Governor Douye Diri

FG Not Remitting Gas Flare Revenues to Oil Producing States ~ Diri


… as Bayelsa Oil Commission Winds Down

Governor of Bayelsa State, Senator Douye Diri, has bemoaned the failure of the Federal Government to remit to Niger Delta states revenues from gas flare fines and royalties paid by oil firms.

Governor Diri said the oil producing states and indeed the communities in the region that bear the brunt of gas flaring have been deprived of the revenue accruing to the Federal Government over the years.

He again lamented the situation where oil companies situate their administrative offices far from their operational bases and shortchanging states like Bayelsa of personal income and other taxes.

Senator Diri stated this on Monday during an expanded state executive council meeting during which the final report of the Bayelsa State Oil and Environment Commission (BSOEC) was presented in Government House, Yenagoa.

Commenting on the report titled: ‘An Environmental Genocide: Counting the Human and Environmental Cost of Oil in Bayelsa, Nigeria,’ he said the impact of oil pollution to both humans and the environment were alarming.

While formally dissolving the commission with effect from October 31, 2024, the Bayelsa helmsman said it was saddening to read that, “Bayelsa is estimated to have suffered over a quarter of total recorded instances of oil pollution in Nigeria.

“The staggering disparity underscores the inequitable distribution of environmental burdens. Bayelsa State bears 25% of Nigeria’s oil pollution. The sheer scale of devastation paints a dire picture, disconcertingly reminiscent of an environmental Armageddon.”

Governor Diri also stated that according to the report, “between 1970 and 2014, Nigeria earned an estimated trillion dollars in oil revenue, and since 2006, oil produced in Bayelsa generated over $150 billion for the Federal Government and billions for the international oil companies that operate its wells. On average, oil produced in Bayelsa is responsible for approximately $10 billion in government revenues per year.”

He noted that the state was encouraged by the revelation in the report that “in most advanced industrialised countries, two basic principles – ‘polluter pays’ and ‘no fault liability’ – form the cornerstone of the legal regime for regulating extractive industries. Taken together, they mean that those that own and operate facilities are responsible for the damage caused by their pollution even if they are not at fault.”

Describing the report as heartbreaking, he lamented that the magnitude of devastation across communities paints a grim picture of their survival.

Diri assured that a committee would be set up to look into the commission’s recommendations with a view to ensuring its implementation.

He re-echoed the commission’s recommendation of “concerted international action to generate and invest at least $12 billion over the course of 12 years to repair, remediate and restore the environmental and public health damage caused by oil and gas and to lay the foundations for Bayelsa’s just transition towards renewable energy and opportunities for alternative livelihoods” justifies our persistent claim for reparation.”

Diri commended his predecessor, Senator Seriake Dickson, for his vision in establishing the commission in March 2018 as well as its chairman, The Rt. Revd. and Rt. Hon. Lord John Tucker Mugabi Sentamu and his team for the exceptional work.

In his remarks, Dr John Sentamu, who is the former Archbishop of York, said the oil companies were negligent in their operations and called for the creation of an estimated $12 billion fund to support remediation efforts.

Also speaking, chairman of the Bayelsa State Traditional Rulers Council and Ibenanowei of Ekpetiama Kingdom, King Bubaraye Dakolo, who described the event as one of the greatest achievements in governance, said there was finally evidence to prove the devastation to both human and environmental health caused by oil and gas exploration and exploitation.

The monarch said Bayelsans were paying heavily for the enjoyment of the oil and gas resources by others outside the state and the region.

Other members of the commission present at the event included the Chair, BSOEC Expert Working Group and Director, Politics and Governance, Overseas Development Institute, United Kingdom, Dr Kathryn Nwajiakwu-Dahou, Head of the School of Law, University of Bradford, United Kingdom, Prof. Engobo Emeseh, Department of Environmental and Urban Change, York University, Canada, Prof. Anna Zalik, Professor Emeritus, University of California, Berkeley, California and Long Term Non-Resident Fellow, Swedish Collegium for Advanced Study, Uppsala, Sweden, Prof. Michael Watts, and Coordinator, Social Action International, Dr Isaac Asume Osuoka.

Also present were Harvir Kaur Sanga from the BSOEC Secretariat, Head of Business and Human Rights and Deputy Programme Director · Amnesty International, United Kingdom, Mr. Mark Dummet, Chairman, Human and Environment Development Agenda (HEDA), Olanrewaju Suraju as well as the Executive Director, Health of Mother Earth Foundation (HOMEF), Rev. Nnimmo Bassey, and environmental activist, Ms Annkio Briggs among others.

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