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Landowners call for sharing formula on petroleum fund


WARRI — Association of Families of Oil and Gas Producing Communities, ASFOGAPCOM, in Niger-Delta, has called on the National Assembly to put in place, an appropriate sharing formula to determine what percentage of the 10 per cent Petroleum Host Communities, PHC, fund that will go to oil and gas land owners in the proposed Petroleum Industry Bill, PIB.

ASFOGAPCOM in a memorandum to the Joint Senate Committee on PIB, by its President, Mr. Joseph Abinogun, said a distinct sharing formula was necessary to avoid clash of interests and crisis in the future.

The group said that there was a clear need to recognise and integrate oil and gas landowners as a separate interest group from the “nebulous” host communities in the proposed PIB because the two were not the same.

The land owners also called for an unambiguous definition of the term, ‘host communities’ in the Petroleum Host Communities Fund Management, as distinct from the political structure of that community, which has nothing to do with ASFOGAPCOM.

According to it, “administration and management of the Petroleum Host Communities Fund should include landowners, as no one can provide better security to oil facilities more than the land owners.

“Oil and Gas Landowners PHC Fund Management Board should be set up to enable oil and gas landowners manage their own affairs,” it said.

ASFOGAPCOM also urged the senate to enact an enabling law to restrain community leaders from interfering with oil and gas landowners’ interests.


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