, it is probable that they greatly exceed the international averages. From a trip to Okrika River it could be seen that the treatment facilities at the new Port Harcourt refinery are not satisfactory. Lumps from oil spillage can be directly observed and oil films cover the water surface (Grevy, 1995). Concentrations of dissolved petroleum hydrocarbons have been found to be elevated near refineries in the region (10 - 50 mg/l), which supports the inference that little or no wastewater treatment is performed (lbiebele, 1986). -36- Table 18: Median Waste Flows and Loadings for Petroleum Refinery Operations Following Oil/Water Separation' (Net kg per 1,000 m3 of feedstockb C) Process Parameter Category Topping Cracking Petrochemical Lube Integrated BOD5 3.4 73 172 217 197 COD 37 217 463 543 329 TOC 8.0 41 149 109 139 TSS 12 18 49 72 58 O/G 8.3 31 53 120 75 Phenols 0.03 4.0 7.7 8.3 3.8 NH3 -N 1.2 28 34 24 20 Sulfides 0.05 0.94 0.86 0.01 2.0 Total Cr 0.01 0.25 0.23 0.05 0.49 Cr+6 0.00 0.15 0.13 0.02 0.30 Flowc 7 93 109 117 235 'From EPA Doc. 440/1-74-014a. bFeedstock-Crude oil and/or natural gas liquids throughput. 'Except flow, which is m3 per 1,000 m3 of feedstock. Source: World Bank, 1998. Paint. Three medium- to large-scale paint manufacturing facilities are known to operate in Rivers State (Table A. 14). Paint wastes include a high proportion of hazardous wastes, such as pigments, metals, resins, solvents, and additives in wastewater and sludges (lbidapo in Industrial Control Unit, 1986, 136). No pollution data specific to the Nigerian paint industry has been located. Breweries. Only one brewery is reported to operate in the delta region (Pabod Breweries). It generates 150,000 m3/day of wastewater, high in organic wastes like sugar, yeast, and beer and malt residue. More hazardous chemicals in the effluent are caustic soda, hypochlorites, and peroxides (Agunbiade, 1989, 18). Although the environmental impact of the Niger Delta brewery has not been assessed, four other Nigerian breweries have been found to dump untreated wastewater in the nearest water body and consistently exceed BOD5 and chemical oxygen demand (COD) standards (Akintunde in Industrial Control Unit, 1986, 89; FEPA, 1991, 85). Fertilizer. The National Fertilizer Company of Nigeria (NAFCON) facility, located in Onne near Port Harcourt, is one of only two fertilizer plants in the country. It produces urea, ammonia, and compound fertilizers, like NPK. Output averages just over a million tons annually and the number of employees is around 2,500 (NAFCON, 1990, 7). NAFCON is one of the few parastatals that is operating at a high capacity utilization rate (96% in 1991) (Western Afiica Department, 1994d, 62). Effluent treatment systems are reported to function only intermittently (Isoun, 1994). Consequently, the fertilizer plant pollutes the Okrika River -37 - with nitrogen compounds It is uncertain, .however, if effects in the river are caused by eutrophication as a consequence of fertilizer enrichment or pH induced reactions related to acids or ammonia spills with waste water. The limited ability of the river to flush amplifies the pollution damage (Isoun, 1994). Nutrients, such as nitrogen compounds, are not toxic in quantities that can be assimilated by the receiving waterbody, but when thresholds are exceeded, they cause acute oxygen depletion and fish kills. This scenario occurs frequently in the Okrika River and is believed to be related to NAFCON's nitrogen compound releases. In 1988, an accidental discharge from the plant caused a massive fish kill that damaged the local artisanal fishing industry (FEPA, 1991, 71). Seven major spills of what was reported as urea in 1992 also killed large numbers of fish in the immediate area surrounding the outlet. The number of major spills dropped to two in 1993 (Rivers SEPA, 1994, 17). Upstream and Neighboring Industries. The Asaba-Onitsha-Enugu axis, just north of the delta has a relatively high concentration of industry. One study of industries in that area, focusing on Anambra State, reported wastewater effluent levels that greatly exceed Federal Environmental Protection Agency (FEPA) guidelines (Nwokedi, Obodo, and Nwankwo, 1992). However, since the researchers did not analyze downstream water quality, whether the industries degrade water quality in the Niger River and Delta is not known. The only parameter measured downstream at Onitsha, pH, was found to be neutral to slightly acidic throughout the year. For over a decade, the government has been constructing a steel plant at Ajaokuta in Kogi State. If it is ever completed, the facility will produce twice the output of the Delta Steel plant and will generate considerable pollution, some of which will flow downstream into the delta. Vincent Standard Steel, one of only two electroplating and galvanizing companies in Nigeria, is located in Onitsha and contributes to water pollution in the delta (IFC Project Summary: Vincent Standard Steel, 1991). In conjunction with German contractors, the government of Nigeria is constructing an aluminum smelter in Akwa lbom, just across the Imo River from Rivers State. The major environmental and health concern of aluminum production is the release of aluminum, copper, and fluoride compounds into the environment. If adequate air and water pollution management is not practiced, vegetation damage, health impacts, and fish stock reductions can be expected. Information on Air Emissions from Major Industries Localized air pollution problems of particular concern are particulates (e.g., cement kiln dust), nitrogen compounds (especially from the fertilizer plant), multiple pollutants from the NNPC refineries, and emissions from steel production. In addition to industry specific pollution, industrial furnaces, boilers, and thousands of private electrical generators contribute to air pollution (Adegbulugbe and Dayo, 17). This section discusses the major air polluting industries. Steel Works. Particulate matter and sulfur dioxide levels are the steel industry's principal air emission problems, but a wide variety of additional pollutants are also generated (FEPA, 1991, 37). Other air pollutants of concern are fumes, benzene, toluene, xylene, naphthalene, - 38 - ammonia and alkaline oxide emissions from blast furnaces and byproduct coke oven operations (World Bank, 1988, 129; World Bank, 1991, 135). Steel rolling and finishing processes generate sulfur gases, and iron oxide, acidic, salt flux, and solvent fumes (World Bank, 1988, 149).While the specific furnace type used in Nigerian steel making is not known, the most common is the basic oxygen furnace. Principal waste outputs are eat, slag, CO, C02, and iron oxide particulates (World Bank, 1988, 164). Air emissions from the Delta Steel facility deposit metals in downwind areas. Soil levels of cadmium, chromium, and lead 250m from the pellet plant were all about 7.5 times background levels. Nickel concentrations were measured as 140 ppm; over 30 times background levels. The mean metal concentrations of nearby cultivated crops were also found to be elevated. Epidemiological studies on the surrounding communities would have to be conducted to determine the health effects from exposure to metals from the facility. Air emissions, including metals from the delta plant, may represent a case where air pollution imposes a significant health risk on local communities (Ndiokwere and Ezihe, I 990). Petroleum Refineries and Petrochemical Facilities. Air emissions are the most significant causes of environmental degradation from refineries. The major air pollutants emitted by refineries and petrochemical facilities are sulfur oxides, nitrogen oxides, particulates, carbon monoxide, and hydrocarbons. A study of metal concentrations near the Warri refinery found elevated level in both soils and plants. Concentrations ranged from 3 times background for chromium (44 ppm), 4 times for lead (20 ppm), 4 times for zinc (119 ppm), 6 times for copper (43 ppm), to 7 times for nickel (7 ppm) and cadmium (44 ppm). Plant levels were similarly elevated. The combination of metals and other air pollutants from the refinery complex may mean air pollution, as well as wastewater, is impacting human and ecosystem health (Ndiokwere and Ezihe, 1990). Cement. One cement facility operates Warri and a cement packaging plant is located in Port Harcourt. Water pollution is not a major concern from cement plants, but they do create tremendous amounts of dust. In developed countries, well established control equipment is used to keep emissions to acceptable levels. It is not known how many Nigerian cement factories operate such equipment. However, the Bendel Cement Company in Delta State has been cited as emitting very high particulate levels (NEST, 1991, 126). The Rivers State cement packaging plant (Eagle Cement Factory) is located in a moderately populated area of Port Harcourt and may increase respiratory problems in neighboring communities. In addition to very high particulate emissions, CO, SOx, NOx, and smaller quantities of hydrocarbons, aldehydes, and ketones are commonly generated. Cement plants are classified as leaching or non-leaching depending on whether the plant uses leaching systems to avoid emitting high alkali dust. However, if the systems are in place and high alkali raw materials are used, water quality is impaired more extensively. Given the high particulate emission levels from Nigerian plants, it is unlikely that they use leachate systems. Waste generation at cement plants is exacerbated by the fact that none of the cement or asbestos-cement plants reviewed in a study of the industry undertook any form of reprocessing or recycling (Achi in Math and Robinson, 1991, 483). - 39 - Other Industries. Air emissions are not a significant component of the food processing subsector's waste stream. However, noxious odors are a common problem for nearby communities. With the possible exception of carbon dioxide (a greenhouse gas), air emissions from breweries are also not of concern (Akintunde in Industrial Control Unit, 1986, 88). Except for fibers, dust, and volatized synthetic fibers, air pollution is not an important consideration for the regulation of textile mills, but, as in the case of the Asaba textile null, very high fiber levels may make working conditions 'difficult. (World Bank, 1988, 453). Fumes from metallurgical plants can be hazardous to workers and communities in the neighborhood of the plant (FEPA, 1991, 37). Communities near the NAFCON fertilizer plant have complained of choking gases coming from the plant, which could be nitric oxide or ammonia releases (The Rivers Chiefs, 1994). The air emissions control equipment at NAFCON is reported to have broken down (Isoun, 1994). ANNEX I GAS FLARING ASSESSMENT AND ALTERNATIVES19 Methodology. Emissions from gas flaring are difficult to evaluate as only little is known about flame temperatures. The flares are said to be operating at temperatures between 300- 1400°C, which may be the case in the center of flares, but combustion is at lower temperatures in most of the flame.20 In the North Sea, equipment for gas flaring includes pressure injection of air and 95 percent of vented gas is burned off. In Nigeria, with uncontrolled flares, 80 percent or less of the total gas outlet is expected to be burned off. In this report, for estimation of air emissions, 20 percent of the total outlet of gas is assumed to be present as volatile organic carbon, VOC, exclusively as methane. For estimating emissions of particulates and nitrogen oxides, gas flaring is supposed to be comparable with outlets from power plants supplied with natural gas and with combustion temperatures below 1000°C (WHO, 1989). For emission of SO2, the estimate is based on a very low sulphur content of 0.11 percent (WHO, 1989). Comparisons with emissions from gas flaring with gas power plants will most probably mean that emission of particulates from gas flares is underestimated while emitted amounts of N-oxides are overestimated. In Table 19 estimated emissions from gas flaring are presented. 19 Grevy, 1995. 20The seven different flares inspected on this mission were clearly orange and sooting, indicating a much lower temperature and only a partial combustion of gaseous components. - 41 - Table 19: Air Emissions from Gas Flaring Unit Product Particulates N-oxides VOC S02 Remarks Unit/year kg/unit tons/year kg/unit tons/year kg/unit tons/year kg/unit tons/year 1000 m3 6.967 million 0.24 1,672 9.6 66,833 54621 3.8 million 1.82 12,679 Shell, Rivers State 1000 M3 3.826 million 0.24 918 9.6 36,729 546 2.1 million 1.82 6,963 Shell, Delta State Total Shell 10.250 million 2,590 103,562 5.9 million 19,642 Shell, 40% of produced oil in Nigeria e Delta 20.500 million 5,180 207,124 11.8 million 39,284 The Delta, 80% of produced oil in .._____________ __ _ __ _ _ _ _ __ _ _ __ _ __N igeria Emission tons/l2 10.15 5.9 337.0 1.1 35,000 km2, area of the Delta a 2I Calculated as: 20% of 1000 m3 methane with a density of 2.73 k g/m3 - 42 - Effects of Gas Flaring. It can be estimated that the total emission of CO2 from gas flaring in Nigeria amounts to 35 million tons/year with methane from Delta and Rivers State expected to contribute to around 12 million tons/year. Methane, together with C02, is the main green- house gas responsible for global warming which has probably raised the average global temperature by around 0.5°C within the last century. The expected amounts of N-oxides and SO2 being emitted from gas flaring are estimated to be approximately 210,000 and 40,000 tons/year, respectively, in Rivers and Delta States (Table 2.7). N-oxides and SO2 are some of the main components causing acidification as a consequence of both wet and dry deposition. The figures cannot be related to actual concentration levels, but the amounts indicate that acidification effects may occur. One of the most frequent complaints concerning gas flaring is that it causes acidification which is rapidly corroding galvanised steel roofs. Corrosion is a considerable problem because most houses are covered with steel roofs. No regional surveys of air quality parameters, including monitoring of SO2 concentrations and N-oxides are being performed in Nigeria. But concentration levels relating S02 concentrations to the lifetime for galvanised sheet steel roofs have been measured elsewhere in the world (Table 20). It is unlikely that concentration levels of SO2 for heavy industrial areas are ever reached in Nigeria. If the lifetime for galvanised sheet roofs of 3-4 years is correct, it should be considered whether the coating of roof sheets or other production dependent practices have been changed or how salts originating from the sea, such as s042, promote corrosion. Site specific measurements of SO2 and N-oxides related to gas flaring have been undertaken22 and do not indicate that the two parameters are emitted to an extent where dry and wet depositions cause serious acidification effects. Over a wide range of distances centered from the gas flare at Bonny, SO2 was not registered within the detection limits of the applied method. N-oxides (NO2) were found with maximum concentrations of 27.2 Ztg/m3 as an average over 3 hours at a distance of 50 m from the flare. These figures are not disturbing. Nigerian ambient air quality standards operate with permissible concentrations measured as daily average of hourly values between 75 and 115 ug N02/m3 and 260 p.g S02/m3 (FEPA, 1991). 22E.g: Environmental impact study around the gas flare of the Bonny Flow Station. Renseigner industries Ltd. for The Shell Petroleum Development Company of Nigeria, 1993. University of Calabar Gas Flaring Study for the Shell Petroleum Development Company of Nigeria. 43 - Table 20: Acidification and Life Time of Galvanised Sheet Steel S02-concentration Observed ig/rM3 Type of Environment Lifetime Years 13 Rural 30-35 260 Semi industrial 15-20 1,040 Heavy industrial 3-5 Partly according to: Effects of economic materials and structures. Yocom, T. E. et al. In Air pollution. 3rd edition. Academic Press, New York. 1977 Other assessments support the view that serious acidification effects do not arise from gas flaring.23 Unfortunately these assessments are not based on direct measurements of air emission parameters, but on indirect emission effects registered in rainwater, surface water and groundwater. Rainwater is the main receptor for gaseous emissions from gas flaring and is responsible for distribution of the wet deposition of acidifying elements. No pH values below 5.86 in rainwater were measured close to a number of gas flares. Compared to pH values below 4.0 measured in the moderate and heavily industrialised part of the northern hemisphere, these values are in no way alarming. Nevertheless, water quality parameters in ground water show a close correlation between distance from flares and gradient values for a number of chemical components. It could be questioned whether oil exploitation and not gas flares are the main reasons for environmental effects in ground water. Alternatives to Gas Flaring24 Reinjection of Associated Gas. Generally oil and gas fields in the Niger delta are small but numerous and situated at shallow depths in the soil profile. No rock formations shield the fields. According to Shell, a technical explanation for not reinjecting associated gas into oil fields in Nigeria is the shallow position of oil fields combined with the absence of rock formations to withstand high pressures from reinjected gas. It is reported that water infiltration into cavities in oil fields arising from oil extraction is rapid. If gas is reinjected, the combined pressure of water infiltration and gas reinjection may cause uncontrolled outbursts of gas or even blow outs to the surface. Reinjection of gas in Nigeria is used in a few low pressure oil fields in soils with a low water transmissivity causing slow water infiltration. Reinjection in such fields is used to maintain the pressure needed for extraction of oil and not for environmental reasons. 23 Assessment of impact of gas-flaring on the quality of rain water, surface water and groundwater in parts of the oil producing region of Nigeria. 24 Grevy, 1995. - 44 - Utilization of Associated Gas for Power Generation. The daily oil and associated gas production in Nigeria is around 2.0 million barrels and 2,000 million cubic feet, respectively. The amount of gas to be lifted for each barrel of oil being extracted is on average around 1000 cubic feet. This figure corresponds to 187 m3 of associated gas for 1 m3 of oil extracted. In 1989, around 87 percent of all lifted associated gas was flared (ESMAP, 1993). This corresponds to the fact that one cubic metre of extracted oil induces a gas flaring of approximately 160 m3. Only 5 percent of lifted associated gas was used for commercial purposes. At the same time non-associated gas sold for commercial use in the energy sector represented 15 percent of the total gas production. The possibility for using associated gas depends on market prices for associated and non- associated gas, and in the Niger Delta the associated gas cannot compete. The reasons are that: (i) well productivity for non-associated gas is much higher than for associated gas with crude oil; (ii) capital costs for treatment and drilling equipment to develop non-associated gas are distributed over larger reserves in specific gas fields than for associated gas with crude oil; and (iii) additional recovery costs are introduced for associated gas when it has to be compressed from atmospheric to pipeline pressure. Non-associated gas is recovered with a pressure high enough for immediate pipeline use. Accordingly, non-associated gas can be sold for much lower prices than associated gas. For 1989 it has been calculated that supplying commercial users with associated gas instead of non-associated gas would have cost around US$90 million extra even at the very low consumption rate of 1989. The prospective for a future reduction of flared gas volumes is unlikely for environmental reasons. The major gas outlet for commercial use will, in the future, be production of liquified gas mainly for export. Shell has cleared an area at Bonny for establishment of storage facilities for liquified gas and a gas plant. Mobil is said to be preparing large scale facilities for gas extraction. These projects and several others are all, as far as it is known, expected to be based on non-associated gas extraction. An estimate of the future gas extraction based on planned, proposed and approved gas projects indicates a commercial use of non-associated gas of approximately 2,100 million cubic feet/day compared to 350 million cubic feet/day in 1989. Information from Shell indicates that only minor changes in commercial use of non associated gas has occurred between 1989 and 1994. Gas Consumption in the Petrochemical Industry. When large scale production of liquified gas is commenced, exported gas will be used in petrochemical industries elsewhere in the world. In Nigeria, building of a petrochemical plant has commenced at Eleme, but like other users of gas, the production is expected to be based on a feedstock of non-associated gas. There is no prospect indicating that gas flaring practices associated with oil production will be changed in the near future. J REGULATORY AND INSTITUTIONAL RESPONSE TO DEGRADATION A. LEGISLATION AND REGULATIONS Energy and Minerals Oil companies in Nigeria are under federal jurisdiction. The federal govemment is both a partner in all oil activities, through NNPC, and is required by federal law to enforce environmental compliance of oil operations through the Department of Petroleum Resources. This situation has resulted in the govemment inadequately regulating oil pollution while at the same time, being party to much of the oil related environmental problems of the Delta. Under the regulations established in the 'Environmental Guidelines and Standards for the Petroleum Industry in Nigeria', the Department of Petroleum Resources can revoke the licenses of firms which fail to comply with regulations on operating practices, oil pollution prevention, safety standards, and acceptable petroleum containers. The regulations require that oil concession operators are required to "adopt all practical precautions" to prevent pollution, including EIAs, contingency planning, and water quality monitoring. The guidelines do not cover the environmental impacts of seismic exploration, infrastructure construction (roads and slots) or the potential impact on wildlife (Powell, 1995, 31). Unlike many oil producing countries, Nigeria does not have a separate statute for conservation of oil. Instead the Petroleum Act, 1969, and the Petroleum (Drilling and Production) Regulation, 1969, include sections designed to promote efficient use of petroleum resources. Perhaps more important for the Niger Delta than the Land Use Act of 1978 which vests all land in the state government is the 1979 law granting all mineral rights to the federal government. Consequently, local communities and state governments have no legal rights to oil and gas reserves in their territory. The federal government sells oil mining leases to the oil companies who negotiate with the state govemors over land requirements. Since riverine communities have no rights to the oil, the oil companies are not required to initiate a dialogue with villages before beginning operations, instead they can merely inform communities of impending activities. Under the Petroleum Act, the Minister of Mines, Power and Steel has established pollution regulations for water bodies, calling for precautionary measures and proper maintenance of drilling and mining equipment. Pollution regulation is bolstered by the Oil in Navigable Water Act, 1968, which bans all oil activities from discharging oil into water courses. Very few oil pollution cases have gone to trial; most are settled out of court. As shown by the poor spill record discussed in the oil pollution section, the oil pollution legislation and its enforcement have been ineffective. - 46- Decree No. 23 of 1992, establishing OMPADEC, states that a primary objective of the Commission will be to manage ecological problems arising from the exploration of oil minerals. However, the Commission has decided not to pursue environmental issues until its LGA infrastructure program is well developed. To reduce gas flaring and conserve gas resources, the government promulgated the Associated Gas Reinjection Decree, 1979, which required companies to stop flaring by 1984. The geology of most Nigerian fields limited the potential for reinjection, greatly limiting the impact of the Decree. It was amended in 1985 by fixing a 2 kobo penalty for each thousand cubic feet of gas flared, but this proved to be too small an incentive to induce companies to reduce flaring (World Bank, 1994a, 7). Although gas utilization will increase, in the near term it will be based on economical non-associated gas supplies and not reduce gas flaring. The largest future outlet for Nigeria's gas, the Bonny LNG plant, will liquefy primarily non- associated gas (ESMAP, 1993, 48). Major Constraints No requirement for community participation in planning and development of oil activities; Corruption and inadequate compensation for damage to property; and Lack of enforcement of environmental regulations. Forestry, Wildlife and Fisheries Under the Nigerian Forestry Act, 1937, State Governors are free to establish forest and game reserves. The Act also recognizes the power of local governments to demarcate their own reserves and create communal forestry areas. State legislation covers specific regulations for reserves and timber species. Within the Delta, the state governments control the forests under reservation and the rights to timber trees outside of reserves. The legal status of existing reserves needs to be reviewed and strengthened, especially after Risonpalm attempt to expand into the Upper Orashi Forest Reserve. The system of granting logging permits and concessions to companies does not work well. Loggers often ignore conditions attached to concessions or do not even bother to obtain felling permits. Legislation concerning wildlife was first enacted in 1916 with the Wild Animals Preservation Act which protects wildlife from hunting. In conjunction with the Endangered Species (Control of Internal Trade and Traffic) Decree, the Act prohibits hunting and trafficking in threatened species. The current Endangered Species Decree updates earlier wildlife legislation and lists 90 rare and threatened fauna for protection. However, the listing are often appropriate with many common species and even species not found in Nigeria being given national protected status. Vulnerable flora are not listed. The laws focus on species protection and hunting regulations, neglecting to consider habitat conservation or ecosystem-level management. The Decree need to be reviewed to conform with CITES listings and to specify -47- any Schedule III species (species which are not restricted internationally, but which will require license for export from Nigeria. The Decree should be accompanied by identification aids (Powell, 1995, 32). Other legislation that include conservation or preservation provisions are the Public Lands Act, 1970, the River Basins Development Authority Act, the National Parks Decrees, and the Town and Country Planning Act. The Sea Fisheries and Inland Fisheries Decrees, 1992, control access to fisheries resources. The Decrees include wide provisions for the regulation of catch species, sizes and fishing zones. Regulations set minimum net size for both fin fish and shrimp. Each year NIOMR is supposed to publish minimum lengths for selling comnmercial fish species. If enforced, the regulations would provide the basis for efficient exploitation of this resource. Currently, few fishermen register their boats or adhere to fishing regulations. Similarly, international trawlers ignore Nigeria laws. Of particular concern to artisanal fishermen are trawlers flouting the five mile non-trawling coastal zone. The Decrees, as well as the Rivers State SEPA Edict prohibit employing poison or explosives to kill fish, but both of these activities continue. Fortunately, the limited availability of explosives and high cost of pesticides limits their use. The Inland Decree also requires that construction of dams, weirs or other fixed barriers ensure the free movement of fish. Road construction in the states, which frequently disrupt water courses, ignores this regulation. According to NIOMR, enforcement of the five mile artisanal fishing zone has been ineffective because the agencies charged with enforcement, the Federal Department of Fisheries, the Navy, and the Air Force, have not been able to coordinate their operations. Since the regular court system is overwhelmed with cases and special fisheries courts do not exist, trials drag on for years and few offenders are finally punished. During the implementation of the Third Multi-State Agricultural Development Project, Nigerian officials arrested only three Greek vessels for fishing within the 5 mile non-trawling zone and using undersized nets. The fines were enforced under the old 1971 Sea Fisheries Decree, amounting to just N28,000 each. Enforcement of the inland fisheries laws in the Niger Delta is virtually non-existent: the region is simply too large and remote to be covered. Major Constraints * Lack of enforcement and poor coordination of enforcement; * No consideration of ecosystem management; and * No inclusion of market based incentives (e.g., concession auctions and tradable resource quotas). Industrial Pollution" Of the different types of environmental legislation, the federal framework for controlling industrial pollution is perhaps the most comprehensive. It creates a complete monitoring, 25 This section draws extensively from the report, Nigeria: Strategic Options for Redressing Industrial Pollution. - 48 - enforcement, and legal prosecution process. Current legislation began with the Federal Environmental Protection Agency Decree, 1988. Before that year, industrial regulations did not specifically target pollution, and environmental regulations were weak. The Decree establishes penalties for discharging hazardous wastes into any media and prohibits indiscriminate disposal of waste into waterbodies. The FEPA Decree also empowers the Director of the Agency to conduct public investigations for all types of pollution and install monitoring stations and networks for air emissions. The Act was followed by the 1991 National Environmental Protection Regulations, which require that every industry installs abatement equipment, restricts releases of toxic substances, and obtains permits from FEPA for storage, treatment, and transportation of toxic wastes. The guidelines and standards for effluent limitations developed by FEPA are based on a review of nine developed and developing country standards. The Regulations allow FEPA to bar a new facility from operating if it does not comply or constitutes a new point source of pollution. In the Guidelines and Standards for Environmental Pollution Control in Nigeria, FEPA fulfilled its mandate to develop industry level standards for specific pollutants. A major problem with the effluent limits is that they do not consider the background water quality levels of different water bodies and even different seasons. If strictly enforced, some water bodies will be overprotected while others are degraded below the acceptable standards. Extensive solid and hazardous waste regulations are also described in the guidelines. Broadly reviewed, solid waste regulations cover landfill standards, requirements for land treatment, and incineration regulations (FEPA, 1991, 94-154). Hazardous waste ordinances include a registration and tracking system, regulations to control hazardous wastes, spill mitigation procedures, and the use of environmentally sound hazardous waste disposal techniques. The federal government responded to foreign toxic waste dumping in Koko, Bendel State in 1988 by promulgating the Harmful Wastes (Special Criminal Provisions etc.) Decree of 1988 which sentences individuals who trade, dispose, or transport toxic wastes in Nigeria or its Exclusive Economic Zone to life imprisonment. Environmental impact assessments are now mandatory for new large industrial developments (see following section). Similarly, existing industries must conduct environmental audits of their facilities. In practice, however, only the SEPAs of Lagos and Kaduna have started making existing industries comply with regulations by requiring a plan and implementation time (Magner and Duer, 1991, 45). Although all industries in Nigeria now have to obtain discharge permits the number of firms actually holding permits is not known, but thought to be insignificant. The National Environmental Protection Regulations, 1991, briefly address zoning for industrial areas. Each state is supposed to designate industrial estates separated by buffer zones from residential areas. The division of responsibilities between FEPA, regional federal agencies, the SEPAs, and state agencies is not yet discrete. FEPA policy is that "State governments with the appropriate infrastructure and capability approved by FEPA will implement FEPA policies, guidelines and standards in the States. Otherwise, FEPA will implement its own programs and enforce regulations in States without the necessary infrastructure and capability" (FEPA Guidelines, 1991, 22). In theory, this statement may be acceptable, but it does not correspond to the - 49 - reality that FEPA itself is grossly understaffed and poorly equipped to manage industrial pollution. In addition to the industrial pollution and hazardous waste legislation, other media and sector specific legislation govern pollution. The Water Works Act of 1915 and the Mvineral Act of 1917 prohibit pollution of water supplies and bodies. The Public Health Act, 1917, also includes penalties for water and air pollution. Under the River Basin Authorities Decree of 1987, the NDBDA is charged with the preservation of water quality in the Niger Delta. However, since the NDBDA views its mission as agricultural development, its activities, such as forest conversion, and fertilizer and pesticide distribution, increase water quality degradation. The State Ministries of Works are also mandated with controlling pollution. The Rivers State Environmental Protection Agency Edit requires the Environmental Protection Agency to control water and air pollution. Impending legislation in Delta State is anticipated to have the same requirements. Major Constraints - Lack of enforcement; * National discharge regulations which many not be appropriate for the Niger Delta; - No groundwater effluent standards; - Overlapping responsibilities, especially between federal and state environmental protection agencies; and * No market based incentives (pollution charges, appropriate user and input pricing, pollution abatement subsidies, etc.). Environmental Impact Assessments The Federal Government promulgated an Environmental Impact Assessment Decree for large- scale development projects (Decree No. 86) in 1992. It states that all public and private ventures must conduct an EIA if their activities involve the following: * Land conversion from forest to agricultural land of 500 ha or more; * Agriculture projects requiring the resettlement of at least 100 families; * Agricultural projects which change agricultural uses on at least 500 ha; * Drainage of wetlands covering 100 or more hectares; and -50- * Felling timber on at least 500 ha. By requiring only the largest developments to conduct EIAs, the legislation creates an enormous loophole. Most of the developments causing significant environmental degradation are on a much smaller scale and would be exempt from performing EIAs. It is clear from Risonpalm's unwillingness to conduct EIAs that even developments falling within the criteria of the legislation do not always comply with the EIA regulations. At the end of 1994, FEPA had yet to initiate any EIAs under the Decree (Powell, 1995, 32). Major Constraints * Lack of enf