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THE IMPACT OF DISASTER
RISK MANAGEMENT ON THE DEVELOPMENT OF SMALL SCALE BUSINESS IN NIGERIA
CHAPTER ONE
INTRODUCTION
1.1 Background to
the study
There are evidence to suggest that in many countries there
has been an increase in the rise of natural disasters occurring – natural
hazard rise – due to environmental degradation (World Bank 2002). Natural
disasters are complex and multifaceted events resulting from mismanaged and
unmanaged risks that reflect current condition and historical factors
(Alexander 2000). Disaster risk is collective in its origin and remain a
‘public,’ shared risk that makes finding individual, and often community
solutions, difficult (comfort 1999). A disaster is said to take place precisely
because the losses originated by a given event overwhelm the capacity of a
population (local, regional or national) to respond and recover from it.
Disaster rise emerges from the interaction between a natural hazard – the
external risk factor – and vulnerability – the internal risk factor (Cardona
2001).
International consciousness rising about integrated disaster
risk management (of which disaster risk mitigation is a part) was given a boost
by the recently concluded United Nations International Decade for Natural
Disaster Reduction.
Similarly, The Nigerian Disaster Management Act (Act 57 of
2002) heralds a new era as far as the way in which disaster risk, hazards and
vulnerability will be perceived in Nigerian in the future. As one of the finest
pieces of legislation ever promulgated in Nigerian, the right into the backyard
of each and every state and local municipality, as well as all the organs of
the state and entities in the public sector.
It calls for the establishment of structures, frameworks,
plans, procedures, and strategies that cut across all government sectors. It
introduces a new way of managing the complex and perilous society in which we
find ourselves. It further gives the responsibility of managing disaster risks
to the highest political authority in each sphere of government.
The cornerstone of successful and effective disaster risk
management is the integration and coordination of the entire role – players and
their activities into a holistic system aimed at disaster risk reduction.
Disaster risk reduction in Nigerian consists of a variety of crosscutting facts
requiring the participation of a host of sectors and disciplines, not only from
within the spheres of government (Federal State and Local), but involving the
private sector, civil society, Non-Governmental Organization (NGOs),
Community-Based Organizations (CBOs), Research Institutions, and Institution of
higher Learning, to name but a few. In the context of disaster risk management,
none of these role-players can act in isolation from the other.
Disaster Risk Management in Nigeria has been established as a
public sector function within each sphere of government. But disaster risk
management goes beyond pure line function responsibility. Disaster Management
Act (Act 57 of 2002) as an integrated, multi-sectoral, multi-disciplinary
approach aimed at reducing the risks associated with hazards and vulnerability.
It therefore needs to become an integral part of the development planning.
Process in order to be successful. For this reason disaster
risk management plans form an integral part of the Integrated Development Plan
of each of this state. In the light of this the budgeting process within the
state government sphere in Nigeria, aiming at sustainable development within
state government, the direct like with disaster risk management is undeniable
of strategic importance. Development planning should therefore be assessed
according to its contribution towards either risk reduction or disaster risk
augmentation.
Unfortunately, the current policy and legislation do not
provide adequate guidance to state government in terms of funding arrangements
for disaster reduction, response and recovery. Various funds and funding
mechanisms are available; this leads to a consideration amount of confusion.
The need to consolidate all disaster reduction and response-related funding
into one funding pool is well known and has been already discussed within the
disaster management fraternity.
Although this would be the ideal situation, it is not
realistic to assume that an all-inclusive fund would be in any way possible
given the public financial infrastructure of Nigeria. It is against this
background that this research is triggered and search light is put to northern
Nigeria sequent to the current security challenges and flood that have brought
untold hardship to people in the North.
1.2 Statement of
problem
The act establishing the National Emergency Management Agency
(NEMA) of Nigeria makes specific provision for the funding of post-disaster
recovery and rehabilitation as well as requiring that a disaster management
plan should be prepared for a specific
state and should form an integral part of the state’s overall integrated development plan,
such a disaster management plan must indicate measures to reduce the vulnerability of disaster prone areas,
communities and households, as well as the appropriate strategies for
prevention and mitigation.
But inspite of this provision, disaster risk management in
Nigeria has being characterized with inefficiency arising from mismanagement or
unmanaged mitigation as well as post emergency situations. This is owing to
unclear processes for accessing funds to manage disaster by states and local
government, especially when such funds is to be provided by the federal
government. Other problems include corruption and mismanagement of fund
provided by donor agencies as well as the inability to mitigate disaster risk
by other private institutions.
Notwithstanding states in Nigeria, especially Northern state
experience difficulties in making fund available for establishing and maintaining the disaster
risk management arising from the on-going security challenges in Northern
Nigeria. In order to address the problem a number of questions need to be
answered.
It is against this, that the subject matter: The impact of
disaster risk management on socio economic development of Nigeria: A case study
of small scale businesses in the Northern part of Nigeria becomes an empirical
problem worthy of being investigated.
1.3 Research
Questions
The research question below guided this studies:
1. How effective
is disaster risk management on local institutions in Northern Nigerian?
2. What are the
implication of mitigating disaster risk on small scale business in Northern
Nigeria.
3. How do
Northern states access funds to manage risk associated with disaster?
4. How does
policy and operational support at state and federal level affect disaster risk
management in Northern Nigeria?
The answer to
the above-mentioned questions will determine the gap that exists between
disaster risk management and socio-economic development in Northern
Nigeria,which this studies focuses
1.4 Objectives of
the Study
The main
objective of the study is to examine the impact of disaster management on development of small scale businesses in
Northern Nigeria. The specific objectives of the studies are to:
i.
Assess the effectiveness of disaster risk management on local
institutions in Northern Nigeria.
ii.
Assess the implication of mitigating disaster risk on small scale
businesses in northern Nigeria.
iii. Determine
how funds are provided to manage disaster in Northern states.
iv.
Determine how policy and operational support at state and federal level
affect disaster risk management in the Northern Nigeria.
1.5 Research
Hypothesis
Ho1: Disaster risk management has no significant
impact on the
socio-economic development of Nigeria.
HA1: Disaster
risk management has a significant impact on the
socio-economic development of Nigeria.
H02: Disaster management is very effective in
Nigeria
HA2: Disaster management is
ineffective in Nigeria
Ho3: Disaster
management is properly funded in Nigeria.
HA3:
Disaster management is poorly funded in Nigeria.
1.6 Significance of
the Study
The study may be beneficial to policy makers in both federal
and state government level. Local institutions non government organization,
corporate organization as well as scholars and the general public will find
this research really significant.
To policy makers in the federal and state level, this study
can be used as a basis for formulating policy frame work as regard disaster
management.
Local institutions, non governmental organization as well as
corporate organizations will find this work really useful in their operations
in areas of social responsibility, be a spring board to undertake further
research and will also be a good reference materials for student who may wish
to use the research report. The study may also add to the existing knowledge on
the impact of Disaster Management on the socio economic development of Nigeria.
1.7 Scope of the
study
The study covers an examination of the impact of disaster
management on the development of small scale businesses in Nigeria. As such the
boundary of this study is limited to an investigation of how effective disaster
risk management is, and its impact on local institutions in the north with
emphasis on small scale businesses. The time frame of this research covers a
period from 2007 to 2011.
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