The Centre for Human Rights and Anti-Corruption Crusade (CHURAC) has instituted an action against the Federal Government for the illegality of some sections of the Petroleum Industry Act which it wants nullified.

The Suit No: FHC/WR/CS/43/2023 filed at the Federal High Court in the Warri Judicial Division named the Attorney-General of the Federation and Minister of Justice, the President of the Senate, and the Speaker of the House of Representatives.

Barrister Alaowei Ebikonbowei Cleric, Chairman, Board of Trustees (BoT), the Centre for Human Rights and Anti-Corruption Crusade (CHURAC) said in a statement said the suit is seeking an order of court to declare Section 257(2) and (3) of the Petroleum Industry Act, 2020, null and void for being inconsistent with the provisions of the 1999 Constitution of the Federal Republic of Nigeria.

He added that: “The suit is also seeking for the constitutionality of Sections 9(4) and (5) and 240 of the Petroleum Industry Act, 2020 over the 30% from the equity share for oil exploration at the frontier basin and the 3% paltry sum from the actual operating expenditure of the settlors for the host communities development.

“Below is the brief statement of facts: The Petroleum Industry Act 2021 (PIA) was enacted into law by the National Assembly and it was assented to by the President of the Federal Republic of Nigeria, President Muhammadu Buhari on the 16th day of September 2021.

“The Act provides for 3 percent of the actual annual operating expenditure of the settlers for the development of the host communities.

“The Act also provides that if there is sabotage within the environment of any host community on oil facilities such host community will forfeit its host community benefits for that particular year to the extent of the damage as a result of such sabotage.

“The Act further provides for 30% of the Petroleum Profits Sharing for oil exploration at the frontier basin. The host communities who suffer environmental damages only benefit 3% of operational costs.

“The host communities are also compelled to forfeit the benefits through an act of sabotage occurring in their environment without being tried by any court of competent jurisdiction to ascertain their guilt,” the group said.

Barrister Cleric informed that the group had engaged the law firm of Otuaro & Otuaro Associates to prosecute the matter, adding that no date has been fixed for the hearing of the suit yet. (Independent)

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