Coalition Criticizes Lack Of Safeguards In Controversial African Pipeline

June 5, 2000

Citing serious concerns about corruption and the environment and human rights, civil society organizations in Chad and Cameroon, including the countries’ Catholic Bishops and Protestant organizations, have repeated their call to postpone the World Bank’s decision on financing the controversial Chad and Cameroon oil and pipeline project. According to these organizations, the project lacks adequate safeguards to ensure that oil revenues will be used for poverty alleviation, environmental protection and in respecting the rights of local people. This assessment is confirmed by Harvard University Law School’s 1999 evaluation of Chadian legislation.

Despite the massive risks of the project the World Bank’s Board of Executive Directors is scheduled to vote Tuesday on whether to provide $365 million in taxpayer-supported loans for the project, which is to be built by a consortium led by ExxonMobil and Chevron.

Both Chad and Cameroon have a history of instability, civil war, severe human rights abuses and rampant corruption. “Without democratic reforms, oil revenues can only add further fuel to the fire,” said Environmental Defense senior economist Korinna Horta, who has worked for a decade with Cameroonian citizen groups to protect that country’s forests. “In addition, the project threatens the fragile environment of both countries and risks further impoverishment of local people whose livelihoods depend directly on the fields, forests, rivers and coastal areas which will be affected by hundreds of oil wells and an 800 mile long pipeline.”

“The Bank should immediately establish an independent international monitoring group to review the social and environmental risks of the project as well as the oil companies’ legal responsibilities. A decision on financing the project should be postponed until the results of such a review are available,” said attorney Delphine Djiraibe, director of the Chadian Association for the Defense and Promotion of Human Rights. “The review is all the more important as we continue to receive reports of threats made by military and administrative officials loyal to Chad’s President that local people who voice criticism of the oil project will be executed.”