PIB: Southern Governors reject 30% NNPC profit for inland basins exploration

…Back zoning Presidency to South

…Re-emphasise need for State Police

…Approve September 1, 2021 for anti open-grazing law

By Moses Adeniyi & Joshua Elekwachi

The forum  of Southern Governors have  rejected the allocation of 30 percent profit of proposed Nigerian National Petroleum Corporation ( NNPC ) for inland basin oil exploration and supported the 5 percent approved for host community in the Petroleum Industry Bill (PIB) passed by  the Senate and the House of Representatives separately.  The approval of 30 per cent by the Senate for inland exploration also violates the oil industry practice whereby attention is being focused on deepwater exploration.

The Lagos meeting is coming eight weeks after the last Asaba meeting, held in Delta State on the 11th of May, 2021 with resolutions that had attracted reactions.

In addition to the host, Governor Babajide Sanwo-Olu and the Chairman of the Forum, Arakunrin Rotimi Akeredolu of Ondo State, the Governors who attended the Monday meeting, include Ifeanyi Okowa (Delta), Nyensom Wike (Rivers), Dapo Abiodun (Ogun), Gboyega Oyetola (Osun), Emmanuel Udom (Akwa Ibom), Kayode Fayemi (Ekiti), Senator Douye Diri (Bayelsa), Seyi Makinde (Oyo) and Ifeanyi Ugwuanyi (Enugu).

Before the rejection of the Petroleum Industry Bill (PIB) by the ljaw leader, Chief Edwin Clark, 17 governors of the Southern states had also distanced themselves from the 30 per cent allocated in the bill for oil exploration in the Northern part of the country through the frontier basins.

According to the bill awaiting harmonization by the two chambers of the National Assembly, the 30 per cent from the profit generated by the proposed Nigerian National Petroleum Company Limited will be allocated for exploration in the frontier basins in the North.

The passed PIB identified “Frontier Basins to include Chad Basin, Gongola Basin, Sokoto Basin, Dahomey Basin, Bida Basin and Benue Trough in the Northern part of the country.

“Whereas, the three and five per cent of the profit made by the oil companies were approved by the Senate and House of Representatives for the host communities.”

In a communique after their one-day meeting in Lagos on Monday, the governors also stressed the significance of zoning the 2023 Presidency to the South, partly stated that: “the Forum reiterates its commitment to the politics of equity, fairness and unanimously agrees that the presidency of Nigeria be rotated between Southern and Northern Nigeria and resolved that the next president of Nigeria should emerge from the Southern Region.”

The Communique read by the Chairman of the Forum and Ondo State Governor, Arakunrin Rotimi Akeredolu partly states:  “The Governors re-affirmed their commitment to the unity of Nigeria on the pillars of equity, fairness, justice, progress and peaceful co-existence between and amongst its people.

“The Forum reiterates its commitment to the politics of equity, fairness and unanimously agrees that the presidency of Nigeria be rotated between Southern and Northern Nigeria and resolved that the next president of Nigeria should emerge from the Southern Region.”

On security, the Governors in their resolution  re-emphasised the need for State Police, “arguing that if for any reason security institutions need to undertake an operation in any State, the Chief Security Officer of the State must be duly informed.

“Despite the reactions which have trailed the anti-open grazing policy position of the Southern Governors as agreed at the last Asaba meeting, the  Forum sets a timeline of Wednesday, 1st September, 2021 for the promulgation of the anti open grazing law in all member States.

“The Forum reviewed the security situation in the country and commends security operatives for their relentless efforts in restoring security and safety and commiserates with families and loved ones of those who have fallen in the line of duty.

“The Forum frowns at selective criminal administration of Justice and resolved that arrests should be made within the ambit of the Law and fundamental human rights,” the Communique read.

Deputy Governors who represented their principals include Philip Shuaibu (Edo), Placid Njokwu (Imo), Sir Ude Oko Chukwu (Abia) and Kelechi Igwe (Ebonyi).

However, as experienced at the last meetings, Governors of Cross River and Anambra States, Prof. Ben Ayade and Willie Obiano, were respectively absent at the Monday’s meeting.

Meanwhile, the main opposition party, the People’s Democric Party (PDP) has kept mum over the Governors’ resolution.

Speaking to our correspondent, the Party’s spokesman, Kola Ologbondiyan, mentioned that the Party is yet to take a decision on the development.

“The party hasn’t taken a decision yet,” he said.

Also, the former National Chairman of APGA, Chief Maxi Okwu in a chat with Nigerian NewsDirect said, “I have just read the Southern Governors communiqué after their meeting in Lagos. It’s a small improvement on the platitudinous first meeting at Asaba.

“The call for south to produce next Nigerian president by the governor’s is germane and morale booster to the zone,

“No doubt, it will beat back some kind of agitations and I look forward to the implementation of the September deadline on the enactment of anti-open graving laws.

“For now, only Ekiti and Ondo have done so. The Governors of the South East should be questioned. I recommend they take the federal government to the Supreme Court on the grazing route and reserves issue if they have the morale.

“I am totally with them on the rejection of some clauses of the PIB. The condemnation of slanted implementation of the criminal justice system and invasion of states by Federal agents without the knowledge of the Governors.”

In addition to the host, Governor Babajide Sanwo-Olu and the Chairman of the Forum, Arakunrin Rotimi Akeredolu of Ondo State, the Governors who attended the Monday meeting, include Ifeanyi Okowa (Delta), Nyensom Wike (Rivers), Dapo Abiodun (Ogun), Gboyega Oyetola (Osun), Emmanuel Udom (Akwa Ibom), Kayode Fayemi (Ekiti), Senator Douye Diri (Bayelsa), Seyi Makinde (Oyo) and Ifeanyi Ugwuanyi (Enugu).

Moreover, the Forum which unanimously chose Lagos State as its permanent secretariat resolved that “in order to consolidate our democracy and strengthen the Electoral process, the Southern Governors’ Forum reject the removal of the Electronic transmission of the election result from the electoral act; and also rejects the confirmation of exclusive jurisdiction in pre-election matters on the Federal High Court.”

The Forum also resolved that funds deducted from the Federation Account for the Nigeria Police Security Trust Fund should be distributed among the States and Federal Government to combat security challenges.