Anambra Assembly inquires into SEEPCO's operations amid concerns over host community welfare
Wednesday Sep 04, 2024 11:36 am
By Emmanuel Chigbata
Awka,
News
Anambra State House of Assembly has summoned the administrative and management officers of Steering Oil Exploration and Energy Production Company, SEEPCO to reappear before the Assembly on Tuesday, 17th September 2024, to present documents detailing their business operations within the state.
These summons were issued during a plenary session by the Speaker, Right Honourable Somtochukwu Udeze following the interrogation of SEEPCO’s representative at the state legislative complex, regarding their operations in Ogwuikpele and Ogwuaniocha communities in Ogbaru Council Areas.
The Assembly directed SEEPCO to provide evidence that they have established a Host Communities' Development Trust in compliance with Section 235(3) of the Petroleum Industry Act, PIA (2021); show proof that three percent of their annual budget has been paid for the years 2022, 2023, and 2024 and also submit documents detailing the projects executed as part of their Corporate Social Responsibility.
Further documentations requested include a NEEDs assessment of the host communities in line with Section 251 of the PIA, a comprehensive Environmental Impact Assessment, and a plan for natural gas flare elimination and monetization, in accordance with Section 108 of the PIA.
The Assembly also demanded that the company present its decommissioning and abandonment plans, evidence of output metering for daily oil and gas production, a list of Ndi Anambra employed by the company, and proof of tax payments to the state since the company's inception.
The Speaker, Right Honourable Udeze, emphasized that the company's appearance before the Assembly is driven by concerns over insecurity in the host communities, environmental degradation, complaints and petitions from the communities, and the need to ensure that Anambra State benefits from the company’s operations.
Earlier, during a committee session, the Speaker expressed concerns over the unrest in these communities, which has led to significant problems and damage, rendering some areas desolate, while noting the abandonment of corporate social responsibilities and the failure to fully implement the PIA in the host communities.
In an interview following the plenary session, Chairman, House Committee on Petroleum and Mineral Resources and member representing Njikoka Constituency One, Honourable Chidiebele Ibemeka, expressed the need to give ndi Anambra a sense of belonging regarding the mineral resources being explored in their land, protect the interests of the host communities and the interest of the state government where revenue is being shortchanged.
In response, the General Manager of Community Relations and Security at SEEPCO, Mr. Austin Atuonah refuted some of the allegations against the company, claiming they have made significant contributions to their host communities, including road construction, water projects, scholarships, health center renovations, and contracts awarded to local families.
The Assembly also resummoned other oil and gas exploration companies to appear before the House on the same date, 17th September 2024.
The companies include Sahara Energy Resources in Ihiala Council Area, Orient Petroleum Resources in Anambra East, and Cotton Wooden Gas Limited in Ayamelum and the Commissioner, Nigerian Upstream Petroleum Regulatory Commission.
The Group Chairman, Chief Operating Officer, Vice President of the companies, Group Managing Director, Base Manager, Head of Environmental and Production Department, and the Head of Safety and Environment of these companies have all been asked to appear before the House.
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Anambra State House of Assembly has summoned the administrative and management officers of Steering Oil Exploration and Energy Production Company, SEEPCO to reappear before the Assembly on Tuesday, 17th September 2024, to present documents detailing their business operations within the state.
These summons were issued during a plenary session by the Speaker, Right Honourable Somtochukwu Udeze following the interrogation of SEEPCO’s representative at the state legislative complex, regarding their operations in Ogwuikpele and Ogwuaniocha communities in Ogbaru Council Areas.
The Assembly directed SEEPCO to provide evidence that they have established a Host Communities' Development Trust in compliance with Section 235(3) of the Petroleum Industry Act, PIA (2021); show proof that three percent of their annual budget has been paid for the years 2022, 2023, and 2024 and also submit documents detailing the projects executed as part of their Corporate Social Responsibility.
Further documentations requested include a NEEDs assessment of the host communities in line with Section 251 of the PIA, a comprehensive Environmental Impact Assessment, and a plan for natural gas flare elimination and monetization, in accordance with Section 108 of the PIA.
The Assembly also demanded that the company present its decommissioning and abandonment plans, evidence of output metering for daily oil and gas production, a list of Ndi Anambra employed by the company, and proof of tax payments to the state since the company's inception.
The Speaker, Right Honourable Udeze, emphasized that the company's appearance before the Assembly is driven by concerns over insecurity in the host communities, environmental degradation, complaints and petitions from the communities, and the need to ensure that Anambra State benefits from the company’s operations.
Earlier, during a committee session, the Speaker expressed concerns over the unrest in these communities, which has led to significant problems and damage, rendering some areas desolate, while noting the abandonment of corporate social responsibilities and the failure to fully implement the PIA in the host communities.
In an interview following the plenary session, Chairman, House Committee on Petroleum and Mineral Resources and member representing Njikoka Constituency One, Honourable Chidiebele Ibemeka, expressed the need to give ndi Anambra a sense of belonging regarding the mineral resources being explored in their land, protect the interests of the host communities and the interest of the state government where revenue is being shortchanged.
In response, the General Manager of Community Relations and Security at SEEPCO, Mr. Austin Atuonah refuted some of the allegations against the company, claiming they have made significant contributions to their host communities, including road construction, water projects, scholarships, health center renovations, and contracts awarded to local families.
The Assembly also resummoned other oil and gas exploration companies to appear before the House on the same date, 17th September 2024.
The companies include Sahara Energy Resources in Ihiala Council Area, Orient Petroleum Resources in Anambra East, and Cotton Wooden Gas Limited in Ayamelum and the Commissioner, Nigerian Upstream Petroleum Regulatory Commission.
The Group Chairman, Chief Operating Officer, Vice President of the companies, Group Managing Director, Base Manager, Head of Environmental and Production Department, and the Head of Safety and Environment of these companies have all been asked to appear before the House.
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