The Host Communities of Nigeria Producing Oil and Gas, HOSTCOM has called for an immediate upward review of the 3% allocation to host communities under the Petroleum Industry Act (PIA) 2021.
Addressing a news conference in Abuja on Tuesday, HOSTCOM National President, Benjamin Style Tamaranebi commended the implementation of the PIA 2021 but noted that the 3% allocation is now insignificant due to current economic realities.
“While we commend the implementation of the Petroleum Industry Act, PIA 2021 that has kick started in some areas, there are many things that have to be taken care of. The above applies to the 3% accruing to Host Communities. There is a need for the immediate Upward Review of the 3% which is now very insignificant due to the prevalent economic realities”
They praised the Nigerian Upstream Regulatory Commission, NUPRC for prioritising HOSTCOM regulations, leading to improved production.
They also announced plans to engage with the National Assembly to push for amendments to the PIA 2021, addressing contentious areas such as section 257 subsection 2, which penalises communities for vandalisation or sabotage.
“Moving forward, we shall engage the leaderships of both chambers of the National Assembly and their noble members to push for amendments of the Petroleum Industry Act to address contentious areas and clauses, e.g section 257 sub section 2 that says, if there is vandalisation or sabotage, the community will forfeit the actual cost of repair.
While section 52 says there should a Midstream and Downstream Gas Infrastructure Fund. In section 52
sub section 7 (d) and section 104 sub section 4 says, money received from Gas Flares Penalties by the Commission shall be for the purpose of environmental remediation and relief of the host communities of the Settlors on which the penalty are levied. Gas Flare funds shall be channeled to the Trust Fund Account set up by settlers to avoid crises, and other notable sections of the PIA 2021 Act”
They expressed support for the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, dismissing calls for his sack as “spurious allegations.”
HOSTCOM reiterated its commitment to fighting for the rights of host communities, ensuring they are not cheated or mistreated by international oil companies, IOCs.or government agents.
(Editor: Terverr Tyav)
