A Review of the Nigerian Energy Industry

NPDC accused of trying to short-change communities

NPDC gas expansion27 May 2013, Warri – The Nigerian Petroleum Development Company, NPDC, a subsidiary of the Nigerian National Petroleum Corporation, NNPC, has been accused of attempt to shortchange its OML-34 host communities in Delta State.

Chairman, Federated Association of OML-34 Host Communities, Mr. Benjamin Ebita, who made the accusation, said the oil company was doing this by evading negotiations with the communities through their consultant, Kes Idogun Oil Fields Services Ltd.

He said the NPDC had rather been trying to negotiate directly with the communities in an attempt to exploit their ignorance to shortchange them.

Ebita spoke with journalists at the end of a meeting of the host communities at Otor-Udu, Udu Local Government Area of Delta State at the weekend.

Stressing that the communities would not succumb to such antics, he said: “Such timid dealings between oil exploration companies and uninformed community elders are responsible for the lack of commitment on the part of the oil companies to the development of the host communities as there are no tangible content in the ‘blind General Memorandum of Understanding, GMOU the people were cowed to sign.”

Ebita said the host communities were aware of “the ill-treatment meted on them in the past by Shell Petroleum Development Company, from which NDPC took over the oil fields”, adding: “This set of leaders have, therefore, deemed it necessary to hire the services of experienced hands in the oil and gas sector, to negotiate on their behalf.”

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