A Review of the Nigerian Energy Industry

Group kicka against 18% derivation

Brent oil14 July 2014, Port Harcourt – The South-South Ideological Forum, a socio-cultural group, has said it was opposed to18 per cent derivation allocation for oil producing states proposed by the National Conference.

The group’s position was contained in a communiqué issued to newsmen at the end of its meeting in Port Harcourt, Rivers.

Instead of 18 per cent, the group in the communiqué signed its President, Mr John Goodnews, said that affected states should be given 30 per cent.

It said that anything less than 30 per cent would not justify the level of oil and gas exploration being carried out in the Niger Delta states.

The group decried the continued ecological devastation of the area as a result of oil exploration, saying that the activities of oil companies had adversely affected agricultural activities in the region.

“We as a people cannot accept 18 per cent derivation; at least 30 per cent can be considered fair and just,” it said.

According to the group, as a result of explorations, our eco-system is endangered, our rivers are polluted, our occupations of fishing and farming, are also endangered.

It said that it was determined to ensure the prevalence of justice in the determination of a new derivation formula, insisting that 30 per cent for oil-producing states was non-negotiable.



In this article

Join the Conversation