Climatic_Change

CHAPTER ONE INTRODUCTION DEFINITION OF TERMS Oxford learners Dictionary defines the environment as the natural world in which people, animals and plants live. The environment comprises land resources, air, water, plants and animals. INDUSTRY: Industries are described and classified by their primary activity or product. It can be described as a generic term for a distinct group of economic activities which refers to the production of an economic good (either material or a service) within an economy. CLIMATIC CHANGE: the word “climate change” can be used synonymously with the word "global warming". It implies a significant change (having important economic, environmental and social effects) in a climatic condition (such as temperature or precipitation). Also, it is used to describe short and long-term affects on the Earth's climate as a result of human activities such as fossil fuel combustion and vegetation clearing and burning. ENVIRONMENTAL DEGRADATION: Is the deterioration of the environment through depletion of resources such as air, water and soil; the destruction of ecosystems and the extinction of wildlife. Also, it can be referred to as any change or disturbance to the environment perceived to be deleterious or undesirable. POLLUTION: Is the introduction of contaminants into a natural environment that causes instability, disorder, harm or discomfort to the ecosystem that is physical systems or living organisms. CHAPTER TWO DEGRADATION/POLLUTION 1. Emission of Carbon dioxide: carbon dioxide while vital for photosynthesis is sometime referred to as pollution because the raised levels of the gas in the atmosphere are affecting the earth’s climate. This is done through the burning of fossil fuels such as coal, oil and gas which emits carbon. This activity impacts heavily on the environment. Since the exploration of coal and oil in the 1800s, the amount of carbon dioxide in the earth's atmosphere has increased by nearly 30%, thereby increasing the average global temperature from 1°F to 2°F. Carbon dioxide gas traps solar heat in the atmosphere, partly the same way glass traps solar heat in a sunroom or a greenhouse. For this reason, carbon dioxide is sometimes called a "greenhouse gas." As more carbon dioxide is added to the atmosphere, solar heat has more trouble getting out. The result is that, if everything else stayed unchanged, the average temperature of the atmosphere would increase. As people burn more fossil fuel for energy they add more carbon dioxide to the atmosphere. If this goes on long enough, the average temperature of the atmosphere will almost certainly rise. If global warming occurs, not every day or every place will be warmer. But on average most places will be warmer. This will cause changes in the amount and pattern of rain and snow, in the length of growing seasons, in the frequency and severity of storms, and in sea level. Farms, forests, and plants and animals in the natural environment, will all be affected. 2. OIL SPILLAGE: this involves Other gases and dust also matter. Carbon dioxide is not the only gas released by human activities that can cause warming. Human emissions of methane and nitrous oxide together contribute almost half as much warming. Not all things that enter the atmosphere cause warming. Dust from volcanoes and from human activities, can reflect sunlight (like a window shade) and cool the earth. Coal and oil contain sulfur. When they are burned the sulfur is transformed into fine particles in the atmosphere. This sulfur pollution contributes to various environmental problems. Most scientists think that sulfur particles cool the planet. In the northern hemisphere, this cooling has partly canceled some of the warming that should have come from the growing concentrations of greenhouse gases. However, since emissions of greenhouse gases continue to grow, and most countries are working hard to reduce emissions of sulfur air pollution, this canceling will probably not continue in the future. In that case, the average temperature may rise more rapidly. The ozone hole is a different problem. Many people confuse the hole in the ozone layer with climate change. However, these two problems are not closely related. The ozone layer protects the earth from harmful ultraviolet light that can cause skin cancer and damage plants and animals. The main cause of the hole in the ozone layer is chlorofluorocarbons (CFCs), gases that are used in refrigerators, air conditioners, and industrial applications. While CFCs alone cause warming, their ozone destruction can cause cooling. So far these warming and cooling influences have approximately balanced. Prior to 1978 CFCs were used as a propellant in aerosol spray cans, but that use has ended in the U.S. Under an international agreement most uses of CFCs are now being phased out to protect the ozone layer. CHAPTER THREE THE EFFECTS OF ENVIRONMENTAL DEGRADATION/POLLUTION The impact of environmental degradation can be vast. In Nigeria, this means that some stable ecosystems such as the Sahel Savanna may become vulnerable because warming will reinforce existing patterns of water scarcity and increasing the risk of drought in Nigeria and indeed most countries in West Africa. As well, the country’s aquatic ecosystems, wetlands and other habitats will create overwhelming problems for an already impoverished populace. Alarm bells are ringing with lakes drying up and a reduction in river flow in the arid and semi arid region. The result is fewer water supplies for use in agriculture, hydro power generation and other users. The main suspect for all this havoc is Climate Change. The agricultural sector contributes some percentage of the Nigerian Gross National Product and majority of the rural populace are employed in this sector. The dominant role of agriculture makes it obvious that even minor climate deteriorations can cause devastating socioeconomic consequences. Policies to curb the climate change by reducing the consumption of fossil fuels like oil, gas or carbon, have significant economical impacts on the producers or rather the suppliers of these fuels. Nigeria is the eighth largest oil supplier in the world and the ninth largest deposits of gas. The Nigerian national economy would be massively affected by a sustainable reduction of fossil energy consumption. Nigeria is practically a monoculture: about 80% of the government income, 90-95% of the export earnings and more than 90% of the foreign exchange revenues evolve from the oil sector. SMOG and haze can reduce the amount of sunlight received by plants to carry out photosynthesis and leads to the production of tropospheric which damages plants. It also causes eye/irritation, respiratory ailments and nausea. INVASIVE Species can out complete native species and reduce biodiversity. Invasive plants can contribute debris and biomolecules (allelopathy) that can alter soil and chemical compositions of an environment, often reducing native species competitiveness. Carbon dioxide emissions cause ocean acidification, the ongoing decrease in the pH of the earth’s oceans as co2becomes dissolved. The emission of greenhouse gases leads to global warning which affects the ecosystems in many ways. CHAPTER FOUR ACCOUNTING FOR CLIMATIC CHANGE. Environmental Accounting & Reporting An initiative to enact new regulations requiring companies to report their environmental and social impacts in conjunction with the financial reports is being addressed by the International Accounting Standards Board. The Economics of Ecosystems and Biodiversity (TEEB) report emphasizes the importance of the world’s natural assets and calls for “wider recognition of nature’s contribution to human livelihoods, health, security and culture by decision makers at all levels”. This independent study, led by Pavan Sukhdev and hosted by the United Nations Environment Programme, was discussed with the IASB Council and UK Accounting organization and concludes with the following recommendations. 1: Open Communication about the impacts on nature – (Public disclosure and accountability of impacts on nature. 2: National accounts should value natural capital. – National accounts should include valuations of changes in natural capital stocks and ecosystems. 3: Account for forest stocks and ecosystem services – Ensure consistent physical accounts of forest stocks and ecosystem services. 4: Annual reports of businesses should disclose impacts on nature including environmental damage and changes in natural assets. 5: Businesses should adopt principle of “net positive impact” by using biodiversity performance benchmarks and processes that minimize and avoid damage. Firms should make pro-environmental investments to replenish or compensate for negative impacts. 6: Enact the principle that the “beneficiary compensates” to support ecosystem services. This principle ensures that the “polluter pays” and full cost recovery is attained. 7: Governments should reduce or discontinue ineffective subsidies. 8: Valuation of Ecosystems to help establish protected areas. For example to help prevent overfishing in the seas. 9: Ecosystem conservation supports climate change mitigation and adaption. 10: Policies should include human dependence on ecosystems so that social impacts are evaluated. In the past, environmental issues have often not been addressed by governments, corporations and individuals. Hazardous waste and oil spills were considered part of the consequences of a growing economy. For example in Nigeria an estimated 546 million gallons of oil have been spilled since oil exploration commenced in the Niger Delta area five decades ago. This is equivalent to a yearly spill of the magnitude of the Exxon Valdez spill. Oil Companies blame theft and sabotage but local activists say aging equipment and lax safety standards are the reason for many of the spills. Greenhouse gas emissions are an important issue with global implications a report by the US based National Center for Atmospheric Research forecasts extreme drought over much of the planet in the next 30 years which will have profound effects on agriculture, water resources, ecosystems and human welfare. The SEC voted on January 27, 2010 to release guidance regarding disclosure related to climate change. The disclosure requirements provide investors information of climate change related risks and impacts on company profits and operations. The United States Environmental Protection Agency requires large emitters of heat trapping emissions to begin collecting greenhouse data under a new reporting system. A similar requirement should be implemented in Nigeria to obtain accurate data on the green house gas emissions. International Integrated Reporting: The International Integrated Reporting Framework was first presented in a report by the Prince of Wales Charities, Accounting for Sustainability Project in 2007. In a world facing over-consumption of natural resources and potentially devastating climatic change, an effective response to address these issues will require major changes to the current economic model. Currently there is no global reporting or financial standard for measuring and reporting on social and environmental governance performance. The International Integrated Reporting Framework will provide a “concise, clear and comprehensive comparable integrated reporting framework structure around the organization’s strategic objectives, its governance and business model and integrating both material financial and non-financial information”. The Integrated Reporting Framework will support the long term needs of investors by illustrating the longer-term consequences of decision making. It will make a clear link between sustainability and economic value. Environmental Audits: The government, public and investors are concerned about corporate environmental responsibility. Accounting firms assess contingent liabilities in performing an audit and this includes an assessment of environmental risks. Companies are faced with environmental responsibilities such as meeting regulatory requirements, cleaning up existing pollution, taking preventative measures and contributing to a sustainable environment. There are several types of environmental audits such as compliance audits for regulatory requirements. Systems audits review the internal systems and procedures in place for the management of environmental risks. Audits of transactions such as property transfers involve reviewing the property involved for contamination such as hazardous waste. Audits are used to determine the amounts to be accrued for potential liabilities for environmental damages. CHAPTER FIVE AFRICAN PETROLEUM PLC AND CLIMATIC CHANGE HISTORY OF AFRICAN PETROLUEM IN NIGERIA; It was Incorporated BP Nigeria Limited in 1964, AP Limited in 1979. AP Plc 1989 Fully Privatized Year 2000. Major Investors are Zenon Petroleum and Gas Limited Technical Partners BP South Africa Ltd. It has retail Network above 500 Filling & Service Stations across Nigeria. OPERATIONS OF AFRICAN PETROLEUM IN NIGERIA African Petroleum Plc is a major player in the marketing and sales of refined petroleum products in Nigeria. With over 500 AP branded retail outlets classed into Service and Filing Stations, located strategically across the country to meet our customer's needs. Entrepreneurs are appointed to run the retail outlets as Dealers or Licensees. AFRICAN PTROLUEM PRODUCTS AP market’s LPG (Cooking gas) in Nigeria through their retail outlets. Their aerosol insecticide “APICIDE” is reformulated for effective user satisfaction. AP also undertakes coastal sales of Automotive Gas Oil (AGO), Low Pour Fuel Oil (LPFO) and marine lubricants. Chemicals marketing is one of AP’s strategic business units. AP imports a wide range of industrial, organic and petrochemicals namely: • Ketones • Acetone, Methyl Ethyl ketone (MEK), Methyl Isobutyl ketone, Diacetone alcohol. • Alcohol • Ethanol (Denatured) Isopropyl Alcohol (IPA), methanol • Pure Aromatic SolventsToluene, Xylene, White spirit 15% etc. • Plasticisers • Dioctyl Phtalate (DOP), Diisononylphthalate (DINP) • Water Treatment • Calcium Hypochlorite (HTH), Caustic Soda • Foam Chemicals • Poyol, Toluene diisocynate (TDI) Also AP PLC sells the following lubricants; • Super V • Visco 2000. Health, Safety & Enviroment As an organization we strive for continuous improvement in all areas. Health, Safety and Environment are no exception. In this we commit significant resources to set a standard, increase performance and output in all our operations. Excellence in HSE is key priority for AP. We believe that by operating with the highest safety standards, we can safe guard the lives of our staff and property; benefit our customers through increased outputs, elimination of delays to a barest minimum and in-turn increase customers satisfaction and lower our overhead costs. As a way of life in AP, we are guided by our HSE Policy. (click to see AP’s HSE Policy) GENERAL ATTITUDE OF AP PLC TO ENVIRONMENTAL CONTROL AP’S HEALTH, SAFETY & ENVIRONMENT POLICY African Petroleum Plc recognizes and ensures that it protects the Health, Safety and Environment of its employees at work. We recognize that the Health, Safety and Environment of all our people at work is the responsibility of each and every individual associated with the company. It is a policy of African Petroleum Plc to comply with all the terms of the Health, Safety and Environment at Work Act and subsequent legislation and to provide and maintain a healthy and safe working environment. African Petroleum Plc HSE objective is to minimize the number of instances of occupational accidents and illnesses and ultimately to achieve an accident-free workplace. All employees are provided with properly fitted and effective Personal Protective Equipment, Information, Training, HSE Regulations and the supervision necessary to implement the policy, protect them and achieve the stated objective. It is the duty of each employee to take reasonable care of their own and other people’s welfare and to report any situation which may pose a threat to their well-being or/of any other person within our operational environment. Training is provided for all our employees, forecourt attendants and customers on safe work practices and procedures, the use and maintenance of Personal Protective Equipment appropriate to his tasks and the formulation of emergency plans. AP Plc recognizes and accepts their duty to protect the Health, Safety and Environment of all visitors to the company as well as any of its publics who might be affected by our operations. Therefore all our equipments are clearly marked with HSE instructions and warnings where appropriate and maintained to be in good working conditions always. AP ensures that HSE Impact Analysis is carried out prior to the execution of any project. Our haulage trucks are screened daily to ensure that they meet the minimum safety requirements for the haulage of petroleum products before they are allowed into our installations for loading. AP Plc’s HSE policy is continually monitored and updated particularly when changes in the scale and nature of our operations occur or at least every 12 months. CHAPTER SIX CONCLUSION Something needs to be done about global warming and climate change. First, there is a need to suggest a mechanism for tackling climate change and global warming, the idea of using Carbon Sinks to soak up carbon dioxide. For instance reforestation or planting of new forests, this is a popular strategy for the logging industry and nations with large forests interests like Nigeria. Climate change is a global phenomenon, and is evident in Nigeria. The negative impacts of climate change such as temperature rise, erratic rainfall, sand storms, desertification, low agricultural yield; drying up of water bodies and flooding are real in the desert prone eleven front line states of Nigeria. Environmental degradation and attendant desertification are major threats to the livelihoods of the inhabitants of the frontline states of Nigeria. This leads to increasing population pressure, intensive agricultural land use, overgrazing, bush burning, extraction of fuel wood and other biotic resources. Women and children are particularly the most vulnerable to the impacts of climate change. Climate change is really of great concern to our Nation. Government should improve their financial status towards the solution of findings on this issue. Inadequate funds hamper progress in achieving Nigeria’s objectives on climate change. The Nigerian Government and all the stakeholders involves in the global phenomenon needs to increase public awareness, promote research and establish a commission or an agency that will handle issues related to global warming and climate change. The Federal, State and Local Government, International agencies and other development partners are required to funds climate change projects in Nigeria for sustainable solution.