By Igbotako Nowinta, Alltimepost.com Nigeria Bureau Chief
Nigeria’s Senator representing Edo South Senatorial District in the National Assembly, Matthew Urhoghide, has vehemently denied the allegation that he and his colleagues from southern Nigeria betrayed their people when they voted to pass the controversial Petroleum Industrial Bill which allocated a paltry 3% derivation to oil host communities.
Urhoghide gave his reaction, when a group, known as New Nigeria Initiative (NNI) recently visited him in in his Benin City, Edo State official residence, to demand an explanation on how the Senate arrived at 3% for the host communities in Nigeria.
Uroghide, who commended his visitors, for being the first and only group that had taken the pains to show concern practically, defended himself and his colleagues against the allegation of betrayal.
“We did not betray the host communities, when we passed the Petroleum Industry Bill. For me the host communities is the most relevant aspect of the whole process, because without them there will be no oil to be explored or marketed.
“The international oil marketers are there, the Nigerian oil marketers are there, while the Federal Government is equally there. And the oil market is very competitive. The issue of 3 percent and 5 percent has to do with the consideration given to the investors in this industry.”
According to him, as it is today, many investors are not interested in investing in Nigeria because of high operational cost, adding that 10 percent is impracticable at the moment.
The PIB, he said, does not entertain equity shareholding for the host communities.
“Rather it has provisions for percentage of annual operational cost of the oil companies to which the Senate passed three percent and the House of Representatives passed five percent.
He further stated that “the so called Frontier Exploration” is not to benefit the Northerners alone, but that is for every sector in Nigeria.
“In fact, here in Edo State, there are exploration sites that constitute Frontier Exploration.”
“There was heavy political pressure too from northern senators, who eventually used their majority plank to squeeze the 5% originally meant for the host communities to 3% in the Senate.”
Uwadiae Odigie, the Chairman of the New Nigeria Initiative (NNI), who led the delegation, had earlier in his address said: “We came here because we were really worried and disturbed about what happened concerning the PIB. How did the Senate arrive at 3% for host communities?”
“Is it that the Northerners are always smarter than the Southerners on issues that border on fundamental economic cum development in Nigeria?
“It is very important that our people know what happened.”
Other members of NNI, who were part of the delegation include Comrade Igbotako Nowinta, (Secretary); Henry Omagbon, Starlin Ogbewe, David Imayeguahi and Mallam Nurudeen Asunogie.
The NNI is made up of distinguished professionals, who have demonstrated competence in their different professional callings; and its members are drawn from Nigeria and across the diaspora.
It would be recalled that the recently passed Petroleum Industry Bill (PIB) by the Senate of the Federal Republic of Nigeria, has generated a lot of controversies, with many Southerners believing that the Senators from the zone, sold out to their Northern counterparts when they voted for a bill that allows only 3% derivation for oil host communities, as against 10% being demanded by stakeholders, including rights activists.
