The House of Representatives on Wednesday quizzed the Director-General of the National Oil Spill Detection and Response Agency (NOSDRA), Mr. Idris Musa, on the utilization of over $1.48 billion contributed by oil companies and the United Nations Environmental Programme (UNEP) for the Ogoniland Cleanup Project, nine years after its inception.
The lead chairman of the joint House Committees on Environment, Climate Change, and Petroleum Resources (Upstream and Downstream), Hon. Julius Pondi, spoke during the investigative hearing into the service and unprecedented environmental damage within oil-producing communities. He decried the infighting among various regulatory agencies, which has impacted the host communities.
Lawmakers also criticized the Nigerian Midstream Petroleum Products Regulatory Agency (NMDPRA) for failing to open the Remediation Account, into which the oil spill remediation fund would be paid by the oil companies, in line with the provisions of the Petroleum Industry Act passed in 2021.
The lawmakers, concerned about the impacts of oil exploration activities, questioned NMDPRA and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) regarding the divestment and decommissioning by some oil companies responsible for degrading oil communities.
NOSDRA disclosed that over 600 sites have been impacted by oil spills from the exploration activities of oil companies in the region. However, NMDPRA argued that only 22 sites have been impacted by oil spills from oil exploration activities so far.
Regarding the $360 million allocated for the Ogoniland Cleanup in response to the outcry from oil-producing communities, Mr. Idris Musa revealed that apart from the $360 million donated by the United Nations Environment Programme (UNEP), NNPCL, SPDC, and other major oil-producing firms such as Total Energies, Nigerian Agip Oil Company, and Shell contributed $1.12 billion.
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The cleanup program for Ogoniland started remediation in January 2019, and before Mr. Musa’s appointment as NOSDRA Director-General, 21 Lots representing 12 sites were awarded as contracts out of the 64 sites assessed by UNEP. An additional 35 sites were added, and NOSDRA has certified 54 remediation oil-impacted Lots in Ogoniland and is currently working on 39 Lots representing semi-low-risk areas with polluted water and soil.
Mr. Musa dismissed reports of no meaningful work being carried out in the affected communities, as alleged by the host communities during an investigative hearing conducted on Tuesday. He attributed the delay not only to the contractors handling the cleanup exercise but also to a lawsuit filed by one of the community members to freeze the account of the Agency handling the exercise. The Minister of Environment has intervened by directing all contractors to remobilize back to the site to continue the cleanup exercise.
The Committee has the liberty to visit Ogoniland to ascertain the level of work carried out so far.
Regarding the delay in opening the Remediation Account, Mr. Musa accused NUPRC and NMDPRA of…
Speaking on behalf of the Nigerian Midstream Petroleum Products Regulatory Agency, Executive Commissioner for Health, Safety, Environment & Communities, Captain John Roland Tonlagha, and Assistant Director, Mr. Ibrahim Alhaji, confirmed the unabated fire outbreak at OML 095 located in Ayetoro. They disclosed that the Minister of Oil and Gas has directed the shutdown of the oil well, and two vendors have been contracted to carry out the shutdown, pending the Minister’s approval since it involves funds.
Regarding the issue of divestment by oil companies operating in the country and the role of the host communities, Mr. Musa disclosed that the Agency had held a meeting with the oil companies last week and resolved to appoint consultants to come up with recommendations. The Consultants are expected to submit the report by August 2024.
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