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PANDEF, NDD Reject 12 Provisions In PIB Insist On 10% OPEX For Trust Fund
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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Fubara: Nigeria Needs God-fearing Leaders To Make Progress …Applauds Seventh Day Adventist
Governor of Rivers State, Sir Siminalayi Fubara, says Nigeria needs God-fearing leaders for the nation to move in the right direction and make meaningful progress.
The Governor stated this yesterday when he received in audience, the World President of the Seventh Day Adventist Church, Pastor Erton Kohler; his wife, Andriene Marques Kohler; daughter Mariana Marques Kohler and a retinue of ministers of the church at Government House, Port Harcourt.
Fubara who hailed the Seventh Day Adventist Church for its contributions to education and the grooming of future leaders in Nigeria, expressed delight that the Church had over the years, been investing in education at various levels and currently runs two universities in the country.
He commended the church for not only using its institutions to spread the gospel of Christianity but to groom future leaders for the country.
According to him, religion should not be just about defending one’s faith, but also making meaningful impact on the lives of the people.
He said that by floating these educational institutions, the church has demonstrated capacity to support Nigeria in the task of producing not only educated people but a breed of God-fearing leaders.
“Our country is where it is today because we lack the fear of God. If you have the fear of God, there should be a limit to what you can do because you understand the supremacy of God. But when God is not in your equation, you’ll go beyond the line and that is what has brought us to where we are today.
“So, I feel very happy that you are contributing to the development of our future leaders in this country. We need the right people being in the right place; prepared properly with good minds; that is what we need, not just in Nigeria but round the whole world.,” he said.
Governor Fubara further observed that the absence of God-fearing people in high places to take the right decisions that could impact positively on the society, has also given rise to other problems such as social inequality, poverty, corruption and criminality. According to him, Nigeria needs a system where the average parent could afford quality education for their children and a guarantee that upon graduation, the average child will have the capacity to compete favourably with anybody, anywhere in the world.
“If we have a situation where the little money that you’re being paid as wage can also afford you quality healthcare and after working at least for 15-20 years, you have a roof over your head, tell me why you should be involved in any kind of crime? At that point, you’ll feel secured and this attitude of insecurity about the future that leads to all the social vices we have today won’t be there,” he said.
Governor Fubara expressed appreciation to the delegation for the visit and for their prayers for Rivers State, assuring them of his continued support for their programmes in the state.
Leader of the delegation and World President of the Seventh Day Adventist Church, Pastor Erton Kohler said he was in Nigeria for a special conference of the church during which thousands of the church’s ministers will be undergoing an empowerment programme to further equip them for the task of herding their flocks and serving the society.
He expressed gratitude to the Governor for the warm reception accorded his entourage, saying the memory of the visit will linger in his mind for a lifetime.
Kohler disclosed that the Church has over twenty -four million (24,000,000) members and more than 182,000 places of worship, spread across 212 countries of the world.
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Rivers Assembly Approves Fubara’s 2026–2028 MTEF
The Rivers State House of Assembly has approved the 2026–2028 Medium Term Expenditure Framework (MTEF) submitted by Governor Siminalayi Fubara.
This reaffirms the lawmakers’ commitment to enacting laws and taking legislative actions geared towards the overall development of the State.
The Assembly gave the approval during its Second Legislative Sitting of the Fourth Session held last Friday.
Speaking on the MTEF document during plenary, the House Speaker, Rt. Hon. Martin Amaewhule, noted that by the provision of Section 10(1)(b) of the Rivers State Fiscal Responsibility Law No. 8 of 2010, the MTEF ought to have been laid before the House in September 2025.
Amaewhule explained that traditionally, the document is expected to be presented four months before the commencement of the next financial year and immediately after the expiration of every three-year fiscal cycle.
He, however, stated that in the interest of the State and its people, the House considered it necessary to deliberate on the document, describing it as a precursor to the 2026 Budget Estimates.
The Speaker expressed concern that the year had already progressed significantly before the presentation of the framework.
During deliberations on the document, members examined the assumptions and projections contained in the MTEF and observed that strict adherence to the outlined fiscal parameters would ultimately serve the interest of Rivers people.
The lawmakers maintained that effective implementation of the framework would promote prudent financial management and enhance developmental planning across the State.
Following the debate and positive consideration by members, the Speaker put the question to the House and members voted overwhelmingly in support of the approval of the MTEF.
Meanwhile, during the same sitting last Friday, the House also received a petition from the Chairman of Obio/Akpor Local Government Council, Dr. Gift Worlu.
The petition was presented by the member representing Obio/Akpor Constituency II, Hon. Emilia Amadi.
According to the petition, concerns were raised over an imminent security breach, threats to lives, destruction of property and alleged forceful takeover of property by some lawless persons within parts of the Local Government Area.
Presenting the petition before the House, Hon. Amadi appealed to the lawmakers to revisit the matter and take necessary steps aimed at safeguarding lives and property in the affected communities.
The House is expected to further deliberate on the petition and consider measures to address the concerns raised in order to sustain peace and security in the area.
King Onunwor
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JUNE 12: Democracy Remains Nigeria’s Strongest Path To Unity, Progress, Says Fubara ….Extols Abiola, Wife
Governor of Rivers State, Sir Siminalayi Fubara, has reaffirmed that democracy remains the most effective system of government for Nigeria, given the country’s rich diversity of ethnic, religious, and cultural identities.
In a goodwill message to Nigerians on the occasion of the 2026 Democracy Day celebration, Governor Fubara said June 12 represents far more than a historic date; as it embodies the enduring struggle, sacrifice, and collective aspiration of Nigerians for freedom, justice, and representative governance.
The Governor extended warm felicitations to Nigerians at home and in the Diaspora, paying tribute to the heroes and heroines of the democratic struggle, particularly Chief MKO Abiola, his wife, Kudirat Abiola, and countless others whose courage and sacrifices helped secure the democratic freedoms Nigerians enjoy today.
According to him, “June 12 is a reminder of the price paid for the democracy we enjoy today. The sacrifices made by Chief MKO Abiola, Kudirat Abiola, and many other patriots who laid the foundation for the democratic journey we continue to enjoy today. Their commitment to the principle that power must ultimately reside with the people remains a source of inspiration for every generation of Nigerians.”
Governor Fubara noted that thirty-three years after the historic June 12, 1993 election, Nigeria’s democratic experiment has continued to evolve despite challenges and setbacks.
“Our democratic journey has not been without difficulties, but the resilience of our institutions and the determination of our people have kept the nation moving forward. The ability to express differing opinions, engage in constructive debate, and peacefully choose leaders through the ballot remains one of the greatest achievements of our nation,” he said.
Governor Fubara stressed that democracy provides the best framework for managing Nigeria’s diversity and transforming it into a source of national strength.
“Nigeria’s diversity should never be seen as a weakness. Properly harnessed, it is our greatest asset. Democracy offers us the opportunity to build consensus, promote inclusion, strengthen national unity, and create the conditions for sustainable development and shared prosperity,” he said.
Governor Fubara commended President Bola Ahmed Tinubu, for his commitment to the Renewed Hope Agenda and ongoing efforts aimed at economic revitalization, strengthening security, and deepening democratic institutions across the country.
He reiterated the readiness of Rivers State to continue partnering with the Federal Government in advancing policies and programmes that improve the lives of citizens through infrastructure development, job creation, enhanced security, quality education, healthcare delivery, and good governance.
The Governor further called on Nigerians, regardless of political affiliation, ethnic background, or religious belief, to use the occasion of Democracy Day to renew their commitment to the Nigerian project and the ideals that underpin democratic governance.
“Democracy must not be viewed merely as a periodic electoral exercise. It must be reflected in our daily commitment to accountability, transparency, tolerance, justice, respect for the rule of law, and responsible leadership. As citizens and leaders, we all share a collective responsibility to strengthen our democracy and build a nation that future generations will be proud to inherit,” he said.
Governor Fubara expressed optimism about Nigeria’s future, urging citizens to remain united, hopeful, and committed to the values of peace, dialogue, and national development.
“Together, we can build a stronger, more inclusive, and more prosperous Nigeria where every citizen has the opportunity to thrive and contribute meaningfully to national progress,” he said.
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