A chieftain of the All Progressives Congress (APC) in Oyo State, Chief Taofeek Adegboyega Adegoke, has advised the National Assembly to harmonise grey areas embedded in the recently passed Petroleum Industry Bill (PIB).
Adegoke, who is the Ajia Balogun of Ibadanland, noted that the need to harmonise the grey areas was necessary in order to avoid unnecessary litigations after the bill has been assented to by the President.
Our correspondent recalls that both the Senate and the House of Representatives had earlier passed the PIB.
Nectes Gospel Media recalls that the House of Representatives approved 5% for host communities, while the Senate approved 3% for host communities.
Adegoke has however advised the Senate, House of Representatives and the executive arm of government to quickly use political solutions to resolve the pending issues in the Bill.
Adegoke, who spoke shortly after he received an award of excellence given to him by the Inner Wheel Club District 913-Nigeria during the investiture of IWM Ojoele-Ayoola Sherifat Bolatito as the 35th District Chairman, said that part of the grey areas to resolve is the 30% of the NNPC profit earmarked to be spent on frontier basin for oil and gas exploration.
Our correspondent reports that other awardees at the event attended by Deputy Governor of Oyo State, Engineer Rauf Olaniyan, and Barrister Sharafaden Alli included Senator Teslim Kolawole Folarin, who was represented by Barrister Lowo Obisesan, Chief Funso Omokurolue and Evangelist Toun Soetan.
Adegoke, while speaking disclosed that part of the grey areas that needed to be resolved before the PIB becomes law include 5% recommendation by the House of Representatives, 3% recommendation by the Senate to the host communities as well as the 30% of the NNPC profit to be spent on frontier basin for oil and gas exploration.
Adegoke, who is a Director of OES Energy Services Limited, while hailing the National Assembly for the passage of the Bill, described it as a welcome development.
He said, “First of all, it is a welcome development because we have been on it for several years, 17 years for that matter, but now we have been able to do something. I want to add that non-passing of the PIB has led to reduction in investment in the Oil & Gas sector in Nigeria.
“It is the same Oil and Gas globally, so if one country is not serious, you will take your money to other countries and that’s what has been happening in Nigeria. Now it is one step forward but there are lots of grey areas in the bill to be addressed.
“There is a need for the House of Representatives and the Senate to meet to harmonise some grey areas. The House of Representatives recommended 5% while the Senate recommended 3% allocation for the host communities.
“Another grey area is the recommendation of 30% profit of the NNPC to be spent on frontier basins, which are mainly in the Northern part of the country. This implies that 30% of the NNPC funds will be channelled into looking for oil and gas in those areas.
“To me it looks somehow in this era of borrowing from China, and that the little NNPC is making 30% of it they will be spending on oil & gas exploration we are not sure of, even if we get oil from those basins, it cannot be in commercial quantity.
“This money is supposed to be spent on infrastructure, supporting the Niger Delta where the oil is coming from. But all in all we need political solutions to all these grey areas.”