Senate faults NUPRC over lapses in enforcing Oil firms’ host community obligations

By James Isaac, Abuja

 

 

The Senate Committee on Host Communities has expressed strong displeasure with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) over what it described as weak enforcement of oil companies’ responsibilities to their host communities in the Niger Delta.

Chairman of the Committee, Senator Agada (Bayelsa), made the remarks while speaking to journalists after an interactive session with the management of the NUPRC. He lamented that decades of oil exploration and exploitation have left many host communities environmentally degraded and economically worse off.

According to the lawmaker, communities whose lands have been devastated by pollution have suffered for years with little to show for the presence of oil companies. He cited Oloibiri, where crude oil was first discovered in Nigeria, as a painful example, noting that despite years of operations by Shell, the area has been abandoned in a state of neglect.

“Nothing was done to remember even their operations in those days. The people are worse off than when they came in. There is nothing to show for their presence,” he said.

Senator Agada noted that with the passage of the Petroleum Industry Act (PIA), the focus should now be on effective implementation. He observed that while a few oil companies have complied with the law, many others have failed to meet their obligations to host communities.

He stressed that the NUPRC, as the industry regulator, must compel defaulting operators to comply with the provisions of the PIA. “Where they are failing to carry out this responsibility, then we oversee them. We are here to make sure that the proper thing is done for our people who have been suffering for a number of years,” he said.

The senator warned that neglecting host communities poses a risk to the stability of the oil sector and, by extension, the national economy. He recalled the economic and social challenges that followed the removal of fuel subsidy, emphasizing that oil revenues sustaining the country come from lands that have been severely impacted by exploration activities.

He further disclosed that the committee has published the names of oil companies that have failed to comply with host community provisions, noting that existing regulations empower the regulator to withdraw operating licences of defaulting firms.

Senator Agada urged the NUPRC not to shirk its responsibilities, adding that the Senate would closely monitor the process, especially as the commission prepares to appoint a new chief executive following the resignation of the former head.

“We want to ensure that the new person coming in will be on his toes and deliver what Nigerians want, particularly for the oil-producing communities,” he said.

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