10th April, 2016
The Niger Delta Development Commission (NDDC) has applauded the National Assembly Joint Committee on NDDC for compelling oil firms operating in the area to comply with their remittances to the commission as stipulated in the NDDC Act.
Its acting Managing Director, Mrs. Ibim Semenitari, gave the commendation when she featured on NAN Forum in Abuja on Sunday.
Oil firms operating onshore and offshore, and gas processing companies operating in the Niger Delta region are required to contribute three per cent of their annual budget estimates to the NDDC for the development of the region.
“I must commend the Senate committee on the Niger Delta and the House committee on NDDC.
“The Senate came on oversight and of course, knocked us where it should, which was very nice; but they also understood our problem and said they would invite the oil companies, who are supposed to be providing three per cent of their annual budget.
“They also said that they would find out what they owed us and persuade and compel them to understand that because it is a lawful thing, they need to comply with it.
“There was a joint hearing of the Senate and the House committees and it was a friendly meeting because all the oil companies that were there all committed to meeting their obligations to us.
“And they said we would sit down and work out the terms and conditions.
“There wasn’t one of them, who said they would not pay.”
The NDDC chief said the companies had rebuffed several attempts to provide copies of their budgets for accurate determination of the actual remittances.
NAN recalls that the Chairman, Senate Committee on Niger Delta, Senator Peter Nwaboshi, told erring oil companies to begin immediate payment of the statutory three per cent budget remittance to the commission.
20 oil companies out of the 31 invited by the joint committee on NDDC to an interactive session aimed at reconciling the accounts for the three per cent development tax had refused to attend a meeting it summoned.
The joint committee then said it was unacceptable for the oil firms to continue to flout the law.
The Chairman of the committee, Peter Nwobochi, frowned at the development, describing it as a disrespect to the parliament.
“These companies that have refused to come here would be given one more chance.
“The secretariat is directed to do a strongly worded letter to them. I hope they would not make us exercise our constitutional right.”