Corporate–community relations in Nigeria's oil industry: challenges and imperatives

Abstract

AbstractThe adoption of corporate social responsibility (CSR) policies and corporate–community relation (CCR) strategies by oil companies has failed to reduce the incidence of violent conflict between the host communities and oil companies in the Niger Delta, Nigeria. This paper argues that the failure to seek, understand and integrate community perceptions into CSR policies and practices, the over‐emphasis of affirmative duties to the detriment of negative injunction duties and the absence of an enabling environment due to government failure are responsible for the observed problem. The paper concludes that unless these gaps are addressed, CSR by the Nigerian oil industry is likely to continue to fail to achieve its full potential. However, CCR in the Nigerian oil industry will be significantly improved if, and when, the needs and aspirations of the major stakeholders are addressed through a tri‐sector partnership approach to development and conflict resolution. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.