The Federal Government has directed Chevron Nigeria Limited to address the ongoing conflicts between the oil company and communities within its Warri exploration and production area in Delta State.
These disputes primarily concern the structure and designation of the Host Communities Trust Fund.
Individuals from these communities staged a protest in the Escravos Terminal area, accusing Chevron of violating the provisions outlined in the Petroleum Industry Act (2021)
The Warri exploration and production area in Delta State has been a focal point for both oil extraction and community grievances. Recent protests staged by individuals from these communities at the Escravos Terminal area indicate deep-seated concerns and dissatisfaction with Chevron Nigeria Limited. The nature of the conflict revolves around allegations that the oil company violated provisions outlined in the newly enacted Petroleum Industry Act (2021).
The communities surrounding Chevron’s operations have voiced a range of grievances, including environmental concerns, inadequate compensation for land use, and accusations of neglect by the oil company. These grievances echo broader issues faced by many communities in oil-producing regions, where the exploitation of natural resources often leads to environmental degradation and socio-economic challenges.
The escalation of the conflict manifested in a protest staged by individuals from these communities at the Escravos Terminal area. The protesters accused Chevron of disregarding the Petroleum Industry Act (2021) and failing to address the pressing issues affecting the communities. The protest serves as a visible manifestation of the frustration and discontent prevalent among the local population.
Acknowledging the severity of the situation, the Federal Government has directed Chevron Nigeria Limited to take immediate action to resolve the disputes with the host communities. This intervention underscores the government’s commitment to maintaining peace and harmony in regions vital to the nation’s oil production.
The allegations against Chevron specifically point to violations of the Petroleum Industry Act (2021). Understanding the provisions of this legislation and ensuring compliance is essential for the oil industry’s sustainable and responsible operation. The government’s directive to Chevron emphasizes the importance of adhering to the newly established legal framework.
Furthermore, the government has urged both parties involved to maintain peace while the matter is being resolved, emphasizing its commitment to ensuring prompt and appropriate actions are taken.
The disagreement between Chevron and the Ugbororo, Ugbegugun, and Dembele communities in Warri South Local Government revolves around the nomenclature of the host community trust fund established for these communities and the configuration of its Board of Trustees.
Allegedly, individuals from these communities staged a protest in the Escravos Terminal area, accusing Chevron of violating the provisions outlined in the Petroleum Industry Act (2021).
At a meeting with the feuding parties at the Abuja headquarters of the Nigerian Upstream Petroleum Regulatory Commission, the Chief Executive of NUPRC, Gbenga Komolafe, directed the oil firm to resolve the matter in two weeks, according to a statement issued by the agency on Wednesday.
The statement read in part, “Having listened to the submissions of the parties, Komolafe issued a regulatory position and directed Chevron on the resolution of the matter, which must be implemented within two weeks. He emphasised that the law, which was very explicit on the matter in contention, must be obeyed by all the parties concerned.
“Among other directives, Komolafe called for the immediate convening of consultation meetings with the communities on the proper delineation and naming of the fund in compliance with the PIA and the re-composition of the Board of Trustees in line with an earlier directive of the commission.”
The commission stated that the process, which must be supervised by its Warri Regional Office, was expected to be finalised and the report sent to the NUPRC within two weeks.