Close Menu
    Facebook X (Twitter) Instagram
    Facebook X (Twitter) Instagram
    SweetCrudeReportsSweetCrudeReports
    Subscribe
    • Home
    • Oil
    • Gas
    • Power
    • Solid Minerals
    • Labour
    • Financing
    • Freight
    • Community Development
    • E-Editions
    SweetCrudeReportsSweetCrudeReports
    Home » ‘13% oil derivation not trickling down to host communities’

    ‘13% oil derivation not trickling down to host communities’

    December 31, 2021
    Share
    Facebook Twitter LinkedIn WhatsApp
    *Oil spill from Chevron facility ravages rivers and streams in Gbaramaturu community.

    Mkpoikana Udoma

    Port Harcourt — The 13percent oil derivation paid to state governments of oil producing states by the federal government, does not trickle down to the oil and gas host communities, bearing the brunt of oil and gas exploration activities, a stakeholder has said.

    To this end, host communities will continue to carryout protests against oil firms, because the local, state and Federal Governments have abandoned the oil and gas producing communities, despite sourcing their major revenue from crude oil.

    Speaking, a stakeholder and environmental rights campaigner, Mr. Morris Alagoa said the those receiving the 13 percent oil derivation on behalf of the host communities, are culpable in alienating the communities.

    Alagoa who is the Project Officer and Head Niger Delta Resource Centre, ERA, said there should be community budgeting where stakeholders can incorporate their priority needs into states and local governments budgets.

    He recalled the protest carried out in Biseni clan in Yenagoa LGA some time ago, where the clan plays hosts to several oil wells and facilities operated by Shell and Agip but lacks basic amenities and infrastructural development.

    “Government presence is a far cry in most oil producing clans and communities.

    “And, unfortunately, even the 13percent derivation meant for such communities is denied the communities and people. Those receiving the 13% derivation in the Niger Delta (oil producing states) on behalf of the oil producing communities; are roundly culpable.

    “Our State Government will do better if the concept of community budgeting is enlivened, involving communities as critical stakeholders and incorporating their priority needs into state and local government annual budgets.

    “A scenario whereby communities see no government project even in four years is unacceptable. Building of things like Headmasters quarters in communities is not a priority need, though needful in the education section.

    “Government should provide basic modern amenities like electricity, portable water, functional health facilities, good transport system, functional education, taking care of environmental challenges like sand filling and pilling of shorelines, etc, etc even if this means to collaborate with Federal Government interventionist agencies.”

    Alagoa further explained that pointing at the federal government was not enough, but the state and local government should be held accountable for the lack of development of oil producing communities.

    “Let us tell ourselves the truth, pointing at the Federal Government and leaving our local and state governments out of the equation tantamount not only to a disservice to our people, but it reeks of hypocrisy.

    “One doesn’t have to come from any of these communities before recognizing their plight and the great social injustice they suffer from our own politicians; fellow Ijaws, not Igbo, Hausa folks or Yoruba.”

    Related News

    Investigate $300m Ogoni fund looted after NNPCL release

    HYPREP marks WED with youth-led campaign against plastic pollution in Ogoni

    Rivers community seeks government intervention over alleged armed invasion by hoodlums

    Comments are closed.

    E-book
    Resilience Exhibition

    Latest News

    Crude climbs on US jobs report, China talks

    June 6, 2025

    Be deliberate in securing govt facilities in your communities – IBAS

    June 6, 2025

    UAE’s power capacity to reach 79.1GW in 2035

    June 6, 2025

    Gold steady near week high as markets brace for key US jobs data

    June 6, 2025

    Nigeria’s renewable power capacity to reach 1.7GW in 2035

    June 6, 2025
    Demo
    Facebook X (Twitter) Instagram
    • Opec Daily Basket
    • Oil
    • Power
    • Gas
    • Freight
    • Financing
    • Labour
    • Technology
    • Solid Mineral
    • Conferences/Seminars
    • Community Development
    • Nigerian Content Initiative
    • Niger-Delta Question
    • Insurance
    • Other News
    • Focus
    • Feedback
    • Hanging Out With Markson

    Subscribe for Updates

    Get the latest energy news from Sweetcrudereports.

    Please wait...
    Please enter all required fields Click to hide
    Correct invalid entries Click to hide
    © 2025 Sweetcrudereports.
    • About Us
    • Advertise with us
    • Privacy Policy

    Type above and press Enter to search. Press Esc to cancel.