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PANDEF, NDD Reject 12 Provisions In PIB Insist On 10% OPEX For Trust Fund

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The Pan-Niger Delta Forum (PANDEF) and the Niger Delta Dialogue (NDD) have rejected no fewer than 12 key provisions in the Petroleum Host and Impacted Communities Development Bill (PHICDB).
They warned that the key provisions in the bill must be redrafted, rephrased and restructured to accommodate the interests of the impoverished and neglected people of the oil and gas host and impacted communities in the Niger Delta, or the peace and appropriate development sought by the bill would elude both the region and the country as a whole.
The critical Niger Delta groups expressed their rejection of the vital provisions of the bill during the NDD’s Strategic Communication and Advocacy Training session for major stakeholders in PANDEF, NDD and the various Policy Advocacy Committees (PACs) in Port Harcourt, recently.
The Tide reports that the PHICDB, an integral part of the Petroleum Industry Bill (PIB) currently receiving legislative consideration at the two chambers of the National Assembly, “seeks to foster sustainable shared prosperity amongst host and impacted communities; provide direct social and economic benefits from petroleum operations to host and impacted communities; enhance peaceful and harmonious coexistence between settlers and host and impacted communities; as well as, create a framework to support host and impacted communities’ development” process.
The PIB, which has been sleeping in the drawers of the federal lawmakers for more than 18 years, is the oldest pieces of legislation yet to receive the majority consent of National Assembly members in Nigeria’s democratic history.
Among the provisions is the Interpretations Section, which they claim, was vague in the use of words and terms “host and impacted communities” to describe oil-bearing communities in the region, insisted that the lawmakers must clearly identify communities by the specific roles they play in the hydrocarbons production chain.
They “recommended that host communities should be clearly defined as villages where oil wells and flow stations are situated. Impacted communities should be defined as villages where oil installations such as pipelines run through as well as villages located within a three kilometer radius of those where oil wells and gas plants or flaring points are domiciled”, in the final bill to be passed.
The stakeholders condemned the observed silence of the bill on how the clusters should be formed and the trust fund shared, and recommended that clusters should be carved out on the basis of state Houses of Assembly constituencies for ease of coordination and mobilisation.
They also condemned the vague use of the term ‘Settlor(s)’ in Part 2, Section 2, Subsection 1 and 2 of the draft bill, and insisted that each International Oil Company (IOC) must be deemed as a Settlor(s) and have its own trust fund incorporated in the clusters to avoid confusion in funding and projects’ implementation.
The stakeholders wondered why “sabotage spill” was not clearly defined but its consequences were highlighted in the draft bill, and “recommended that there should be no clause compelling the Settlor(s) not to pay what is agreed until they stop operation by virtue of licence expiration or cessation of operational existence in the host and impacted communities”.
They further condemned the observed silence in the sharing formula of the accruing fund from the “Settlor(s)” between host and impacted communities, particularly given that there are more impacted than host communities in available oil industry records, and “recommended that a sharing formula of 70 per cent for host communities and 30 per cent for impacted communities” should be spelt out in the bill, when passed for the President’s assent.
The stakeholders also expressed worry that Part 3, Section 9, Subsection 1 and 2 of the draft bill rests the creation and determination of the membership of the Board of Trustees (BoTs) for the trust funds on the IOCs, warning that this may undermine the peace effort in the region, and further undercut the interests of oil-bearing communities.
They, therefore, “recommended that the BOTs should be a five-member body with a representative each from Host Communities, Impacted Communities, Federal Government, and two representatives for the Settlor(s). Each stakeholder should determine who their representatives will be. Representatives of Host, Impacted communities and the Settlor(s) must be indigenes of the cluster area.”
The PACs berated the Presidency for not giving details on the actual composition of the day-to-day management committees of the cluster trusts as enunciated in Section 14 of the proposed bill, and “recommended a nine-man committee with two representatives each nominated by Host and Impacted communities; three representatives of Settlor(s); and one representative each from state and federal governments, respectively”.
They condemned the provision of only 2.5 per cent of the actual operating expenditure (AOPEX), against 10 per cent in the previous bill submitted to the 8th NASS, for the smooth running of the recurrent and capital expenditures of the cluster trusts, and “recommended a minimum of 10 per cent of the operating expenditure (OPEX) to fund the cluster trusts and 5 per cent equity participation in the operations of the IOCs for both Host and Impacted communities”, in the final copy of the bill.
The stakeholders also picked holes in Section 11, which splits the utilization of the Endowment Fund to 70 per cent for capital expenditure; 20 per cent for the Reserve Fund; and 10 per cent for the Settlor(s) special projects, and “recommended that 75 per cent be reserved for capital expenditure; 20 per cent for the Reserve Fund; and 5 per cent for logistical and recurrent expenditures off the BoTs, management committees and the advisory committees”.
They expressed worry that the Presidency failed to specify how the operating expenditures of the Settlor(s) would be verified to ascertain the accruing funds to the cluster trusts, and “recommended that the OPEX, which is usually audited from the previous year’s spend, should be used to factor the accruing fund for the current year, e.g. AOPEX for Year A, audited in Year B, and used to calculate budget for Year C”.
The stakeholders blasted the Presidency for including in Section 22 that the Settlors’ OPEX paid into the trust fund shall be subject to Petroleum Income Tax (PIT) and Companies Income Tax (CIT) deductibles, and recommended that the Endowment Trust Fund should be excluded from any form of taxation, as the bill, in its original state would limit the amount of money available for development projects and programmes in the region.
The PACs queried Section 5 of the present bill, which does not give specific punishments for under-payment, late payment or non-payment of agreed money into the cluster trust fund as at when due, and recommended that failure by the Settlor(s) to pay the required percentage of the OPEX by first day of the year, should attract immediate suspension of operating licence; failure to do so by first day of second month should attract immediate withdrawal of operating licence; while before a Settlor gets another approval to operate in the same Oil Mining Lease (OML) or Oil Prospecting Licence (OPL), two per cent of the entire money owed the cluster trust fund must be paid as penalty in addition to the full payment of the entire balance in outstanding debt to the cluster communities.
The stakeholders lamented the lack of sufficient clarity on timeframes for incorporation of cluster trusts for Host and Impacted communities and the failure to stipulate penalties for reneging on implementation of agreed projects and programmes by the Settlor(s) as contained in Section 3 of the bill before the NASS, and recommended that deadlines be specified for the incorporation of cluster trust funds and inauguration of management committees and BoTs, just as the bill must specify duration not exceeding 24 months before the completion and commissioning of physical infrastructure projects in the affected communities, and six months for execution of human capacity development programmes such as economic empowerment schemes, scholarship initiatives, skills acquisition and entrepreneurship opportunities, among others.
All the parties warned that failure to accommodate the recommendations of the PACs in the bill, which the NASS has promised to pass into law by February, 2021, would be devastating for the people, and may trigger another round of tension and agitations in the region.

 

By: Susan Serekara-Nwikhana

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Rivers Capable Of Delivering Massive Votes For Tinubu, Chinda, Others -Fubara …Charges APC, Rainbow Coalition To Embrace Team Work

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Rivers State Governor, Sir Siminalayi Fubara, has declared that the  State is capable of delivering massive votes for President Bola Tinubu,  the  All Progressives Congress (APC) governorship candidate, Rt. Hon. Kingsley Chinda and other candidates of the Rainbow Coalition in the 2027 general elections.

Fubara, who stated this yesterday at the inauguration of the APC Presidential Campaign Council in Port Harcourt, said the surest path to victory is for the  members of the Presidential Campaign Council drawn from the APC and the Rainbow Coalition to embrace the spirit of teamwork.

He said what the state was witnessing in the current political season is a repeat of the successful mobilization done in 2022 and 2023, when a large campaign council worked in unity to deliver victory for him and for President Tinubu.

He added that the present council is bigger, wider and better coordinated and should therefore achieve even better results.

He noted that the beauty of the new council is the fact that some persons who were in the opposition camp during the previous elections are now part of the team, saying their inclusion has made the task easier, provided everyone works as one team and with sincerity of purpose.

The governor thanked the  Coordinator of the Presidential Campaign Council for Rivers State, Chief Nyesom Wike, and other leaders who worked tirelessly to bring the council to fruition, stressing that nothing  is impossible especially when people work together for a common purpose.

He expressed optimism that with seriousness and commitment, the state would record a higher number of votes than it recorded in 2023.

Fubara, while congratulating members who made the list, appealed to those whose names were omitted not to be discouraged, as there are still sub-committees to be constituted and the list can still be updated, even as he warned against double loyalty.

He said the state has gone past the stage of division and is now looking to the future and what God holds for Rivers people, expressing confidence that with the strategy already put in place, the APC and the Rainbow Coalition would come out victorious in 2027.

Minister of the Federal Capital Territory and Coordinator of the Campaign Council, Chief Nyesom Wike, while  inaugurating the Council, lauded Fubara for finding time to attend the ceremony and other engagements of the Council in spite of his busy schedules.

Wike, who is also the National Leader of the PDP/ Rainbow Coalition, reminded members of the Council that they were chosen based on their capacity to participate  in the activities of the group and deliver positive results.

He charged them to work hard to win votes for the candidates of the APC and the Rainbow Coalition for the Presidential, Governorship, National Assembly as well as State House of Assembly elections next year.

He disclosed that apart from the Presidential Campaign Council and its sub-committees, the Local Government Campaign Councils will soon be inaugurated to ensure better coverage of the grassroots during the current campaign season.

 

 

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RSG Floats MNET Culture Content Promo

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The Rivers State Ministry of Culture and Tourism  has floated a culture content platform in collaboration with digital television group, Multichoice.

Permanent Secretary, Ministry of Culture and Tourism, Mr. Freddy Ndigbara, disclosed this after a meeting with MultiChoice Head of Content Acquisition, Don Dotun Ojon, in Port Harcourt.

He assured that content entrepreneurs and film makers would enjoy the platform by promoting culture and other contents to sell the states tourism potentials.

He said MultiChoice M-net was now open to increase its patronage for content shots on locations in Rivers State, describing the State as one that has numerous potentials for film tourism.

“We were privileged to have Don Ojon with us at the Rivers International Film Festival (RIFF) at the weekend in Bonny and he saw, first hand, the numerous sites and opportunities that are open to creatives in the State. After that, we felt it was important to deepen the conversation and he obliged. This is a cheering news for the sector in the State,” he said.

Ndigbara stated that “Rivers State has many more untold stories to tell, many more contents to reel out and the assurances from the M-net Acquisition Manager is an indication that the industry in the state will soon enjoy a new lease of life”.

The Permanent Secretary thanked Ojon for the visit and assured that creatives in the State would grap this opportunity and show the world that Rivers State is a major hub for film tourism in Nigeria.

On his part, Ojon said the visit was to discuss on ways of promoting tourism in the State using creatives and film.

Ojon said although the company has recently been acquired by canal+ France and is undergoing restructuring, he would promote the chances of Rivers State to host the MultiChoice talent factory in the State.

With Asaba, capital of Delta State, being saturated, Ojon said the next port is Rivers  State, which he said is capable of building fresh crop of creatives, new locations, new story lines and concepts.

He, therefore, called for collaboration from stakeholders in the State.

Kevin Nengia

 

 

 

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APC Presidential Campaign Storms PH, ‘Morrow

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Barring last minute changes, the presidential campaign train of the All Progressives Congress (APC) will storm Port Harcourt, Rivers State capital, tomorrow.

This is according to a campaign timetable released by the APC Campaign Council last month.

The Tide reports that the APC presidential campaign kicked off in Kaduna on October 24 with President Bola Tinubu in attendance.

The campaign train later moved to Cross River, Gombe, Nasarawa, and Ekiti on November 2, 3, 4 and 5 respectively with the Vice President, Kashim Shettima representing the President at the rallies.

President Tinubu is personally scheduled to attend 12 states including Rivers, Kaduna, Plateau, Oyo, Borno, Enugu, Bauchi, Sokoto, Delta, Kano, Adamawa and Lagos.

The Rivers State rally, scheduled to hold at the Adokiye Amiesimaka Stadium, Port Harcourt, is expected to witness a large crowd of party supporters drawn from a coalition of political parties in the State.

The party is expected to round off its presidential campaign in Lagos State on January 9, 2027.

The Tide reports that Tinubu has not visited Rivers State as President since he assumed office in May 2023. His last physical visit to the State was before his inauguration on Wednesday, May 3 – Thursday, May 4, 2023, when he was hosted by then Governor Nyesom Wike in Port Harcourt to commission the Rumuola/Rumuokwuta Flyover and the Magistrates’ Court Complex.

Tomorrow’s visit will be his first to the State since assuming office.

 

 

 

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