South-South senators, including the Deputy Senate President, Ovie Omo-Agege, on Wednesday, kicked against a bill by the Senate seeking the inclusion of Lagos, Ogun, Anambra and others as oil-producing states into the Niger Delta Development Commission (NDDC).
Under the NDDC Act, Akwa Ibom, Bayelsa, Cross River, Edo, Delta, Abia, Imo, Rivers, and Ondo are members of the intervention agency, which share the statutory 13 per cent derivation as oil mineral producers.
The consideration of the bill titled, “A Bill for an Act to amend the Niger Delta Development Commission (NDDC) Act No. 6, 2000 and for other matters connected therewith 2021.” was sponsored by Solomon Adeola (Lagos West District) and was passed for Second Reading by the Senate.
In his debate, Adeola had argued that Lagos, Bauchi, and Ogun have officially joined the league of oil-producing states, following the discovery of crude oil in Alkaleri, Badagry, Lagos, and Ipokia, respectively.”
“By virtue of this, the states are entitled to the 13 per cent derivation that is due to oil-producing states according to the provision of Section 162, Sub-Section 2 of the Nigerian Constitution.”
“The purpose of this bill is for the Act to make provision for new states who have joined the league of oil-producing states in Nigeria and for states that might eventually discover oil in the future as opposed to the present position of the Act, which only covers oil-producing states within the Niger Delta.”
“Furthermore, the inclusion of the new oil-producing states in the proposed law will save costs since it will follow precedence.”
“This amendment is to accord the same provisions of the law amongst other benefits accrued to oil-producing states in Nigeria to the new oil-producing states and future oil-producing states,” he added.
However, an objection was raised by Omo- Agege, Matthew Urhoghide and George Sekibo noting that the NDDC was created to address the environmental degradation caused by oil exploration in the Niger Delta region.
While describing Adeola as a ‘meddlesome interloper’, the Deputy Senate President advised him to sustain efforts to create the South West Development Commission”.
“We look forward to the day when indeed all states in Nigeria will not only produce oil but produce one form of mineral resource or the other.”
“What this lead debate clearly shows is that my colleague from Lagos is a classic meddlesome interloper. The NDDC is a regional development commission. We must draw a distinction between the NDDC and the oil and mineral producing commission,” he said.
The trio asked Adeola to pursue the establishment of a commission to address developmental issues in the South-West instead of seeking to insert Lagos and other states as members of NDDC.
According to Urhoghie, “I am not particularly against the sponsor of this bill. I just believe that the bill should be properly posited. Today, what each state gets from the 13 per cent derivation is a function of production.”
“Today, Gombe is fast becoming a host community, Bauchi and some other states. But to say these states belong to Niger Delta is not possible.”
“If the idea is you want to share out of the 13 per cent derivation, they are at will as long as they produce oil but to say they must belong to Niger Delta, it makes a mockery of the idea in the creation of NDDC.”
On his part, Sekibo stated, “I congratulate these states where my friend said they have discovered oil. What I don’t know is that whether the oil is in commercial quantity and they are exploring them for sale and the money going to Nigerian coffers. That one, he has not expatiated on that one.
“Are they exploring oil, are they refining oil in these places and has the oil caused any devastation in that environment? The purpose of the NDDC is not just because they found oil there; it is because the place has been so devastated, and there is a need to see how they can remedy the place and because that place is so backward.
“Each time there is a law to support a backward people, to support people who are suffering, Nigerians will come out after a couple of years to dampen the strength of that law.
“There is nothing wrong that they are given their 13 per cent derivation, that is, if funds from those oils are now in the US, they are exploring them, are they?”
