The delay in enacting the Petroleum Industry Act (PIA) into law persisted for over a decade before the year 2020, creating an uncertain business environment. This uncertainty deterred investment in the sector, resulting in missed opportunities. Despite being a significant revenue source, the oil and gas sector’s relative importance in Nigeria’s GDP has been declining.
The Federal Government recognised the need to diversify the economy and reduce dependence on oil revenue. Consequently, the PIA was introduced to address these uncertainties and stimulate overall economic development by promoting diversification and growth within the sector.
However, the success of the PIA hinges on the inclusion of women, who have historically been marginalised in the industry. A recent research report by CSR-in-Action underscores the significance of women’s participation in PIA implementation. Here are five compelling reasons why women’s inclusion matters:
- Women are key stakeholders
Women make up over 50% of the population in oil-producing communities and are directly impacted by the industry’s activities. Their inclusion ensures that their voices are heard and their needs are addressed, leading to a more effective PIA implementation.
For example, in Akwa Ibom, women’s groups have successfully initiated and managed community health projects, significantly reducing maternal and child mortality rates. Our research also found that communities with active women’s participation in development projects saw a 20% increase in programme success rates compared to those without.
- Gender equality is crucial for sustainable development
Women’s inclusion in decision-making ensures that diverse viewpoints are considered, leading to more sustainable community development and effective resource management. For instance, in Rivers State, women’s involvement in local governance has led to more transparent and equitable resource allocation. Our study highlights that when women are part of decision-making bodies, there is a 30% increase in the efficiency and fairness of community resource distribution.
- Women are key drivers of economic growth
Empowering women through education and employment can significantly boost local economies. Women tend to reinvest much of their income into their families and communities, fostering economic growth. In Delta State, women’s cooperatives have successfully launched small-scale enterprises, from agriculture to crafts, contributing substantially to the local economy. According to our research, households where women contribute financially experience a 25% higher income growth rate, underscoring the economic impact of women’s empowerment.
- Improved Social Outcomes
Research consistently shows that women’s involvement in community and corporate leadership roles correlates with better social outcomes, such as improved health, education, and overall community well-being. From our research, we found that In Akwa Ibom, women’s leadership in school management committees has improved school attendance and performance. Also, schools with female leadership had a 15% higher student retention rate, showcasing the positive influence of women in educational leadership.
- Inclusive decision-making leads to better outcomes
Women’s participation in implementing the PIA ensures that policies are more inclusive and equitable, addressing women’s specific needs and challenges in oil-producing communities. In Rivers State, women’s advocacy groups have successfully lobbied for gender-sensitive policies, resulting in better healthcare and legal protections for women. Our report reveals that communities with solid female advocacy have seen a 40% increase in the adoption of gender-sensitive policies.
Without any doubt, more women’s inclusion in PIA implementation is crucial for the success of the Act. By prioritising women’s participation, Nigeria can drive economic growth, reduce poverty and inequality, empower agents of change, enhance environmental sustainability, and uphold human rights.
To achieve this, key stakeholders, such as the Federal Government, Ministry of Petroleum Resources, Nigeria National Petroleum Corporation Limited (NNPC), and Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), need to take specific actions.
Firstly, they can put in place structures that ensure women make up at least 30% of committees and decision-making bodies. Moreover, it is essential to establish strategies that promote gender-sensitive community engagement. Additionally, supporting women’s entrepreneurship and economic empowerment should be a priority. Furthermore, monitoring and evaluating the impact of women’s inclusion on PIA outcomes must be emphasised.
Through these steps, Nigeria can unlock the full potential of the PIA and create a more inclusive, sustainable, and prosperous oil and gas industry.