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PIB: North’s Undevelopmental Stance

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The Petroleum Industry Bill (PIB) currently awaiting legislative assent in the hallowed chambers has become an enigma of sort. The reason is simple: from being one of the most democratic phenomenons ever thought of in Nigeria, it has become what is capable of disintegrating the most populous African nation.

Ridiculously, and ironically too, the root cause of the present imbroglio is encapsulated in what George Orwell meant when he said in the book, “Animal Farm” that “in a time of deceit, telling the truth is revolutionary.”

Interestingly, there is hardly any Nigerian, who disagrees, openly, that the country’s petroleum industry needs deliverance, in its entirety. The primary reason is that the industry is the backbone of the country. Therefore, if corruption thrives in it as much as have been variously alleged, the PIB couldn’t have come at a better time, even as many feel it is belated.

Obviously, this reasoning seems to be what guided proponents of the bill over a decade ago, prominent among which was Dr. Rilwanu Lukeman, former Minister of Petroleum Resources, who conceived the idea in 2000.

The PIB is based on the report of the Oil and Gas Reform Implementation Committee (OGIC) set up by the Federal Government in 2000 to carry out a comprehensive reform of the oil industry. The OGIC was charged with making recommendations for a far-reaching restructuring of the oil and gas industry. The committee was chaired by Lukman, who was then the Presidential Adviser on Petroleum and Energy.

According to Lukeman, the PIB constitutes a reform legislation designed to encapsulate the legislative and administrative instruments governing the petroleum industry in one omnibus legislation, establishing clear rules, procedures and institutions for the industry.

In a presentation at a stakeholders’ session in 2009, Lukman said: “The Nigeria Petroleum Industry Bill is a remarkable document, which contains most of the legal requirements that will apply to the petroleum industry in Nigeria.

“The PIB combines 16 different petroleum laws in a transparent and coherent document. This is the first time that such a large scale consolidation has happened anywhere in the world. Good governance is promoted through the removal of much of the confidentiality as well as creating transparency.

“Confidentiality encourages corruption. The best way to fight corruption is to remove confidentiality from all procedures, contracts and payments. Every Nigerian, including stakeholders, should have the right to know what is going on. The bill removes confidentiality on a scale not seen in the world before. Nigeria will move in one step from one of the most opaque petroleum nations in Africa, to one of the most open and transparent in the world.

“The texts of all licenses, leases and contracts and any of the changes to such documents will no longer be confidential. Payments to the government of Nigeria will be public information. All petroleum geological, geophysical, technical and (oil) well data will be accessible for all interested persons in a national data base.

“The proposed bill will result in a significant increase in transparency. From now on, petroleum prospecting licenses and petroleum mining leases can only be granted by the Minister through a truly competitive bid process. Such process will be open and accessible to all qualified companies.

“Every company involved in the upstream petroleum industry will be subject to the same system of rents, royalties and taxes, depending on whether they operate in the onshore, shallow or deep offshore or inland areas.

“This means it will not be possible under the bill to treat certain companies more favourably than others. Nigerians can only fully benefit from their petroleum resources, if there is a sound petroleum administration,” he said.

In spite of this anticipated Eldorado, major companies involved in oil and gas exploration and exploitation, mostly multinationals, were the first to pick holes in the bill. They kicked against the perceived contentious provisions in the bill, especially the fiscal terms, claiming that the benefits the government wants from operations are so high that if the bill is passed in its present state, they would be running their business at a loss.

Other issues in the bill that operators frown at include undue powers conferred on the Minister of Petroleum and some conditions attached to acreage leases to oil firms. These and other issues that border on downstream sector are what the Federal Government was trying to resolve before Northern lawmakers recently joined the fray.

The Chairman, Senate Committee on Housing, Sen. Bukar Abba-Ibrahim (ANPP-Yobe) gave an insight into the North’s opposition to the PIB, saying it is lopsided. He said the clause in the PIB, which allots additional 10 per cent revenue for oil producing communities was unacceptable.

Abba-Ibrahim, a former Governor of Yobe State, said, “This issue of oil producing communities getting 10 per cent of whatever is gotten from oil in addition to all sources of revenue for the oil producing states which has now divided the country into two, with oil producing states having more than what they need and squandering the oil riches, and the non-oil producing state, which are more in number, hardly surviving, hardly paying salaries and hardly doing anything has to stop.”

The lawmaker continued that the North was also opposed to the PIB because of its failure to make provision for the exploitation of other minerals all over the country.

“We have over 800 million tones of limestone in Gulane, Fune and Guljimba local governments of Yobe, but as a state government, you cannot go and exploit, it has to be Federal Government.’’

He is, however, optimistic that the bill when passed would sanitise the Petroleum Industry and address the issue of corruption in the sector.

A critical analysis of Abba-Ibrahim’s statements reveals that when he said oil producing states where “having more than what they need”, he was inadvertently confirming that governments have always been squandering public funds. Such funds are meant for the development of the populace.

Obviously, if the populace were being developed, the government would not have been accused of squandering funds allocated for development. So, why is he and his Northern brothers against the development of primary recipients of hazards accruable from oil exploration, extraction and exploitation? What difference will it make to the communities when such fund is deposited in the national treasury?

Democracy has clearly been so misconstrued that people are often so blind with their own version of patriotism that they find it difficult to face reality. They thus forget that wrong is wrong, no matter who does it or says it.

The Northern stance is thus a quest for the status quo of squandering public fund to remain. It is another way of saying that it is wrong for the hitherto devastated oil producing communities to be developed.

The North should rather take a cue from the popular television presenter, Oprah Winfrey, who once said, “Challenges are gifts that force us to search for a new centre of gravity. Don’t fight them. Just find a new way to stand.”

Since they have confirmed that they are rich in limestone, for instance, the right thing to do to avoid the division of the country over benefits accruable to host communities of mineral resources is to exert such energies as they expend on fighting for oil proceeds on the Federal Government to commence exploration of alternative mineral resources in their various states through legislation.

With the exploration and exploitation of such mineral resources in their states, they will also get into the groove of enjoying the proceeds. To do otherwise will amount to repeating the same mistake made during the pre and post colonial era when educationally developed states were made to wait for the less developed ones to catch up. This is against the principle of democracy.

In addition, if they are truly concerned about the development of Nigeria, they should concern themselves more with coming up with laws that would check financial impropriety at all levels of governance. This is what the PIB seeks to do in the petroleum industry.

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Senate Defends Passage Of State Police Bill

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The Senate has defended the passage of the Constitution of the Federal Republic of Nigeria (Alteration) (State Police) Bill, 2026, saying the proposed creation of state police is driven by national consensus and the country’s security needs rather than political considerations.

The Red Chamber passed the bill last Wednesday after more than two-thirds of senators voted in support.

In a statement issued yesterday by the Directorate of Media and Public Affairs, Office of the Senate Leader, Senator Opeyemi Bamidele described the bill as “a child of necessity and not of political expediency as well as a product of national consensus and not of cynicism.”

 

The senate leader said the proposal to establish state police was a matter of urgent public importance that could not be delayed because of political interests, given the country’s security challenges.

He explained that the proposal did not originate recently but emerged from memoranda submitted to the Senate Ad-hoc Committee on the Review of the 1999 Constitution.

According to him, the proposal underwent extensive consultations and rigorous scrutiny because of its sensitive nature.

Bamidele said the National Assembly consulted widely with the Executive, the Nigeria Governors’ Forum, the Conference of Speakers of State Legislatures of Nigeria, the leadership of the Nigeria Police and other stakeholders before passing the bill.

He added that during the public hearings conducted across the six geopolitical zones in July 2025, participants overwhelmingly supported the creation of state police.

“At each level of our consultation, nearly all stakeholders embraced the State Police Bill in the light of stark realities we are facing today,” he said.

The Senate leader noted that recommendations from the Nigeria Police contributed to the bill, particularly on accountability and oversight mechanisms aimed at preventing abuse of state police by political actors.

According to him, the police’s support for the proposal underscores its national significance in tackling insecurity at the state and local levels.

Bamidele also said the bill received broad bipartisan backing in both chambers of the National Assembly.

“Even though the APC is the majority, there are members of opposition parties — PDP, ADC, NDC and Labour Party — that exercised their discretion in favour of the Bill, mainly in the national interest and not on parochial basis.

“In the Senate, for instance, 84 out of 109 members voted clause by clause in support of the Bill. This accounted for 77.06 per cent approval at the Senate alone,” he said.

He argued that national security should transcend political affiliations, saying political actors in other countries often set aside partisan interests to support initiatives that strengthen security.

Bamidele called on opposition parties to contribute constructive ideas that would promote peace and stability, adding that they have a responsibility to offer alternatives that would strengthen the country.

“Even when they disagree on some grounds, they are under obligations to provide credible and useful ideas that can make our nation better and greater. Unfortunately, they have not passed this critical test of opposition democracy,” he said.

 

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Probe N6.3bn Constituency Funds Or Face Legal Action, SERAP Tells Akpabio, Abbas

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The Socio-Economic Rights and Accountability Project (SERAP) has called on Senate President, Godswill Akpabio, and Speaker of the House of Representatives, Tajudeen Abbas, to refer allegations of the diversion or non-accounting of over ?6.3 billion in constituency project funds to anti-corruption agencies for investigation and possible prosecution.

 

The group also urged the National Assembly leadership to ensure that anyone found culpable is prosecuted where sufficient admissible evidence exists, while all diverted or unaccounted public funds are recovered and paid into the treasury.

 

In a letter dated June 27, 2026, and signed by its Deputy Director, Kolawole Oluwadare, SERAP said the allegations were contained in the Auditor-General of the Federation’s 2022 Annual Report, published on September 9, 2025.

 

The organisation disclosed this in a statement signed and released by Oluwadare, yesterday.

 

SERAP also asked Akpabio and Abbas to disclose the identities of contractors and companies, including their shareholders and beneficial owners, that allegedly received constituency project funds but failed to execute the projects.

 

It gave the National Assembly seven days to act on its recommendations, warning that it would institute legal proceedings should the legislature fail to respond.

 

“We would be grateful if the recommended measures are taken within seven days of the receipt and/or publication of this letter. If we have not heard from you by then, SERAP shall take all appropriate legal actions to compel you and the National Assembly to comply with our request in the public interest,” the letter stated.

 

It said, “The allegations involve several federal ministries, departments and agencies, including the Environmental Health Registration Council of Nigeria (EHORECON); the Federal College of Animal Health and Production Technology, Volm; the Federal Polytechnic, Udana; the National Agency for the Prohibition of Trafficking in Persons (NAPTIP); and the National Institute of Legislative and Democratic Studies (NILDS).

 

“The Auditor-General identified numerous cases of payments into private bank accounts, contracts awarded without due process, payments for contracts not executed or services not rendered, undocumented expenditures, inflated contracts, procurement irregularities and failures to account for public funds, recommending in each case that the funds be recovered and remitted to the treasury.

 

“According to the 2022 audited report, contained in pages 367 to 396, the Environmental Health Registration Council of Nigeria (EHORECON or Council) Abuja paid over ‘N22 million [N22,944,565.16] into the private account of some members of staff of the Council from the Constituency Projects Fund Account.

 

“There ‘was no evidence of the utilization of the funds and no explanations on the purpose for the payment of such amount into the individual accounts.”

 

SERAP added, “The Council (EHORECON) also in 2021 ‘awarded suspicious consultancy contracts of over N12 million [N12,030,818.29] for the development of Modern Abattoirs in Kebbi State and the supervision of 7 projects in Kebbi, Jigawa, and Headquarters Abuja.

“The money was to ‘produce bills of quantity, architectural design, structural design, mechanical design, and electrical designs for the contracts and supervision.’ But ‘the ‘items could not be found.’”

 

Altogether, SERAP said the Auditor-General’s 2022 report alleged EHORECON paid more than ?1.8 billion in constituency project funds through questionable transactions.

 

For the Federal College of Animal Health and Production Technology, Vom, SERAP said the institution “in 2022 reportedly ‘paid over N279 million [N279,700,500.00] to 3 contractors to empower and train youths in selected vocational areas in Borgu and Kontagora, Niger State, train women and youths in entrepreneurship in Niger East Senatorial District and to train youths and women in agro production and self-reliance in Barki Ladi/Riyom Federal Constituency, Plateau State.

 

“But the money was paid to the contractors without any document.’”

 

Other irregularities involving the college include another ?279.7 million in mobilisation fees allegedly paid without documentation, and more than ?629.4 million paid to unqualified contractors for various constituency projects without evidence of due process, contract advertisements or details of the contractors.

 

SERAP further alleged that the Auditor-General’s report identified multiple financial irregularities involving the Federal Polytechnic, Ukana, Akwa Ibom State, including over ?407 million allegedly paid as mobilisation fees without supporting documents, more than ?399 million paid to unqualified contractors, contracts allegedly inflated by over ?192 million, over ?279 million paid for projects not fully executed, ?50 million allegedly paid for an unexecuted borehole project, and more than ?83 million disbursed without the required documentation or approvals.

 

It also alleged that NAPTIP reportedly irregularly awarded contracts worth over ?21.8 million, paid more than ?176.8 million for logistics and consultancy services without supporting documents, and disbursed over ?89.6 million and ?4.4 million for projects that were allegedly not executed.

 

The report also alleged that NILDS failed to submit audited financial statements for 2012 to 2022, did not remit over ?15 million in stamp duties, and spent ?1.6 million without authorisation from the Office of the Accountant-General of the Federation.

 

SERAP said the report recommended the recovery of the affected funds and their remittance to the treasury.

 

It argued that corruption in constituency projects disproportionately affects poor and vulnerable Nigerians by diverting resources meant for public services and development.

 

It added that the National Assembly, in exercising its oversight responsibilities, should demonstrate leadership by ensuring accountability in the management of constituency project funds.

 

The organisation further argued that the allegations, if established, would amount to breaches of the Constitution, the Fiscal Responsibility Act 2007 and the Public Procurement Act 2007, which require transparency, accountability and due process in the management of public resources.

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Parties’ Deregistration: How Justice Lifu Overruled Appeal Court Justices

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Justice Peter Lifu of the Federal High Court in Abuja on Monday brushed aside the order of the Court of Appeal in Abuja which ordered him to stay proceedings in a suit that sought deregistration of the African Democratic Party (ADC), Accord Party and three others.
The Court of Appeal in a unanimous decision of a panel of three Justices had on May 22, 2026 directed the Federal High Court Judge not to proceed with the suit until an appeal pending before them and filed by Accord Party is resolved.
In a Certified True Copy Enrol Order of the Superior Court, Justices Mohammed Danjuma, Adebukola Banjoko and Oyejoju Oyewumi asked the lower Court Judge to stay proceedings until all issues on the appeal filed by the Accord Party were resolved
Governor Ademola Adeleke of Osun State had, through the Accord Party, applied to justice Lifu to join him as a defendant in the deregistration legal battle instituted by a group of former legislators.
The contention of the Osun State governor was that he had a stake in the Accord Party, being the platform he was seeking re-election in the August 15 gubernatorial poll in the state.
In his ruling, Justice Lifu on April 27 ruled against the Osun State governor, rejecting his request to be joined in the suit to defend his own position and interest.
Not satisfied with the Federal High Court decision, the Osun State governor, through his lawyer, Musibau Adetunbi (SAN), moved to the Court of Appeal in Abuja where he challenged the Justice Lifu decision to refuse to allow him join the suit.
After listening to the argument canvassed, especially that he has interest to protect as Accord Party gubernatorial candidate for Osun State governorship election, the three Justices of the Court of Appeal, unanimously directed Justice Lifu to allow them look into the grievances of the governor.
In specific terms, the Court of Appeal Justices directed Justice Lifu not to proceed further with the matter and fixed October 27 to determine the interlocutory appeal of the appellant.
However, when the certified enroll order and notice of appeal were served on Justice Peter Lifu by Mr Adetunbi (SAN), the judge rejected it on the ground that it was a ploy to arrest his judgment in the matter.
Although the judge had adjourned his judgment delivery in the matter indefinitely, he finally made a dramatic turn around on Monday and proceeded to deliver the judgment that has now proscribed the five political parties.

 

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