By Karen James
In a bid to ensure the welfare of host communities, the Anambra State House of Assembly has summoned the administrative and management officers of Steering Oil Exploration and Energy Production Company (SEEPCO), along with other oil and gas exploration companies, to present detailed documents regarding their business operations within the state. The summons, issued by the Speaker, Right Honourable Somtochukwu Udeze, comes amid concerns over host community development, corporate social responsibility (CSR) projects, decommissioning plans, tax records, and other related documents.
SEEPCO was specifically directed to provide evidence of the establishment of a Host Communities Development Trust in compliance with the Petroleum Industry Act (PIA) of 2021. The Assembly also demanded proof that three percent of the company’s annual budget had been paid for the years 2022, 2023, and 2024, as well as documents detailing the projects executed as part of their CSR initiatives. Other requested documents include a needs assessment of the host communities, an environmental impact assessment, and a plan for natural gas flare elimination and monetization.
Additionally, the Assembly requested that SEEPCO present its decommissioning and abandonment plans, evidence of output metering for daily oil and gas production, a list of employees from Anambra State, and proof of tax payments since the company’s inception.
The Speaker, Right Honourable Udeze, emphasized that the appearance of SEEPCO before the Assembly is driven by concerns over insecurity in the host communities, environmental degradation, complaints from the communities, and the need to ensure that Anambra State benefits from the company’s operations.
The Chairman of the House Committee on Petroleum and Mineral Resources, Honourable Chidiebele Ibemeka, emphasized the importance of giving the people of Anambra a sense of belonging regarding the mineral resources being explored in their land. He also stressed the need to protect the interests of the host communities and the state government, where revenue may be compromised.
In response to the allegations, the General Manager of Community Relations and Security at SEEPCO, Mr. Austin Atuonah, refuted some of the claims, highlighting the company’s significant contributions to its host communities. He mentioned road constructions, water projects, scholarships, health center renovations, and contracts awarded to local families.
Furthermore, the Assembly summoned other oil and gas exploration companies, including Sahara Energy Resources, Orient Petroleum Resources, and Cotton Wooden Gas Limited, along with the Commissioner of the Nigerian Upstream Petroleum Regulatory Commission, to appear before the House on the same date: September 17, 2024.
This inquiry aims to ensure that companies operating in Anambra State fulfill their responsibilities to the host communities, contribute to local development, and adhere to environmental regulations. The outcome of the inquiry will determine the future course of action to promote transparency and accountability within the oil and gas sector in Anambra State.
