HOSTCOM National President, Benjamin Tamaramiebi, issued a clarion call to review the existing 3 per cent fee paid to host communities by oil companies, citing the present harsh economic realities.
The 3 per cent fee, stipulated in the Petroleum Industry Act (PIA) 2021, is intended to cover operating expenses and expenditures for the previous year.
Tamaramiebi commended the implementation of the PIA 2021 but disclosed the need for an upward review of the 3 per cent provision, which has become outdated.
He also urged non-compliant oil companies to immediately incorporate the Host Communities Development Trust Fund to maximize benefits.
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HOSTCOM aims to engage with the National Assembly to push for amendments to the PIA, addressing contentious areas and clauses, including Section 257, which penalizes communities for vandalism or sabotage, and Section 52, which establishes a Midstream and Downstream Gas Infrastructure Fund.
Tamaramiebi praised the Nigeria Upstream Petroleum Regulation Commission for promulgating the HOSTCOM Regulations, leading to improved production.
He also lauded Senator Heineken Lokpobiri, Minister of State for Petroleum Resources, for his competence and impact in the oil and gas sector.
Furthermore, Tamaramiebi condemned rumors about impeaching Senate President Godswill Akpabio, revealing HOSTCOM’s support for his leadership and the National Assembly.
He cited Akpabio’s achievements during his tenure as Akwa Ibom State governor and urged unity in protecting the interests of oil and gas-bearing communities.
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