The House of Representatives has directed its relevant committees to investigate allegations of fraudulent violations of the NOGICD Act 2010, PIA 2021, and Taxes and Levies Act by all Oil and Gas Companies operating in Imo State and the status of implementation of the Host Community Development Trusts in Imo State.

In a resolution following a motion on notice, the House asked Oil and Gas Companies operating in the state to urgently comply with provisions of the Nigerian Oil and Gas Industry Content (NOGICD) Act 2010 regarding indigenous employment, contract awards, and establishment of operational offices.

The House is also insisting on the implementation of the Host Communities Development Trust requirements under the Petroleum Industry Act (PIA) 2021 and granting unfettered access to officials of the Imo State Internal Revenue Service for the performance of their lawful duties, while also engaging in genuine dialogue with Host community leaders to address grievances and ensure peaceful coexistence.

Leading debate on the motion, Okafor said the Nigerian Oil and Gas Industry Content Development (NOGICD) Act, 2010, was enacted to promote the utilization of Nigerian human and material resources, and the participation of Nigerian companies in the oil and gas industry.

He said the Petroleum Industry Act (PIA), 2021, provides a robust legal and regulatory framework for the Nigerian petroleum industry, including specific provisions for host community development, environmental management, and equitable benefit sharing.

He said the Taxes and Levies (Approved List for Collection) Act authorizes State Governments to collect certain taxes and levies from businesses operating within their territories, which is crucial for funding state infrastructure and social services.

Okafor said several International and Indigenous Oil Companies (IOCs) operating oil and gas fields within the oil-producing communities of Imo State, notably in Ohaji/Egbema, Oguta, and other LGAs, as hosts, namely.

He listed the companies as Seplat Energy Plc: ? OML 53, Niger Delta Petroleum Resources (NDPR): ? OML 54, Sterling Oil Exploration & Energy Production Co. Ltd. (SEEPCO), WalterSmith Petroman Oil Limited: ? OML 16, Associate Oil & Gas Limited/Dansaki Petroleum Limited (A Consortium): Umuseti/Igwe marginal field, Chorus Energy Limited (Formerly Shell Portfolio), TotalEnergies / NNPC Joint Venture, and Nigerian National Petroleum Corporation (NNPC) Limited

He informed the House of what he described as a persistent outcry and allegations from host communities and the state Government regarding the failure to establish functional operational offices within their areas of operation in Imo State as mandated by Section 3(j) of the NOGICD Act, 2010, thereby denying the state valuable economic activity and employment.

He said there has systematic failure of these companies to prioritize the employment of qualified indigenes of Imo State, in direct violation of Sections 11, 28, and 35 of the NOGICD Act, 2010, and refusal to award contracts to competent Nigerian companies, especially those from the host communities, for goods and services.

Okafor also spoke of obstruction of lawful efforts by the Imo State Government and Imo State Internal Revenue Service (IIRS) to access their premises for assessment and collection of legally approved state taxes and levies, and non-compliance with the Host Communities Development Trust provisions under Chapter 3 of the PIA, 2021, leading to a lack of tangible benefits and development in these communities.

He said these acts of non-compliance have led to immense frustration, widespread agitations, and a palpable threat of social unrest within the host communities.

He said further that the continued neglect and infringement of these laws, if not urgently addressed, may lead to violent protests that could threaten national security, destruction of critical oil and gas infrastructure, disrupt production and harm the national economy, and a breakdown of law and order in the oil-producing regions of Imo State. (The Nation)

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