Communities in Isoko land are on the verge of shutting down oil operations due to decades of neglect by oil companies operating in the area.
This was contained in a statement jointly signed by Erere Okpako and Angela Akpofa, For: Isoko Grassroot Mobilizers.
Stakeholders are particularly disturbed that nearly two years after the inauguration of the AIO Host Community Development Trust (HCDT), as mandated by the Petroleum Industry Act (PIA) of 2021, no funds have been released for development.
The PIA stipulates that oil companies should channel 3% of their Operating Expenditure (OPEX) to the HCDTs for community development. However, even the 5% administrative budget has not been released, hindering the HCDT’s operations.
The communities are visibly agitated, calling for a review of their relationship with oil companies, particularly the Nigerian National Petroleum Company Exploration and Productions Limited (NEPL) and Sterling Global.
The AIO HCDT has been operating without necessary resources, including office accommodation. Despite meetings with NEPL, progress has been slow, leading to frustration among community leaders. While NEPL has communicated approval of the 5% administrative budget, the funds have not been disbursed, further complicating the situation.
The Isoko stakeholders warn that the oil companies should not push their luck, as they will no longer be taken for granted. They urge the operators to expedite actions to avoid possible consequences, including a shutdown of operations. The stakeholders also call on government intervention to resolve the issue and prevent economic losses.