Community threatens legal action over oil coy’s exclusion from trust fund
By Nosa Akenzua
Aja Omaetan, an oil-producing community situated in the Warri North Local Government Area of Delta State, has issued a strong warning to Chevron Nigeria Limited (CNL) regarding their exclusion from the oil company’s planned Host Community Development Trust Fund (HCDTF).
The community has expressed its intention to take legal action against Chevron if they are not included in the fund.
The community is, therefore, urging the Nigerian Midstream and Downstream Petroleum Regulatory Commission (NMDPRA) to use its authority to ensure Chevron’s compliance with the provisions of the Petroleum Industry Act (PIA) in this matter. The Public Relations Officer of the community, Professor Yemi Akinseye, conveyed this sentiment in a press statement. Additionally, the community has warned that if the NMDPRA and NUPRC (Nigerian Upstream and Downstream Petroleum Regulatory Commission) fail to persuade Chevron, they may also be included in the impending legal action against the company.
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In one of the letters sent, it is stated, “Our client is one of the communities accommodating Chevron Nigeria Limited’s crude oil and gas pipelines in the Dibi field, Warri North Local Government Area of Delta State. On July 14, 2011, our client obtained a judgment from the Delta High Court in Suit No W/105/2010 against the Governor of Delta State, Delta State Oil Producing Area Development Commission (DESOPADEC), and one other party. This judgment firmly established Aja Omaetan Community as an oil-producing community beyond any doubt. Since then, the Delta State Government and the Delta State Oil Producing Areas have complied with the court order and recognized our client’s privileges and rights as an oil-producing community.”
The community’s threat of legal action serves as a reminder of the significance of ensuring fair and just inclusion of host communities in oil industry development initiatives, as outlined in the Petroleum Industry Act. Chevron and regulatory bodies are expected to address these concerns to maintain transparency and compliance within the industry.
