PIA: Anambra Govt. warns against groups mobilising people for 3 percent derivation funds

The state government will not listen to any person or groups that will come to it with any claim of extortion or embezzlement from any person or persons by any name called as we are not aware of the ongoing collection of money and registration of names in the state.”

By Deborah Hassan

365Daily – The Anambra State Ministry of Petroleum and Mineral Resources has warned people of the state to be wary of any person or group of persons operating under the name of Host Communities of Anambra State to recruit people into committees and sub-committees for the purpose of collection and payment of 3 percent of money from oil companies or as part of the 13 percent derivation fund to the state.

A statement from the ministry dated August 31, 2022 and signed by the Commissioner, Barr. Tony Ikechukwu Ifeanya, said the persons in question who operate as coordinators of Oil Producing Communities in Anambra State, are embarking on state wide campaigns, registering communities and sub-communities.

He explained that though it is within their rights under the Constitution of the Federal Republic of Nigeria to form associations, the position of the law must be taken into consideration.

Ifeanya noted that chapter 3 of the Petroleum Industry Act (PIA) 2021 which deals with host communities and its development, rights and duties of the host communities to the oil companies within their communities and the benefits to the host communities from the oil companies operating within such communities states clearly that host communities are those towns in whose soil or land the oil companies operate their business and not the state as a whole.

Such communities in the state, he listed, are Enugwu-otu Aguleri, Eziagulu Otu and Mkpunando Aguleri Communities in Anambra East Local Government Area of the state where Orient Petroleum resources is operating in OPL 915 and 916, Anaku, Omor and Umerem in Ayamelum Local Government Area where Orient Petroleum Resources (OPR) is also operating.

The statement continued: “Other towns are Ogwuikpele and Ogwuaniocha in Ogbaru Local Government Area of Anambra State where Sterling Energy and Oil Production Coy (SEEPCO) are presently operating in OML 143. Sahara Oil is also presently carrying out seismic acquisition in their OPL 228 and may soon start production, having done with their seismic acquisition operations.

”It is these towns and communities in Anambra State that are to get the 3 percent of the operating coys expenditure for the preceding year for their social infrastructure development, see S. 240 (2) of the Petroleum Industry Act (PIA) 2021 which stipulates that ”Each settlor, where applicable through the operator, shall make an annual contribution to the applicable host communities development trust fund of an amount equal to 3 percent of its actual annual operating expenditure of the preceding financial year in the upstream petroleum operations affecting the host communities for which the applicable host communities development trust fund was established.”

The ministry, therefore, warned ”any person or persons entering into any state, local government or community committee to be guided accordingly to avoid had I known.”

It warned that ”the state government will not listen to any person or groups that will come to it with any claim of extortion or embezzlement from any person or persons by any name called as we are not aware of the ongoing collection of money and registration of names in the state.”

 

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