Community Seeks Intervention over Chevron’s Alleged Exclusion from Trust Fund

* Threatens legal action 

Alex Enumah in Abuja 

An oil-producing community in Delta State has appealed to the Federal Government to prevail on oil giant, Chevron Nigeria Limited (CNL), to include the community in its planned Host Community Development Trust Fund (HCDTF).

The community, Aja-Omaetan in Warri North Local Government Area of Delta State, specifically called on the uthorities of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to intervene in its interest.

A senior lawyer and Professor of Law, Yemi Akinseye-George (SAN), who made the appeal on behalf of the community, observed that the intervention by the two agencies would go a long way in preventing possible crisis that may arise over the exclusion of the Aja-Omaetan community from the scheme.

Akinseye-George, in protest letters and pre-action notices, alleged that Chevron plans to exclude it from the list of beneficiaries of the planned trust fund owing to past disputes over oil spillages.

While arguing that NMDPRA and NUPRC, as regulators, have the duty to ensure that operators in the oil industry comply with the provisions of the Petroleum Industry Act (PIA), the Aja-Omaetan community has threatened to sue should both agencies fail to prevail on Chevron.

One of the letters read: “Our client is one of the communities accommodating the Crude Oil and Gas Pipelines of Chevron Nigeria Limited in Dibi field, Warri North Local Government Area of Delta State and has been host to Chevron Nigeria Limited facilities for years without any benefits from Chevron Nigeria Limited. 

“On July 14, 2011 our client obtained a judgment from the Delta State High Court in Suit No: W/105/2010 (copy herewith attached) against the Governor of Delta State, Delta State Oil Producing Areas Development Commission (DESOPADEC) and one other, wherein the status of Aja-Omaetan Community as an oil producing community was firmly established beyond any equivocation. 

“The Delta State Government and the Delta State Oil Producing Areas Development Commission (DESOPADEC) among others, have since complied with the court order/judgment by recognizing and according our client all privileges and rights as an oil producing community. 

“Our client is aware that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Chevron Nigeria Limited are currently at the verge of establishing the ‘Warri Kingdom Onshore Host Communities Development Trust’ as required under the Petroleum Industry Act No. 6, 2021. 

“However, our client’s findings show that it has been maliciously excluded from the list of qualified and entitled communities in Dibi Field in an attempt to punish her (because our client took Chevron Nigeria Limited to court over crude oil spillages. 

“Our client has written to Chevron Nigeria Limited to no avail, hence this complaint to the Authority (NMDPRA).

“We are by this letter requesting that you use your good offices to intervene in this matter by directing that our client be included as a host community in the proposed ‘Warri Kingdom Onshore Host Communities Development Trust’ as provided under the relevant sections of the Petroleum Industry Act No. 6 of 2021 and the relevant Host Communities Development Trust template. 

“Take notice that our client intends to commence a legal action against the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Chevron Nigeria Limited and any other relevant agency in the event that the Authority fails to act on this letter.”

The community has also written the Registrar of the Corporate Affairs Commission (CAC) to place a caveat on the registration of the “Warri Kingdom Onshore Host Communities Development Trust” until all issues surrounding the planned registration is sorted out.