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IOCS And GMOU Implementation

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A critical  component of the operations and activities of international oil companies (IOCS) in Nigeria, is in the area of community relations. There  is a symbiotic relationship between (IOCS)  and their host communities, and this relationship determines the success or otherwise of the prospecting oil companies in their areas of operation.

However, activities of most of the IOCS  in the Niger Delta had been fraught with conflicts, resulting from the absence of an agreeable community engagement concept that will satisfy the yearnings of the host communities, as well as the corporate  objectivities of the prospective companies.

Consequently, the evolving crisis had brought  untold  consequences  on the  corporate  partners, with a negative  prospect of devaluation of the core values of sustainable development  and corporate  social responsibility  policies in  line with international best practices.

In most communities, such sharp disagreement and lack of consensus had resulted in the  wanton destruction of lives and the facilities of the oil companies.  The ugly trend stifles the growth and expansion of activities of the affected oil companies and also create disharmony  among the host communities.

Analysts had however attributed the perennial  conflicts between oil companies and their host communities in the Niger Delta to what is commonly referred to as “conceited  development  policies”.

Such policies according to analysts, places  the host communities  in an equal partnership with the oil companies, as they are always  at the receiving end and not direct   participants in the process of planning, and execution  of development projects of which they are direct beneficiaries.

This approach to community development, believed to be lacking in consultation had over the years triggered suspicion and mutual  distrust  among oil companies and their  host communities, thereby negatively affecting the prospect  of  a thriving  partnership and corporate  growth  among  IOCS and their  host communities.

However, considering their staggering investment, and also realising the consequences of mutual corporate distrust, arising from the lack of a more acceptable community development model, IOCS are beginning  to evolve a new concept aimed  at attaining its corporate goals.

One of such measures aimed at responding to the imperatives of corporate social responsibilities, in the area of community relation is through the Global Memorandum of Understanding (GMOU) which  companies  now sign with communities neighbouring  their  clusters of operation, on agreeable terms.

The new model  which is based on direct participation by the host communities is structurally targeted at addressing past  development lapses and consolidate a thriving partnership between companies  and their host communities.

Most oil  companies  have keyed into the GMOU, process through the  Nigerian National Petroleum Corporation, NNPC Joint Venture. In the course of gathering  confidence in the strategic implementation of the GMOU process, companies  are also expanding the frontiers through  partnership  with Development Agencies   such as the Niger Delta Development Agency NDDC, and the various levels of government.

At the drive of the GMOU process, in Rivers, gathers momentum Chevron Nigeria Limited had taken advantage  of the  community  engagement model to promote it corporate objectives within  communities neighbouring  its clusters of  operation in the state.

Recently at  the Second Annual General  meeting of the Kula Regional Development  council, a body elected to manage the GMOU in Kula Community, the management  of Chevron, used the opportunity to take stock and rekindle its commitment to the process.

The management of the company, which was represented by, Mr. Ngo Kio at the event, expressed appreciation  over  the effort of the Kula RDC in the utilisatioin of available  fund for the  development  of the community. He said the GMOU as a successful  replacement  to the old system  of direct contact  with individual communities, will continue to receive the attention of the company   to promote a harmonious  relationship between  them and the host community.

He also commended its development  partners such as the NDDC, the Rivers State Government  and the Akuku Toru LGA, for the  support and expressed hope that “the interface  will bring  lasting peace in the Niger Delta.”

The Chevron management assured that communities will be encouraged  through funding and capacity  building  to take decisions on their development  process, while the GMOUS will be periodically reviewed based on terms of agreement.

Chairman of the Kula RDC, Hon Stanley Benibo also commended the  management  of Chevron for their   unflinching support to the GMOU process and assured that all money  giving by the company for the GMOU will be judiciously used. Hon Benibo however, cautioned against the erroneous impression by some community members that money voted for the GMOU process should be shared among the people.

According to him “It was disservice to the people for people not to pay back loans collected from the GMOU fund”, and also condemned  the attitude of some beneficiaries  of the evolving transport  scheme who  refused to pay back the money based on terms  of agreement. Such  attitude  he pointed out will  affect the maximal impact of the fund on the people.

In his remark, the Amanyanabo of Opukula, HRM, Dan Opusinji, cautioned against division among the people  and said lasting peace can only return to the embattled Kula community when the people speak in one accord.

Also commenting at the commissioning of Four housing units, at Robertkiri, Boro; Afforiaina, and lucky land, all in Aku LGA, recently, Barr, Charles Opurum who represented  the Rivers  State  Commissioner for chieftaincy  Affairs. Mr. Charles  Okay, suggested to  Chevron, to create  and alternative measure  of dealing directly with Traditional Rulers, rather than the RDCS. He noted that Traditional  rulers as the custodian of the traditional values  deserves, such  Prime attention. He said  RDCS should always  ensure that accountability  is the watchword  to avoid profligacy and mismanagement of available fund.

Similarly, other multinationals, such as total exploration, Mobil Nigeria, Pan Ocean  Limited among others has also adopted direct community engagement  models as approaches of stemming the  pace of disagreement among them and their host communities to avert the drift in sustainable community development .

Another  critical aspect of the GMOU process which  analysts  has canvassed support for is the area of domestication of the  local content policy through  the empowerment of  local  contractors. However, analysts are of the view, that while indigenous  contractors should benefit from the policy, effective monitoring should be put in place to ensure that projects awarded to them are completed according to specification. This arises from the growing tendency  of abuse of projects by indigenous contractors who see projects as means of appeasement rather them platforms for collective economic benefits to the people.

Also in line with the principles of international   best practices in the oil and gas sector, the Rivers State government has through its supervisory Ministry canvassed  for an effective and appropriate   energy policy in the State, especially in the area of community engagement, access to finance, regulatory  frame work and indigenous human capacity development through corporate partnership. These were  part of the recommendations of the international oil and gas  summit in the state.

 

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15-Year Blackout: NDPHC Begins Electricity Project In Kaduna Community 

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The Niger Delta Power Holding Company Limited (NDPHC) has commenced a major electricity project aimed at ending a 15-year blackout in Rigasa community, Igabi Local Government Area of Kaduna State.
The General Manager, Corporate Communication and External Relations, NDPHC, Nazo Agim, made this known in a statement, in Abuja, at the weekend.
Agim said that the project, facilitated by the Bola Ahmed Tinubu Ideological Group (BAT-IG), comprises a two-kilometre 11kV line, a 1.5-kilometre 33kV line and a 7.5MVA, 33/11kV injection substation.Access Services
According to him, the project is designed to strengthen electricity distribution and improve power supply to residents and businesses in the community.
He said that the Rigasa project underscored NDPHC’s commitment to extending critical electricity infrastructure beyond generation to bridge distribution gaps.
He also said that the project would stimulate socioeconomic development and improve the quality of life in underserved communities across Nigeria.
Agim disclosed that a groundbreaking ceremony was performed earlier on Friday, by the Kaduna state Deputy Governor, Dr. Hadiza Balarabe, who represented Governor Uba Sani.
According to him, Balarabe, while speaking during the ceremony commended NDPHC for the intervention, describing it as a life-saving initiative that would address the community’s longstanding electricity challenges.
The NDPHC Managing Director, Jennifer Adighije, reaffirmed the company’s commitment to addressing the community’s electricity challenges.
Represented by the Executive Director, Networks, Babayo Bello, Adighije also reiterated NDPHC’s commitment to supporting President Bola Tinubu’s vision of improving electricity supply across the country.
She said that although NDPHC’s primary mandate was power generation, the company’s interventions also extended to transmission and distribution infrastructure to address critical gaps and expand electricity access.
According to her, the Rigasa project represents a worthwhile investment that will ease residents’ hardship and demonstrate the impact of targeted infrastructure development in underserved communities.Access Services
NDPHC Executive Director, Strategy and Commercial, Patrick Obahiagbon, commended the Kaduna state government and the community for their cooperation and support for the project.
The District Head of Rigasa, Mohammed Idris, also commended NDPHC’s management for its commitment to expanding electricity access in the community.
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FG Commissions 640MW Transmission Capacity To National Grid

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As the federal government intensifies efforts to strengthen Nigeria’s power infrastructure, it has commissioned 640 megawatts (MW) of electricity transmission capacity to the national grid with an additional six transmission substations in Kano and Katsina states, respectively.
The projects comprise four substations at Walalambe, Kumbotso, Dakata and Dan-Agundi in Kano State, which collectively add 544MW of transmission capacity, and two 60 megavolt amperes (MVA) substations in Kankia Local Government Area of Katsina State, contributing another 96MW.
The additional capacity is expected to improve the transmission network’s ability to evacuate and deliver available electricity to distribution companies and consumers in the two states.
The Ministry of Power announced the developments in a statement issued at the weekend.
According to the statement, the additional capacity is expected to improve the transmission network’s ability to evacuate and deliver available electricity to distribution companies and consumers in the two states.
The projects, however, increase transmission capacity rather than electricity generation, implying that their impact on supply would depend partly on the availability of power from generating plants and the capacity of downstream distribution networks.
Speaking at the commissioning of the Kankia substation, the Minister of Power, Joseph Tegbe, said the projects reflected President Bola Tinubu’s commitment to improving the country’s electricity infrastructure.
“Mr. President’s Renewed Hope Agenda recognizes that economic ambition requires dependable infrastructure,” Tegbe said.
He added that investments in electricity infrastructure would strengthen the foundations for business expansion, employment and economic growth.
The Kankia substations comprise two 60 MVA, 132/33 kilovolt (kV) facilities designed to strengthen the transmission network serving Katsina State and neighbouring areas.
Tegbe said the infrastructure would improve the network’s ability to distribute available electricity, supporting commercial activities and household welfare.
He also urged residents to protect the facilities against vandalism and other activities that could disrupt electricity infrastructure, asking them to report suspicious activities to TCN or security agencies.
Katsina State Governor, Dikko Umaru Radda, described the project as a significant investment in the state’s electricity infrastructure.
Radda stated that improved electricity supply could support industrial development, economic growth and public service delivery.
He further commended the President, the Federal Ministry of Power and TCN for completing the project.
It would be noted that the latest projects come amid a broader government’s drive to address bottlenecks in Nigeria’s electricity transmission network, which has constrained the amount of electricity that can be delivered to distribution companies and end users.
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NBTI Unveils $600m Investment Pipeline Innovation

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The National Board for Technology Incubation (NBTI) has unveiled an investment and development-finance pipeline exceeding $600 million, alongside a proposed solar energy programme targeting one million micro and small businesses across Nigeria.
The Director-General, NBTI, Dr Kazeem Raji, disclosed this while presenting the outcomes of the 2026 NextGen Innovation Challenge at a World Press Conference, Abuja.
Raji said the investment pipeline comprised a proposed $500m solar energy programme for universities and polytechnics, which would be developed in partnership with Gigawatt Global, and a $100m financing opportunity linked to the Tinubu Light Initiative under a memorandum of understanding with Financial Innovation for Impact, UK, also known as Cambridge Investors.
He, however, clarified that the funds had not been fully secured or disbursed, stressing that their realisation would depend on due diligence, financing arrangements, contractual commitments, regulatory approvals and implementation requirements.
“These figures represent proposed investment and financing opportunities and should not be interpreted as $600m already received, disbursed or fully deployed in Nigeria,” he said.
According to Raji, the initiative was designed to connect Nigerian innovators with international investors, business leaders and development partners to accelerate the commercialisation of indigenous technologies.
He said the challenge attracted 298 Nigerian innovators from all 36 states and the Federal Capital Territory, up from 105 participants in 2025.
The innovations showcased covered artificial intelligence, robotics, agriculture, healthcare, education, renewable energy, telecommunications, digital technology, enterprise software, 3D printing and advanced manufacturing.
“Our message is straightforward: Nigeria’s innovators deserve visibility, our enterprises deserve opportunities to grow, and our technologies deserve pathways to the marketplace,” Raji said.
He added that NBTI’s priority was to move beyond showcasing ideas to helping innovators develop commercially viable products, establish sustainable businesses and create jobs.
The proposed Tinubu Light Initiative is expected to support one million micro and small businesses through access to solar energy solutions, with a proposed target of training and deploying 10,000 field marketers and creating 50,000 direct youth employment opportunities.
The initiative also targets N30bn in blended financing for its first phase and estimates annual economic benefits of about N12bn, subject to its underlying assumptions and implementation outcomes.
Raji said the programme was conceived to address the energy challenges facing small businesses, including high operating costs associated with unreliable electricity and dependence on petrol and diesel generators.
Tailors, barbers, hairdressers, pharmacies, food vendors, neighbourhood retailers, printing businesses and digital-service providers, he stated, are among the potential beneficiaries.
He said the initiative also envisaged opportunities to promote business formalisation and financial inclusion, particularly among informal enterprises, where appropriate arrangements could be established.
However, the NBTI director-general acknowledged that the programme’s success would depend on sound financing, transparent beneficiary selection, reliable equipment, maintenance arrangements and measurable delivery.
“Our vision is to make clean-energy access an enabler of enterprise development, not merely an infrastructure intervention,” he said.
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