Call IOC’s bluff, oil communities urge FG

[MrVan]

By EMMA AMAIZE

PORT HARCOURT— HOST Communities of Nigeria, Oil and Gas, Rivers State chapter, has advised the Federal Government to call the bluff of International Oil Companies, IOCs, which had raised concern over a provision in the new Petroleum Industry Bill, PIB, stipulating payment of 10 per cent of their net profit directly to  Petroleum Host Community Fund, PHCF.

The oil communities in a statement by the state Adviser on Environment and Ecology, Prince Alaye Bala, said the veiled threat of divestment by IOCs from the country's oil and gas sector on grounds of excessive taxes because they were already paying three per cent of their capital expenditure budget to Niger-Delta Development Commission, NDDC, was hypocritical.

He said: "The IOCs have been asked to pay only 10 per cent of their profits to the host communities and they have the mendacity to complain. I want to ask who can pay for the human lives and aquatic life lost and destroyed from oil pollution, gas flaring and environmental degradation because of oil exploration and exploitation for the past 50 years.

"Who can pay for the acid rains and cancer related diseases people in petroleum producing areas suffer as a result of continuous gas flaring by the oil majors? Enough of this hypocrisy and neo-colonialism.

"The oil majors should be contented that the incumbent president is very humane. A generation will come that will want total control of their resources and no amount of dialogue or force will appease them. In such a situation, the IOCS will be forced to pay 99 per cent tax or quit.

Vanguard Nigeria