Rights group, host communities to storm NASS over oil firm’s non-implementation of Local Content Act

The Committee for the Defence of Human Rights (CDHR) and the Community Development Committees (CDC) of the Niger Delta Oil and Gas Producing Areas, have called on the Federal Government to sanction any oil company that refuses to implement the Local Content Act of 2010.

The two groups made the call following the delay by the Oriental Energy resources Limited (OERL), to comply with the agreement it signed with the Effiat/Mbo host communities in Akwa Ibom State in 2023 to implement the necessary guidelines.

In separate statements issued in Port Harcourt, CDHR said it was appalled by the Oriental Energy Resources Limited’s (OERL) “blatant and persistent refusal to implement the Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010.

“Despite numerous calls, resolutions and warnings, the OERL has deliberately ignored its obligations under the Act, prioritising profits over the well-being and interests of the people of Mbo/ Effiat host communities.

“It is pertinent to say that while we appreciate OERL and its delivery on corporate social responsibility (CSR), and the establishment of Host Community Development Trust Fund (HCDT), let it be known that the above cannot undermine the local content Act.

“It is shocking that the company can implement the PIA Act of 2021 and neglect that of 2010.”

Chairman, Akwa Ibom State branch of CDHR, Mr. Ndifreke Afangide, said in the statement that, “the NOGICD Act 2010 is a critical legislation aimed at promoting local content in the oil and gas industry, mandating companies like OERL to prioritise local companies, goods and services in their operations.

“This legislation is designed to ensure that the oil and gas industry benefits the local community, promotes economic growth and development and reduces poverty and inequality.”

He warned that, “the window of opportunity for compliance is rapidly closing, and OERL is urged to take immediate action to implement the Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010.”

He added that, “plans are already underway to lead the mother of all protests to the Akwa Ibom State House of Assembly in Uyo and the National Assembly in Abuja. We warn OERL that its refusal to implement the NOGICD Act 2010 will have serious consequences,” the statement said.

Similarly, the BoT chairman of the Oil communities, Joseph Ambakaderimo in a statement, said reneging in an agreement that was duly entered and endorsed by Oriental Energy Resources Limited was preposterous.

“What Oriental Energy Resources Limited is doing is in gross opposition and violation of President Bola Tinubu’s agenda for the oil industry; that is to increase production. The behaviour of the Company is a recipe for renewed restiveness in the Niger Delta,” he warned.

“Effiat/Mbo communities are very peaceful communities. They are never known to be violent, therefore, we urge the management of Oriental Energy Resources Limited to engage the communities in a dignified manner and graciously implement the terms of agreement to allow peace reign.

“If Oriental Energy Resources Limited refuses to implement the terms of agreement, the CDC will capitalise on the goodwill it enjoys from the Presidency and make a formal complaint to relevant regulatory agencies and NASS,” he warned.