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Amaechi Lambasts NUPENG

By Okafor Ofiebor/Port Harcourt
Governor Chibuike Rotimi Amaechi of Rivers State has lashed out at the National Union of Petroleum and Natural Gas Workers (NUPENG), for wanting to import petroleum products into the country rather fight for the building of more refineries in Nigeria.
Speaking while commissioning NUPENG's South South Zonal office complex in Port Harcourt, Governor Amaechi said the union should rather demand for the removal of subsidy on petroleum products, to allow private firms build refineries in Nigeria to check over dependence on imported products.
The governor disclosed that the present situation where the federal government spend about N600 billion subsidizing petroleum products would not encourage investments in building refineries, stressing that if government removes subsidy, there would be competition in building refineries, and more people would be employed.
He blamed NUPENG leadership for abandoning the struggle against injustice, a role played by the founding fathers of the union, including people like Frank Kokori, and rather joining the Nigerian state to perpetrate injustice against the people of the Niger Delta region by locating NUPENG's headquarters outside Niger Delta, in an area where oil is not produced.
According to him, "what is NUPENG's Head Office doing in Lagos, when all the oil companies operate in the Niger Delta? You should know what justice is all about, so, what is the struggle against unfair treatment? I think the struggle ended with people like comrade Kokori."
Amaechi posited that the much needed development of Nigeria would not be achieved without a vibrant opposition party and in this case, the labour unions.
The governor argued that the task of moving the country forward should not be left in the hands of the government of the day, as concerted efforts should be made to uplift the genuine struggle, because the interest of the nation supersedes individual gain.
"I believe Nigeria can change, we have the resources to make the change if we govern well", Governor Amaechi declared, while calling on all stakeholders to do their best for the country to bring about the desired change and position Nigeria as the giant of Africa.
Governor Amaechi congratulated the leadership of NUPENG for the achievement within a short time in office and promised to provide a power generating plant at the new NUPENG office in Port Harcourt and a bus to the union for their operation.
Also speaking, the Group Managing Director of Nigeria National Petroleum Corporation (NNPC) Mr Austen Oniwon, represented by Mr Tony Ogbuigwe, lauded the leadership of NUPENG and promised continued cooperation with the body as the NNPC plans to build more refineries in the country to ensure increased production of petroleum products.
The President of Nigeria Labour Congress (NLC), Comrade Abdulwaheed Omar, commended Governor Amaechi for honouring the invitation, and for the various achievements recorded by his administration in education, health and road infrastructure which according to him, is a testimony that Rivers people did not make mistake in electing him to serve them.
Earlier, the President of NUPENG, Comrade Igwe Achese, said the union frowns at the current hike in prices of kerosene and diesel, adding that NUPENG has concluded plans to build petrol stations across the nation and talks are on to begin the importation of petroleum products with a foreign partnership.
Governor Amaechi was presented with NUPENG's Eminent Individual Award, for outstanding achievements in leadership.
Meanwhile, following the recent permission granted states by the Federal Government to generate, transmit and distribute power within their areas of jurisdiction, Rivers State Government has inaugurated a Seven-member Electricity Power Distribution Committee to work out modalities for self sustenance in electricity supply in the state.
The Seven-man Committee, headed by the Shell Petroleum Development Company (SPDC), Managing Director, Mr Mutiu Summonu, has other members as Hon. Augustine Wokocha, Commissioner for Power, Mr Toyin Olagunju, Mr Emmanuel Georgewill and Mr Rotimi Onanuga while Mr Minabelem Michael-West, Permanent Secretary, Ministry of Power is to serve as Secretary.
The Committee's term of reference include reviewing the power supply situation in the state, with a view to developing a sustainable framework for improving power supply and develop a master plan for delivering power to critical infrastructure and industries in the state.
They are equally expected to access the investment requirements for stabilizing power supply, carry out an audit of on-going distribution and transmission projects in the state that will impact on the power supply stability.
The Committee is also to advice on sustainable framework for managing distribution infrastructure to maximise benefits to consumers and review the interface between the generation, transmission and distribution network within the state, as well as strategy to improve payment discipline within the state.
Inaugurating the Committee, Governor Chibuike Rotimi Amaechi thanked members for accepting to serve, particularly the SPDC Managing Director whose presence is an indication of the seriousness the state government attaches to the work of the Committee, noting that by September the state would be generating about 460 megawatts of power, which when distributed would ensure stable supply.
"We are appealing to you to attach the same importance you attach to your job as Managing Director of Shell, it will be to your credit, and that of SPDC, if we are able to achieve this goal before the end of next year," Governor Amaechi stated.
The governor, who disclosed that the state got the Federal Government to reverse its policy on power distribution, said the regulatory framework is one problem the state is beginning to overcome while the experts in the committee would address the issue of management in trying to organise the execution.
"My strategy to achieve result is to sideline anybody who poses problem, even if it involves extra funds, just to achieve our objectives, and when the objective is achieved, we can begin to meet with those people to ask how much they owe us, and what the government owes them, and reconcile the differences," he observed.
The State Chief Executive urged them to isolate the industrial areas where companies and industries are located and provide them 24 hours power supply as quickly as possible and hope that before the end of 2012, Port Harcourt and the state would have regular supply of electricity.
He congratulated the Committee members for accepting to be patriotic enough to serve and promised to do all within his powers to support the Committee achieve the target.
Responding on behalf of the members, the Chairman of the Electricity Power Distribution Committee, Mr Mutiu Summonu, lauded Governor Amaechi for the vision, noting that he accepted to serve because of the commitment of the governor in whatever he sets out to do.
Mr Summonu assured that members of the Committee would do their best to help in achieving the vision which he believes is an important milestone for the state, adding that the effort would help to develop the economy of the people as an oil producing state.
By Okafor Ofiebor/Port Harcourt Source: PM News, 21st May 2011.
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 Shell Spends N5.53b on Economic Empowerment in Niger Delta
Emeka Ugwuanyi
The Shell Petroleum Development Company of Nigeria-operated Joint Venture said it spent N5.53 billion between 2005 and 2010 on various economic empowerment programmes that have improved lives and raised the standard of living in the Niger Delta.
Shell's Corporate Media Relations Manager, Tony Okonedo, in a statement, said the programmes include 241 micro-credit schemes, 35 agro and fisheries and 120 land and marine transport projects. Another set of skills and enterprise development programmes within the same period directly benefitted over 5,200 youths, the company added.
"Our economic empowerment programmes date back to the 60s," said Tony Attah, General Manager, Sustainable Development and Community Relations. "We began by awarding scholarships and expanded to agriculture, micro credit and small scale business development.
"In fact, our intervention in health, sports and education is all aimed at economic empowerment of the Niger Delta region. We are happy that these programmes have helped people to learn skills and trades and set up their own businesses, thereby creating wealth and contributing to the overall development of the Niger Delta."
A key aspect of SPDC's support for agriculture is the establishment of resource and training centres at Agbarho, Jeddo, Bori and Oguta, and a partnership with the United States Agency for International Development on the Cassava Enterprise Development Programme in 11 states. The cassava initiative has led to the creation of 3,600 full time jobs. SPDC also launched the LiveWIRE Nigeria programme in March 2003, enabling more than 2,000 young people to set up businesses. One of them, Mrs. Ngozi Brisibe, emerged the Central Bank of Nigeria Young Entrepreneur of the Year in 2007.
Areas of participation in the Youth Training and Enterprise Programme include welding and fabrication, fashion and design, electrical installation, computer studies and automobile maintenance and carpentry. Since 2005, over 2,200 youths have received the training and packs to start businesses. The micro-credit schemes are targeted at women, who account for 70 per cent of the beneficiaries. Over 31,000 people in some 171 communities have benefitted from the revolving programme in the last six years with over N740 million given out as seed fund. Microfinance banks have been introduced in the management of the micro credit schemes for improved monitoring and repayment of seed funds.
Every year, SPDC and its Joint Venture partners (NNPC, Total and Agip) invest huge sums of money in health care, roads, water projects, education and many other community development initiatives, in one of the biggest corporate social responsibility (CSR) portfolios operated by a private company in sub-Saharan Africa. In 2010 alone, SPDC Joint Venture spent N9.03 billion on community development projects.
Attah also noted: "We realise that we cannot solve all the challenges of development in the Niger Delta. But we believe that, our efforts, along with those of other stakeholders, including government and communities can make a lot of difference." Source: The Nation, 8 February 2011.
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Shell Says Cannot Take Sole Blame for Nigeria Spills AMSTERDAM (Reuters) - A Royal Dutch Shell executive said on Wednesday the company could not be held solely responsible for damage to the environment caused by oil extraction in the Niger Delta where it operates. More>>>>
Amnesty slams Shell over oil spills in Nigeria Amnesty International and Friends of the Earth Tuesday said they had filed an official complaint against Ango-Dutch firm Shell for shirking responsibility for oil spills in Nigeria and wreaking havoc on the environment. More>>>>
Groups file OECD complaint vs. Shell Nigeria Friends of the Earth and Amnesty International said Tuesday they have filed a complaint against Royal Dutch Shell PLC with the Organization of Economic Cooperation and Development, alleging the oil giant has published misleading data about oil spills in Nigeria. More>>>>
Shell, Amnesty Dispute Oil Spill Claim
By Ejiofor Alike
Shell Petroleum Development Company (SPDC) yesterday disputed a report by Amnesty International and Friends of the Earth International (FoEI) that its operations in the Niger Delta breached basic standards for responsible business set out by the Organisation for Economic Co-operation and Development (OECD).
This happened as Amnesty International and FoEI filed an official complaint against Shell for alleged breaches of basic standards for responsible business set out by OECD.
The two organisations filed the complaint with United Kingdom and Netherlands government contact points for the OECD.
They accused Shell of using discredited and misleading information to blame the majority of oil pollution in the Niger Delta on sabotage, claiming it "breached the OECD Guidelines for Multinational Enterprises".
The allegations are considered weighty in the wake of the billions of dollars in fines handed BP by the US government over the Gulf of Mexico disaster last year which claimed 11 lives.
But in a swift reaction, a Shell's spokesman in Nigeria, Mr. Precious Okolobo, said the allegation was untrue and completely unfounded.
"SPDC has reported oil spill data since 1996. Every oil spill is independently assessed by a joint inspection team comprising SPDC, the Department of Petroleum Resources (DPR), National Oil Spill Detection and Response Agency (NOSDRA) and community members – who agree on the cause and the volume of oil spilled," he said.
Okolobo said the discrepancy between the originally reported figure for 2008 and the updated one was explained at length in the company's 2009 briefing notes on the company's website.
He said the spill, which was 44,000 barrels, was not included originally because it had not been certified by the independent joint inspection team at the time.
The Shell's spokesman noted that the oil giant was proactive in bringing this issue to the attention of many interested third parties, including Amnesty International.
He reiterated the position of the oil giant that over 70 per cent of spill incidents by volume and number of incidents over the past five years had been due to sabotage, militant action or crude oil theft.
"This figure was 98 per cent for 2009. We stand by these figures and publish them annually because we can back them up if necessary," he said.
But while Amnesty International and FoEI acknowledged that sabotage was a problem in the Niger Delta, they said that they had repeatedly challenged Shell's use of such figures.
The two bodies also stated that Shell's figures have also been strongly criticised by environmental groups and communities.
"Under Nigerian law, when spills are classified as being the result of sabotage, Shell has no liability with respect to compensation for damage done to people or their livelihoods," said the organisations.
Amnesty International's Director of Global Issues, Audrey Gaughran, said Shell's figures totally lacked credibility.
"Widespread oil pollution is a key problem caused by oil industry in the Niger Delta, but the oil spill investigation system is totally lacking in independence," he said.
Both FoEI and Amnesty International said they found that in many cases oil companies have significant influence on determining the official cause of a spill.
Director of Friends of the Earth (ERA) and chair of FoEI, Mr. Nnimmo Bassey, said the organisation monitors spills regularly, adding that their observations often contradict information produced by Shell.
"Several studies have placed the bulk of the blame for oil spills in the Niger Delta on the doorsteps of the oil companies; particularly Shell. It should take its responsibility and clean up the mess it made in our country," he said.
"Despite repeated requests, Shell has so far failed to make clear the basis for the figures they have published and how the data were gathered. Furthermore, Amnesty International and Friends of the Earth International have documented cases where Shell claimed the cause of a spill was sabotage, but the claim was subsequently questioned by other investigations or the courts. In 2009 Shell was compelled to correct misleading information regarding the cause of oil spills.
"After repeatedly claiming that 85 per cent of all oil spills in 2008 were caused by sabotage, it announced that the figure was closer to 50 per cent. Neither the claims of 85per cent or 50per cent have been properly explained. Moreover, Shell made almost no attempt to correct the erroneous impression created by its widespread use of the 85per cent figure," said the report.
Meanwhile, Shell will today under scrutiny for its environmental and human rights impacts during a hearing in the Dutch Parliament on the company's activities in Nigeria. Source: This Day, 25th January 2011.
Shell Accused of Misleading Data Over Nigerian Spills
Royal Dutch Shell Plc was accused by Amnesty International and Friends of the Earth International of using discredited and misleading information in blaming the majority of oil spills in the Niger Delta on saboteurs.
The two groups said in an e-mailed report today that they filed an official complaint with the U.K. and Dutch governments against Shell over breaches of basic standards for responsible business set out by the Organization for Economic Cooperation and Development. Shell denied the allegation.
The oil producer uses figures that purport to show that as many as 98 percent of oil spills in the Niger Delta are caused by sabotage, Amnesty and Friends of the Earth said. Under Nigerian law, when spills are classified as being the result of sabotage, Shell has no liability, they said. Nigeria is the largest oil producing nation in Africa.
"Shell's figures are totally lacking in credibility," said Audrey Gaughran, Amnesty's director of global issues. "The oil spill investigation system is totally lacking in independence."
Every oil spill is independently investigated by a joint inspection team representing the company and government officials along with local community members, Shell said today by e-mail. The 98 percent figure was reported for the spills in 2009 and "we stand by these figures and publish them annually because we can back them up if necessary," the company said.
In the past five years, less than 30 percent of spills at Shell's joint venture in Nigeria have been due to corrosion, human error and equipment failure, the company says on its website. "The majority have been caused by sabotage or theft."
Assessment of damage from crude spills in part of the Niger River delta was being hindered by "angry mobs," Mike Cowing, an official of the United Nations Environment Program, said in August. Shell's Nigerian unit was funding the study, he said at the time. Source: Bloomberg, 25th January 2011.
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Amnesty, Shell, Others Disagree Over Spill Figures

FROM KELVIN EBIRI, PORT HARCOURT
AMNESTY International and Friends of the Earth International have filed an official complaint against Shell Petroleum Development Company of Nigeria Limited for breaches of basic standards for responsible business in Nigeria as set out by the Organisation for Economic Co-operation and Development (OECD).
In its reaction, Shell has insisted that more than 70 per cent of spill incidents over the past five years have been due to sabotage, militant action or oil theft.
The petition comes as Shell today comes under scrutiny for its environmental and human rights impact during a hearing in the Dutch Parliament on the company's activities in Nigeria.
The organisations in a statement made available to The Guardian yesterday claimed that Shell's use of discredited and misleading information to blame the majority of oil pollution on saboteurs in its Niger Delta operations had breached the OECD guidelines for multi-nationals.
The complaint was filed with United Kingdom and Netherlands government contact points for the OECD by Amnesty International's Director of Global Issues, Audrey Gaughran and Nnimmo Bassey, Director of Friends of the Earth Nigeria (ERA).
The groups noted that in the mid 1990s, Shell accepted that much of the oil pollution in the Niger Delta was due to the company's own failures. However, the company now blames sabotage by communities and criminals for most of the problems, citing misleading figures that purport to show as much as 98 per cent of oil spills being caused by sabotage.
The misuse of data on the cause of oil spills, and the failure of Shell and the government to ensure fair and credible investigations perpetrate human rights abuses, by denying justice and compensation to communities, said the petition.
They noted that while sabotage was a problem in the Niger Delta, Amnesty International and Friends of the Earth International had repeatedly challenged Shell's use of such figures, which had been strongly criticised by environmental groups and communities.
According to them, under Nigerian law, when spills are classified as being the result of sabotage, Shell has no liability with respect to compensation for damage done to people or their livelihoods.
"Shell's figures are totally lacking in credibility. Widespread oil pollution is a key problem caused by oil industry in the Niger Delta, but the oil spill investigation system is totally lacking in independence," said Gaughran.
Both ERA and Amnesty alleged that they found that in many cases oil companies had significant influence on determining the official cause of a spill.
On his part, Bassey said: "We monitor spills regularly and our observations often contradict information produced by Shell. Several studies have placed the bulk of the blame for oil spills in the Niger Delta on the doorsteps of the oil companies; particularly Shell. It should take its responsibility and clean up the mess it made in our country."
The groups stressed that despite repeated requests, Shell had so far failed to make clear the basis for the figures they had published and how the data were gathered.
Both Amnesty and ERA said they had documented cases where Shell claimed the cause of a spill was sabotage, but the claim was subsequently questioned by other investigations or the courts. Source: The Guardian, 25th January 2011.
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Dutch Parliament Probes Shell's Activities in N'Delta • Return of oil major to Ogoniland under threat
By Chika Amanze-Nwachuku and Chinedu Eze
Dutch Parliament has dispatched its member Sharon Gesthuizen to the Niger Delta to investigate the activities of Shell,
an Anglo Dutch company, in a bid to get balanced and unbiased reports on the current situation in the region.
The objective of the visit, Gesthuizen said, was to put an end to the constant destruction of pipelines by militants.The Dutch Parliament would on January 26, 2011 hold a public hearing, which would include the invitation of stakeholders in the region who would attend the event.She told newsmen at the Murtala Muhammed International Airport (MMIA), Lagos, yesterday that the visit would enable her to get first-hand information on the deplorable conditions in the region.
Gesthuizen, who is also the spokesperson of House Committee on Economic Affairs, remarked that her visit to the country would afford her the opportunity of meeting with oil companies operating in the region, especially Shell Petroleum Development Company (SPDC), adding that the Dutch media was daily awash with reports from the Niger Delta.
She said that the governments of oil-producing states in the country such as Rivers, Delta, Bayelsa, Edo, Cross River and Abia would be involved in the public hearing, adding that non-governmental organisations (NGOs), Amnesty International, the Dutch embassy in Nigeria, individuals, groups and other independent bodies were expected to present reports.
She also explained that the House had received various conflicting reports from different quarters on the situation in the Niger Delta.
For the House to be objective in its deliberation, she decided to visit the affected states for on-the-spot information as she is the one championing the investigation in the Parliament.
Gesthuizen disclosed that the public hearing, which is the first process in bringing solution to the crisis in the area, is not to apportion blame, but rather to give a platform to every stakeholder in the region to present their positions.
She, however, stated that for peace to return to the region, all stakeholders including the multinational companies would have to work harmoniously with one another, observing that for any company to work comfortably in any country, four International Labour Organisation (ILO) rules must be strictly adhered to.
"In the last four years that I have been a member of the House of Parliament, I've been getting a lot of information from several NGOs such as Amnesty International, ILO and others and their signals are very alarming especially on the situation in the Niger Delta. And a report was published about one and a half years ago on the researches they conducted in the Niger Delta areas, which quite showed the situation in the area.
"I feel that what happens in the Netherlands is that we have rules telling the companies that wherever they operate and whatever country they are, they should always observe the four important ILO norms; not involving in slavery, child labour, making sure that there is no discrimination and workers belong to unions. These are ILO rules," she said.
Meanwhile, ongoing moves by the Nigerian Petroleum Development Company (NPDC), the producing arm of the Nigerian National Petroleum Corporation (NNPC), and Shell to commence operation on the 30 oil wells belonging to the SPDC in Ogoniland may hit a brick wall.
Ogoni people, THISDAY learnt, are making plans to resist such moves based on recent revelation that linked the oil giant to the "judicial murder" of former leader of the Movement for the Survival of Ogoni People (MOSOP), Ken Saro-Wiwa and eight other activists.
THISDAY learnt that Shell and the NPDC, appointed operator of the Ogoni oil blocks, are close to signing an agreement on the operatorship of the fields with a view to commencing production soon.
But indication that the planned take-over would be met with stiff resistance has emerged, as two prominent Ogoni indigenes told the newspaper in a telephone conversation that the people would do everything possible to stop Shell's moves to return to their community, directly or indirectly.
They said the new evidence on how the Ogoni Nine were framed up had further hurt Shell's relationship with the Ogoni people.
They argued that SPDC is a joint venture partner of the NNPC, insisting that to allow the latter to operate the oil fields is an indirect way of bringing Shell back to the area.
Also, the National Union of Ogoni Students, USA, in a statement jointly signed by its President, Pius B. Nwinee, and Secretary, Sampson B. Npimnee, warned that the attempt by Shell or NPDC to start oil production in Ogoni without meeting the demands of the people as stated in the Ogoni Bill of Rights (OBR) would be resisted.
"We will resist any such move and ensure that Shell does not explore oil in Ogoniland again. Recent revelations have further proved the company's culpability in human rights abuses in Nigeria. When government made the announcement two years ago that NPDC will take over Shell operatorship in our land, we said no to it. Again we are saying no to any such move by Shell to re-enter our community under any disguise," one of the Ogoni elders, who asked not to be named, told THISDAY.
Another Ogoni elder said it would be unfair for government to appoint an operator for the blocks without the input of the Ogoni people who are stakeholders.
He said tempers were still high and that any such move might result in "even worse crisis in the area".
"Shell is only changing face or name to NNPC/NPDC. This is unacceptable to Ogonis. The people reject such tricks in its entirety, as there is no difference between Shell and NNPC or NPDC. They both run a joint venture, which makes NNPC a suspect," declared another Ogoni indigene in an e-mailed message.
MOSOP had been at the forefront of the campaign against Shell's continued production in Ogoniland on the allegation that the royal Dutch company failed to pay compensation for damages done to their environment as a result of exploration activities.
The violence, which erupted in 1993, resulted in the murder of four prominent Ogoni leaders in 1994.
Saro-Wiwa, then MOSOP president and eight others, were accused of instigating the murder, tried by a military tribunal, found guilty and hanged on November 10, 1995.
But compelling new evidence published by the Independent on Sunday alleged that the military killed the four Ogoni elders whose murders led to the execution of the Ogoni Nine.
It was also alleged that Shell provided funds and the vehicle driven by military commander, Lt-Col. Paul Okuntimo, whose troops were implicated in the murder and rape.
Sequel to these startling revelations, the Ogoni people said they would use their last blood to fight against Shell as well as any attempt it makes to re-enter their community.
The killing of the Ogonis had compounded Shell's sour relationship with the community, forcing it to abandon its 30 highly prolific oil wells in the area about 17 years ago.
However, on June 4, 2008, the Federal Government announced that oil fields abandoned by Shell in Ogoniland 15 years ago would be handed over to another operator.
Justifying government's decision to withdraw Shell's operatorship in the troubled area, the late President Umaru Musa Yar'Adua explained that since there was a total loss of confidence between the Ogoni people and Shell, government reasoned that the best solution was to allow an operator acceptable to them (Ogonis) to take over exploration activities in the area.
The pronouncement had pitched Shell against the Federal Government, with the oil giant insisting that it would not hands off those blocks to any operator, other than a Joint Venture partner.
Shell had faulted government's decision and resisted initial plans to hand over the control of the Nigerian oil fields to Chinese oil companies.
However, after intense lobbying by the oil major, government named the NPDC as the operator of the Ogoni oil blocks, a development, which received the commendation of the Shell Managing Director, Mr. Mutiu Sunmonu, who said the company would continue to be a shareholder in the Ogoniland operations even though NNPC will become the operator.
THISDAY investigations revealed that Shell and the NPDC are close to signing an agreement on the operatorship of the fields, with a production capacity of approximately 50,000 barrels of oil per day.
The partnership, according to sources, would see Shell hand over the operatorship of the fields to NPDC while it holds forth for the interest of the NNPC in the fields. Government's decision to resume production from the abandoned wells was aimed at growing the country's reserve base.
The Managing Director of NPDC, Mr. Abbiye Mambere, disclosed recently that Shell and NPDC would soon conclude negotiations for the oil fields, adding that getting the fields operational was part of the growth plan of the company.
He said that NPDC would take over the operations of the oil fields as it planned to hit 500 million barrels in reserves in the near future.
"By 2015, the company is expected to hit 750 million barrels of reserves. By 2011, more sophisticated technological equipment would be deployed for acquisition of seismic data," Mambere said.
Meanwhile, in the statement by the National Union of Ogoni Students, entitled "Ogoni Allegations Against the Nigerian Government and Shell", a copy of which was made available to the newspaper, it warned against using the security forces to terrorise the people of Ogoni in order to start oil production.
"We also discovered that the Rivers State government, NPDC, Shell and the federal authority are making another calculated attempt to start oil production in Ogoni without meeting the demands of the people as stated in the Ogoni Bill of Rights (OBR). They planned to do this through the use of the already established security task forces (Abacha style) coupled with some help from the deceptive works of the UNEP. We strongly advise the Rivers State government to stop using the state security task force to terrorise the people of Ogoni in order to start oil production.
"We abhor a repeat of state and corporate sponsored violence that characterized the 1990s which was used by the Nigerian government as a pretext to kill prominent Ogoni leaders and over 4000 Ogoni indigenes for demanding their rights. Ogoni students viewed these secret attacks as a sponsored activity by Shell Oil and the authority to resume oil operations in Yorla Oil Fields. We shall be forced to take civilized actions against Shell and all those behind these constant threats to the peace of Ogoni," the statement said.
Reacting to comments by the Ogoni elders, a Shell source, who craved anonymity, said the decision to appoint the NPDC to operate the blocks was acceptable by the Shell management.
According to him, the NPDC is now the operator of the blocks and not Shell and so it is the NPDC that they should attack and not Shell."So let the NPDC speak for itself," he said. Source: This Day, 20th December 2010.
'Lack of Environmental Laws Aids Oil Pollution'
Shola O'Neil, Warri
A FORMER Delta State Commissioner for Information, Chief Judith Enamuotor, has lamented the absence of strict and enforceable legislation on crude oil pollution and environment impact assessment, particularly in the delta region.
Enamuotor, who is aspiring to represent Ethiope Federal Constituency in the House of Representatives, said the absence of such laws is enabling oil companies and other polluters to get away with activities that are inimical to the ecology of the areas.
Speaking in an interview with our correspondent, she said, "Right now there are a lot of oil exploration activities going on in my constituency and nobody is talking about Environmental Impact Assessment. EIA is not being done in my constituency and there are a lot of environmental pollution going on and surprising nobody is doing anything about."
As a result, the PDP stalwart vowed to pursue stricter environmental laws if elected to NASS, stressing, "If I am elected to represent my people that would be a major issue for me to ensure that enabling laws are passed to take care of the environment. Things cannot be allowed to continue the way they are right now, we must refocus and consider the impact of oil exploration on our environment."
Nevertheless, Enamuotor commended the state governor, Dr. Emmanuel Uduaghan for his developmental stride stressing that those criticizing him were doing so without going into details of what he had done.
She appealed to the people of the state to give the going time for his plans and initiatives for growth to fully materialize. She said most of Uduaghan's activities are long term projects that would put the state in its proper development footing.
"He has embarked on very many mega projects like the Asaba Airport for example, that is a very big project, which involves a lot of money. He is also going into the IPP, which is located in Ethiope West, my constituency. Yes, a lot of work has been done (on the IPP) but nothing has been done on ground, but that is the nature of the project. A lot engineering works have been done, not until people see something on the ground they won't say that something has been done.
"In terms of roads, a lot has been done, a lot of dualisation works on the major roads in Asaba, dualisation of Asaba-Ughelli among others. Look at the Ode-Itsekiri road, once that is completed that area would be open up and Warri and environs would be decongested," she added. Source: The Nation, 11th September 2010.
PIB'll Address Oil Spills, Says Minister
By Chika Amanze-Nwachuku and Ejiofor Alike
The Petroleum Industry Bill (PIB), an amalgamation of over 16 existing laws covering the entire oil and gas sector in Nigeria, contains stringent guidelines that will protect the environment from oil spills and other forms of degradation, when passed
into law by the National Assembly.
Minister of Petroleum, Mrs. Diezani Alison-Madueke stated this yesterday at a CNN programme monitored by THISDAY in Lagos.
Speaking as a guest on CNN Business Quest anchored by Richard Quest, the minister refuted claims by environmental groups that there is more oil spills each year in the Niger Delta than in the Gulf of Mexico.
She however acknowledged that about nine million barrels of oil may have been spilled in the Niger Delta but pointed out that the spills dated back to 1938 when oil exploration and production started in the country.
Alison-Madueke, who attributed the spills to piracy and misapplication of the country's laws, assured that the country has put in place strict guidelines to address the situation.
"We have seen so many pirates. The militancy in the Niger Delta obviously created problems. There was piracy in terms of bunkering but there may have been some misapplication of laws over the years. This as we see now, has become a thing of the past because we are implementing extremely stringent laws, processes and procedures and to ensure that environmental degradation is addressed in time and is effectively remediated," she said.
The Minister assured that the PIB, which she said would be passed in the next four to five weeks, with the assistance of the members of the National Assembly will address not only the issue of environmental degradation but also ensure greater equity and participation of the Niger Delta communities in the oil and gas sector.
She noted that the inability of the country to refine enough petrol for domestic consumption was a huge problem, pointing out however that planned implementation of deregulation in the next 12 to 16 months would boost investment in new refineries and rehabilitation of the existing ones. Source: This Day, 30th July 2010.
Govt May Pay N90b Yearly to Oil Communities

FROM OBIORA ADUBA AND COLLINS OLAYINKA (ABUJA)
GOOD times await the oil-producing communities as the Federal Government is working out a package that may give a yearly N90 billion dividends to them. The succour for the communities will however wait for the passage of the Petroleum Industry Bill (PIB).
The incentive is part of the new efforts to stem any form of militancy in the Niger Delta area. Yesterday, the government said the money would come in the form of 10 per cent equity participation and one per cent of the total asset value in the oil-producing communities and other directly impacted areas respectively is established in the PIB to protect oil and gas facilities located in the region.
In her presentation at the on-going Nigeria Oil and Gas Conference 2011 (NOG11) in Abuja, the Minister of Petroleum Resources, Deziani Allison-Madueke, stated that the government remained committed to ensuring lasting peace in the Niger Delta and that the dividends would be in the form of direct payments to the host communities.
Also at the event, Senior Special Adviser to the President on Energy, Dr. Emmanuel Egbogah said: "Direct payments of dividends to oil producing communities will be established to address the Niger Delta crisis. Over $600 million (N90 billion) is estimated as yearly dividend payments to the communities hosting oil and gas facilities or directly impacted by the operation."
Allison-Madueke, who also spoke on behalf of Egbogah, added that the lull in violence in the Niger Delta had led to an increase in crude oil reserves from the current level of 37.2 billion barrels to 40 billion barrels.
She assures Nigeria's foreign oil partners that the PIB is designed to transform the country's oil sector, tackle regulatory and operational challenges and provide "robust transparency framework" in line with global practices.
The minister said Nigeria was not unmindful of the delay the passage of the bill had on investment decisions, but said the law would soon be passed.
Egbogah, had also in a separate session declared that the 10 per cent equity participation as well as the one per cent total asset value dividends would be administered based on a trust mechanism to ensure that the benefits were equitably conveyed to the impacted communities.
He said the expected yearly dividend payment is different from the 10 per cent derivation fund that currently accrues to oil producing states.
According to him, the total compensation sum is a summation of the value of the assets and expected revenue from the industry when the PIB becomes a law.
He urged participants to interact and proffer solution on ways to better develop the sector. In line with its aspiration to increase oil and gas reserves to establish a sustainable fiscal framework, the Federal Government has restated its commitment to grow and maintain reserves to 40 billion barrels through the period to 2020.
The minister said to entrench transparency and accountability in the energy sector, critical institutional reforms were ongoing while emphasis was being placed on the rapid delivery of domestic gas infrastructure, which are crucial to the nation's quest for full utilisation of its huge gas potential.
She said it was imperative for the administration to bring to fruition, the industry reforms that have been identified as necessary for the efficient and sustainable development of resources for the benefits of the nation and other stakeholders. Source: The Guardian, 23rd February 2011.
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 Oil Spill: We've Failed, Says Shell
By Chika Amanze-Nwachuku with agency report
For the first time, oil giant Shell yesterday admitted that oil companies are not doing enough to deal with oil spills in their areas of operation.
The company also said it was not ignorant of its obligation under the Nigerian law to clean up oil spills, but that it would not jeopardise the safety of its staff because of the law.
Speaking at the Fortune Global Forum in Cape Town, South Africa, Chief Executive Officer of Shell, Peter
Voser, said oil industries must come together to be better prepared in the future to deal with spills.
The Shell boss who was responding to criticisms raised at the Global Forum that Shell and other oil majors were not doing enough to clean up oil spills in Nigeria, said the complex situation in the country makes it difficult for the company to properly deal with it.
"We can contribute in the best way actually by doing our job properly (and) generate revenues for the government, but that has been quite problematic over the last few years because of sabotage and violence (targeting oil companies)," Reuters quoted Voser as saying.
According to him, "Shell was obliged under Nigerian law to clean up oil spills but would not jeopardise staff safety to accomplish this. I will not send people in if they are under threat."
Voser said that last year alone, 98 percent of Shell's oil spills in the Niger Delta region, were caused by
sabotage and or theft.
Oil spills have been left for decades in the Niger Delta, polluting the air, soil and water of impoverished communities.
This was the case even before the problems of sabotage and kidnapping in the region.
In fact, years of neglect led to these vices, because communities felt that was the way to protest injustice.
No one knows for sure how much oil has seeped into the rivers and creeks of the Niger Delta, but the report said environmentalists opined that the impact over time in one of the world's largest wetlands is much worse than in the United States.
He however said Shell will continue its deep-water drilling to meet rising global oil demand despite safety concerns following rival BP's Gulf of Mexico blowout.
"Given the rise in the population and rise in developing world of energy needs, we will have to develop those
resources in deep waters as well, so my expectation is that we will go forward with it, but it will need some changes," Voser said.
"We would not have drilled the well in the same way. We have got other safety procedures across the globe. But I think for some companies there will be some learning from this as well," he said.
"If I look at what (US Interior Secretary Kenneth) Salazar is now proposing to change in terms of regulations in the United States, I can say this is pretty much in line with our global (safety) standards," said Voser. Source: This Day, 29th June 2010.
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New Compensation Policy on Oil Spill Coming
Olufemi Adeosun
THE Federal Government has hinted of its preparedness to initiate a new policy for dealing with compensation claims to
communities and individuals involved in oil spill incidents.
Speaking while playing host to the management of National Emergency Management Agency, (NEMA), the Acting Director-General of the National Oil Spill Detection and Response Agency (NOSDRA), Mrs Uche Okwechime, said the existing compensation scheme could no longer assuage the damage suffered by the oil communities in the Niger Delta.
The agency announced that the country has recorded about 3,000 oil spillages in the last four years.
According to her, the agency in partnership with the United Nations Development Programme (UNDP) is working on a new template which will address spillage in a holistically to the satisfaction of the affected communities.
She said: "By the Act establishing the agency, NOSDRA is supposed to take damage assessment of any oil imparted sites and by that extension we try to do so. At the moment, we are working in collaboration with the UNDP to come up with the guidelines on remediation or damage assessment.
"Besides, the agency is working in partnership with the UN agency to draw up a compensation rate."
Faulting the present arrangement, she further said: "What we have at the moment is not acceptable to the communities. So, we are trying to develop an acceptable rate and in that, we are working with the Department of Petroleum Resources (DPR) and all other stakeholders to reach an agreement on an acceptable rate. Any moment from now, we are going to subject the draft proposal for new compensation rates to stakeholders' consideration."
The Director-General said NOSDRA has been very proactive in engaging oil companies and trying to get them to respond promptly to incidences of oil spill in the country, stressing that the companies have realised the need to collaborate with the agency in dealing with oil spill.
The Director of Oil Spill Detection and Response, Mr Idris Musa, while providing further explanation on the role of the agency, noted that Act of NOSDRA covers all oil spills sites that had occurred in the country, irrespective of volume and that these are usually reported and investigated.
He said most of the 3,000 oil spills so far recorded in the last four years are not as massive as would generate serious environmental concern.
"The number that make up the 3,000 oil spills is not all that large oil spills. I can tell you from the records some of these spills are just about 0.01 per cent of a barrel of crude oil and those that are of substantial volumes are usually cleaned up as soon as they are reported," he said.
The Acting Director-General of NEMA, Dr Charles Agbo, described NOSDRA as one of the critical stakeholders in the Federal Government's disaster intervention scheme.
He said both agencies' role in disaster management are complementary. He explained that while NOSDRA relies on NEMA to provide relief materials and succour for the victims of oil spill incidents, remediation and compensation are within the purview of NOSDRA. Source: The Nation, 26th July 2010.
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