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Mission improbable: Does petroleum-related aid address the resource curse?

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  • Kolstad, Ivar
  • Wiig, Arne
  • Williams, Aled

Abstract

Petroleum-related aid programmes and projects are a key part of donor activities in oil-rich developing countries. This paper critically assesses petroleum-related aid activities, using the Norwegian Oil for Development programme as a main case. Recent research suggests that institutions, or governance, are essential in averting a resource curse. While governance issues are beginning to receive more attention in these types of programmes, they still form a minor part of programme activities. The narrow sector focus that characterizes petroleum-related aid makes it unlikely that it will produce the higher order institutional changes needed to lift the resource curse. Petroleum-related aid activities address the issue of corruption only to a limited extent. Given the commercial and political interests of donor countries, questions about the integrity and credibility of these types of programmes can be raised.

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  • Kolstad, Ivar & Wiig, Arne & Williams, Aled, 2009. "Mission improbable: Does petroleum-related aid address the resource curse?," Energy Policy, Elsevier, vol. 37(3), pages 954-965, March.
    • Handle: RePEc:eee:enepol:v:37:y:2009:i:3:p:954-965
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    3. Kolstad, Ivar & Søreide, Tina, 2009. "Corruption in natural resource management: Implications for policy makers," Resources Policy, Elsevier, vol. 34(4), pages 214-226, December.
    4. Liliane C. Mouan, 2010. "Exploring the potential benefits of Asian participation in the Extractive Industries Transparency Initiative: The case of China," Business Strategy and the Environment, Wiley Blackwell, vol. 19(6), pages 367-376, September.
    5. Gnangnon, Sèna Kimm, 2021. "Effect of Development Aid on Productive Capacities," EconStor Preprints 233973, ZBW - Leibniz Information Centre for Economics.
    6. Kolstad, Ivar & Wiig, Arne, 2009. "It's the rents, stupid! The political economy of the resource curse," Energy Policy, Elsevier, vol. 37(12), pages 5317-5325, December.
    7. de Aguiar, Thereza R.S. & Freire, Fatima de Souza, 2017. "Shifts in modes of governance and sustainable development in the Brazilian oil sector," European Management Journal, Elsevier, vol. 35(5), pages 701-710.
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    9. Baena, César & Sévi, Benoît & Warrack, Allan, 2012. "Funds from non-renewable energy resources: Policy lessons from Alaska and Alberta," Energy Policy, Elsevier, vol. 51(C), pages 569-577.

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