Host communities laud NASS’ intervention in payment of gas flare penalty

•…increase in PIA from 3 to 5%

The leadership of the Host Communities of Nigeria Producing Oil and Gas (HOSCON) has described as welcome development the intervention of the National Assembly in the payment of gas flare penalty to the host communities in the Niger Delta region by the multinational

Also, it lauded the efforts of the lawmakers for the proposed increment of the 3% allocated to the host communities in the Petroleum Industry Act to 5%.

HOSCON Executive National Chairman, Dr. Mike Emuh, in a statement made available to newsmen on Wednesday, said the action of the 10th Assembly on the issues affecting the host communities were patriotic, purposeful and reassuring and that they deserve commendation as true representatives of the people.

“They have demonstrated genuine leadership and patriotism as true representatives of the people by acting positively on the plight of our people in the host communities producing oil and gas.”

He, however, called on the IOCs and LOCs to cooperate with the National Assembly to expedite action on the payment of the outstanding  $9.2 billion gas flare penalty as a matter of responsibility.

While promising that the host communities would work in collaboration with the settlors and regulators for the development of the oil industry, Emuh also called on the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to come to the aid of the host communities for the payment of all outstanding gas flare money due to them.

“We are for peace and progress of our dear nation as we fully support the Renewed Hope Agenda of our dear President Bola Ahmed Tinubu and the National Assembly.

“We pledge to create an enabling environment for oil and gas companies to operate for the greater benefit of the national economy. However, we also wish that we stop gas flare, oil theft, pipeline vandalisation and illegal refinery. Let’s now build the nation for the present and upcoming generation”.

The HOSCON chairman further called on the traditional rulers of the oil producing communities (TROPCON) to be sensitive to the interests of the host communities, saying that the HOSCON national executives, being the foot soldiers of the body, should be remembered for consideration in the nomination and recommendation of the 5% PIA board of trustees considering the roles HOSCON played in the process of actualizing PIA from PIB.

“It would be an error if our traditional rulers carry out the composition of the BOT members for the settlors  (IOCs and LOCs) without considering the host communities that fought from PIB to PIA”, he stated.

Emuh also reiterated the call for the amendments of some areas of the PIA which, he said, were detrimental to the interests of the host communities.

He cited Section 235 (1) and (4) as well as Section 2 (5) and ( 7) which, he said, were oppressive to the host communities as it made the settlors landlords and host communities as tenants just as the host communities were also being held responsible for roles they were not empowered to play regarding the security of oil and gas infrastructure in the local communities respectively.

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