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Host Community Tranche Of PIB Scales Second Reading …Senate Adjourns To Sept 19
A Bill for an Act to provide a framework relating to petroleum producing host community’s participation, cost and benefit sharing among government, petroleum exploration companies and petroleum host communities, has passed second reading at the Senate.
The bill, which passed second reading following an unanimous adoption by the lawmakers through a voice vote at plenary, yesterday, was sponsored by Sen. Kabiru Marafa (Zamfara-APC) and members of the Joint Committee on Petroleum Resources.
The bill, which is one of the tranches of the Petroleum Industry Bill (PIB), scaled first reading on December 8, 2016.
Leading debate on the bill, Marafa said the bill was structured to bring direct funding for the development of host communities.
He said the bill recognised the pitfalls of past efforts and is structured to bring direct funding for the development of the petroleum host communities under the direction and control of the communities themselves.
According to him, when enacted into law the bill will create the much desired harmony and partnership among various stakeholders in the petroleum operation process.
He added that it would engender huge cost savings, extensive investment and overall transformations of the Nigeria oil and gas industry.
The lawmaker further said that the passage of the bill would help in curbing restiveness, by assuaging the fears of petroleum host communities and providing a veritable regime of compensation directly to the communities.
He noted that it would enable the host communities develop their local infrastructure, educate their people, access health care and earn a livelihood.
He added that the development would enable them cope with the devastated environment foisted on them by the poorly managed petroleum producing activities of the oil companies.
Marafa pointed out that the bill sought to establish a pool of funding for development of petroleum host communities and specifies the sources of this funding.
He maintained that the pool would be funded through a direct contribution from petroleum producing companies.
The senator also said that the bill defined petroleum host communities that would be beneficiaries of the fund.
According to him, the bill also provides reciprocal responsibilities on the part of communities by creating grounds for deductions for repair of any damaged oil facilities resulting from sabotage.
“The bill also sets out the requirements for account and audit of fund paid to petroleum host communities,
“Agitation for participation for host community in petroleum business and the conferment of financial and other benefits of the industry on such communities is as old as the petroleum industry in Nigeria.
“In fact this has been a critical issue of deliberation at several national forums and even here in the National Assembly.
“Over the years government has attempted to address this issue by providing forms of palliatives to the host communities but this has always fallen short of the expectations of the people in the manner in which it was conceived.
“This bill is presented in line with the perspective of this 8th Senate to split the PIB into smaller partitions to allow for easier consideration and where necessary further amendments,’’ he said.
He said the financial implications of the bill would result from the registration of Petroleum Host Communities Associations and National Committee on Petroleum Host Communities.
He said cost of registration of Petroleum Host Communities Associations would be borne by relevant communities.
He added that the running cost of National Committee on Petroleum Host Communities would be deducted from funds payable to petroleum host communities by petroleum producing companies.
“No funds are needed to be appropriated by the National Assembly for funding Host Communities Associations and National Committee on Petroleum Host Communities.’’
The lawmaker noted that the bill would provide the requisite succour to host communities that had borne the brunt of oil production activities, ensure peaceful co-existence and substantial investment to the Nigerian oil and gas industry.
Contributing, Sen. James Manager (PDP-Delta), said the 8th Senate had made history for the level of achievement with regard to the ensuring the passage of the Petroleum Industry Bill that had lingered for long.
He commended the sponsor of the bill for an extensive job that would be of benefit to all stakeholders in the industry, particularly the host communities.
According to him, “when passed into law, petroleum host communities will heave a sigh of relief.’’
The President of the Senate, Dr Bukola Saraki, referred the bill to the Joint Committee on Upstream, Downstream and Gas for further legislative action after putting it to a voice vote.
The joint committee was mandated to report back in four weeks.
Similarly, the Senate, yesterday, passed the Nigerian Financial Intelligence Agency (NSIA) Bill as a central body in Nigeria responsible for receiving, requesting, analysing and disseminating financial intelligence reports and other information to law enforcement agencies.
This followed the consideration of the report of the Committee on Anti-Corruption and Financial Crimes presented to the Senate by its chairman, Sen. Chukwuka Utazi during plenary.
The Bill, which was only read for the first time, penultimate Thursday, passed second reading last Tuesday and was approved by the upper legislative chamber on Thursday, exactly one week after.
With the passage of the Bill, the risk of Nigeria being expelled from the Egmont Group has been reduced by half as the bill is just waiting for presidential assent to become law.
The Egmont Group is a network of national financial intelligence units and the highest inter-governmental association of intelligence agencies in the world, with 154 member countries including Britain and the U.S.
Nigeria is currently serving a suspension from the group arising from the non-establishment of the NFIA as a unit standing autonomously.
The group accused the Acting Chairman of EFCC, Ibrahim Magu of interfering with the affairs of the unit and sharing information that should be confidential to the unit with others including the media.
The group had also threatened to expel Nigeria permanently by January 2018 if the Nigerian government failed to grant the unit the autonomy it required to be a member of the EGMONT group.
It is in a bid to save Nigeria from being expelled that the Senate gave accelerated passage to the Bill without conducting a Public Hearing.
It would be recalled that the NFIA, if given the Presidential assent, would act as the central body in Nigeria responsible for requesting, receiving, analysing and disseminating financial information to law enforcement agencies.
Speaking further on the Bill, Sen. Chukwuka Utazi, said the proposal sought to make the unit, which is currently domiciled under the EFCC an autonomous and independent body.
He said that the unit was the backbone of the EFCC but had to be made autonomous as pre-requisite of being a full member of the Egmont Group.
Under the passed Bill, the NFIA would now be domiciled in the Central Bank of Nigeria (CBN) and also report to the National Assembly.
The unit, which represents Nigeria at the global body, is charged with tackling money laundering and monitoring financial flows, a task made easy by its membership of the EGMONT Group.
In his remarks, the Deputy President of the Senate, Ike Ekweremadu, who presided over the plenary, thanked all the senators for ensuring they expedited the process leading to the passage of “this very important bill.
“We believe that this is a major contribution in the fight against corruption in Nigeria and believe the international community will take us more seriously for taking the step today.
“I hope that Egmont Group will also take the decision to lift the suspension on Nigeria because of this step we have taken today.
“The fact of relocating the agency under the CBN will give other agencies sufficient access to the job of this agency in such a way that there will be no control of the NFIU that will not lead Nigeria to another round of suspension.”
He said that the Senate had taken the right step especially when it considered that they had was in consonant with what was done in other countries of the world where they had similar agencies.
Meanwhile, the Senate adjourned sitting to September 19 after deliberations on the two bills.
However, as the 8th Senate winds its second session, the upper chamber has approved amendments of the Niger Delta Development Commission (NDDC), to clear certain ambiguities in the extant law.
The Senate also condemned, “non-transparent process” being adopted by the Ministry of Petroleum Resources and the Nigerian National Petroleum Corporation (NNPC) in concessioning of the Port Harcourt Refinery to ENI/AGIP and OANDO.
The lawmakers, therefore, resolved that every the process of the deal henceforth be stopped while advertisement and open bidding for transparency should be adopted for every maintenance of the refinery.
In the new amendment to the NDDC Act, “an indigene of an oil producing area” to be appointed into the NDDC Governing Board has been clarified to read “an indigene of an oil producing local government area”.
Three PIB related bills, Bill for an Act to Establish a Fiscal Framework, A Bill for an Act to provide for Administrative Framework for the Petroleum Industry and the Host Community Bill passed second reading in the Senate chambers.
The host communities’ bill, provides for Petroleum Host Community Associations (PHCA) “to be funded through a direct contribution from petroleum producing companies”.
The Bill also provides for National Committee on Petroleum Host (NCPHC) Communities designed solely to be “a small advisory body which provides support to the Petroleum Host Community Associations when required”.
According to the provisions of the bill, the cost of Registration of the PHCA will be borne by relevant communities, while the running cost of the NCPHC will be deducted from the funds payable to the communities.
The bills would be subjected to Public Hearings before final passage by the National Assembly when Senate resumes plenary Sitting (after annual recess) on September 19, 2017.
Nneka Amaechi-Nnadi, Abuja
A bill to amend the Corrupt Practices and Other Related Offences Act 2000 has passed its second reading in the House of Representatives.
The bill, which mandates compulsory counselling and training for individuals convicted of corruption-related offences, was sponsored by Kayode Akiolu (APC-Lagos) during plenary on Wednesday.
Leading the debate, Mr Akiolu explained that the bill sought to amend Section 67 of the principal act, introducing new provisions that were not part of the original section.
“These additional provisions, found in subsections 2, 3, and 4 of the amendment bill, require judges and magistrates to not only impose imprisonment and/or fines on those convicted of corruption but also mandate a minimum four-week anti-corruption counselling and training.
“The counselling and training will be designed and delivered by the Anti-Corruption Academy of Nigeria (ACAN) and aims to address the psychological factors related to corrupt behaviour,” Mr Akiolu said.
Mr Akiolu emphasised that the training would help reform convicts by addressing their corrupt tendencies and could even transform them into advocates for anti-corruption efforts.
He added that this approach aligned with the reformative aspect of the criminal justice system, which focused on punishment and rehabilitation.
“As per subsection 4, the bill allows magistrates and judges to order convicts to cover the cost of their counselling and training, preventing additional financial burdens on the government,” the lawmaker noted.
Mr Akiolu further argued that if the bill is passed into law, it would strengthen the country’s fight against corruption.
Given the widespread negative impact of corruption, he urged the House to support the bill for the country’s benefit.
Following the debate, Speaker Tajudeen Abbas referred the bill to the relevant committee for further legislative consideration.
The Judiciary and the Media are key pillars of democracy, the Chief Justice of Nigeria (CJN), Justice Kudirat Kekere-Ekun, has said.
Kekere-Ekun made this statement in her address at the 2024 National Conference of the National Association of Judiciary Correspondents (NAJUC).
The CJN was represented by Mr Abdulaziz Olumo, the Secretary of the National Judicial Institute (NJI).
“ The judiciary and the media occupy unique and complementary roles in any democratic society.
“ The judiciary serves as the guardian of justice, equity, and the rule of law, the media acts as the conscience of society, disseminating information, shaping public opinion, and ensuring accountability.
“ Together, these institutions provide checks and balances that strengthen the fabric of democracy,” she said.
Quoting Felix Frankfurter, a former U.S. Supreme Court Justice, she said: free press is not to be preferred to an independent judiciary, nor an independent judiciary to a free press. Neither has primacy over the other; both are indispensable to a free society.”
The CJN said this dynamic interdependence between the judiciary and the media presents opportunities and challenges alike.
“ The media is entrusted with the responsibility of informing the public about judicial activities, the judiciary relies on accurate and ethical reportage to enhance public confidence in its work.
“ However, the inherent power of the media to influence public opinion requires careful management, especially when its focus turns to judicial proceedings.
“ The question posed by Robert J.Cordy, a former Associate Justice of the Massachusetts Supreme Judicial Court, is pertinent here: “What happens when the free press turns its sights on the courts-scrutinizing, sensationalizing, and exposing the frailties of the judiciary while questioning its ethical standards and performance?”
“The media’s capacity to shape narratives and perceptions is undeniable” she said.
Quoting Jim Morrison , she said “Whoever controls the media controls the mind.”
According to her, this underscores the immense responsibility placed on journalists to report truthfully, fairly, and objectively.
“ Unfortunately, the commercialisation of news and external influences have led to the rise of sensationalism-a practice that distorts facts, erodes trust, and undermines the very essence of journalism.
“ Sensationalised headlines, such as the infamous 2016 headline “We raided the houses of ‘corrupt, unholy’ judges, says DSS,” can paint a skewed picture of the judiciary and its officers. Such reporting, often devoid of context, compromises the integrity of the justice system and misleads the public.
“ Closely tied to this is the issue of “trial by media,” where premature and often biased media narratives prejudge cases and infringe on the constitutional rights of individuals” she said.
She added that as Mahatma Gandhi rightly observed, “The sole aim of journalism should be service.” It is imperative for media practitioners to remain steadfast in their commitment to truth and objectivity.
To this end, she advised, the National Association of Judiciary Correspondents to take proactive steps to regulate the activities of its members.
“ This is not merely about enforcing rules but about fostering professionalism and safeguarding the credibility of the media.
“ The judiciary and the media must work as partners in progress.
“ To bridge the gap between these institutions, there is a pressing need for constructive engagement and mutual understanding.
“ Courts can provide the media with guidelines on judicial processes, courtroom decorum, and the nuances of court proceedings.
She noted that globally, courts have adopted initiatives to support the media’s role in reporting judicial matters.
For instance, she said the Supreme Court of Dakota’s media guide outlines protocols for courtroom reporting, while the UK ‘s Media Guidance document provides clarity on access and etiquette for journalists.
“ These examples demonstrate how structured collaboration can enhance the quality of judicial reportage.
“ In Nigeria, we can take a cue from these models by developing a comprehensive media guide tailored to our judicial landscape.
“ This initiative, which would involve inputs from NAJUC and judicial stakeholders, would not only enhance media access to courtrooms but also ensure that judicial activities are accurately and responsibly reported” she said.
She advocated that judiciary correspondents must make deliberate efforts to familiarise themselves with the rules and procedures of the courts.
She added that understanding these frameworks will enable journalists to navigate the complexities of judicial proceedings effectively and responsibly.
“ Training programs such as this conference play a crucial role in equipping judiciary correspondents with the knowledge and skills needed to report judicial matters accurately.
“ The theme of this year’s conference, “The Role of Courts in Enforcement of Judgments,” is both timely and significant, as it addresses an aspect of judicial work that is critical to upholding the rule of law and ensuring justice.
“ I commend NAJUC for its commitment to promoting accountability and transparency through its engagements with the judiciary.
“ As I conclude, I must emphasize the importance of credible journalism in strengthening public trust in the judiciary” she said.
She urged judiciary correspondents to prioritise the pursuit of truth and objectivity, resist undue influences, and remain steadfast in their commitment to ethical standards.
She commended the leadership of NAJUC, under the chairmanship of Mr Kayode Lawal, for its efforts in promoting professionalism among judiciary correspondents.
The Senate has issued an arrest warrant for the Managing Director of Julius Berger Nigeria Plc, Dr Peer Lubasch, to appear before its Committee on Works.
The Tide’s source reports that the warrant was for Lubasch to explain the utilisation of funds appropriated for the reconstruction work on Calabar-Odukpani-Itu highway.
The warrant followed the adoption of a motion sponsored by Sen. Osita Ngwu (PDP- Enugu) and co-sponsored by Sen. Asuquo Ekpenyong (APC-Cross River) and Sen. Mpigi Barinada (PDP- Rivers) at plenary in Abuja, yesterday.
Ngwu, in the motion said, that the senate had mandated the committee on works to conduct investigation into the state of road infrastructure across the country.
He said that in furtherance to the investigative hearings, Julius Berger refused to honour invitations to provide details of its role in the Calabar-Odukpani-Itu highway project, in spite of receiving substantial public funds.
He said that this was worrisome, given the alarming discrepancies in performance among contractors on the project, with specific reference to Julius Berger for failing to meet delivery timelines.
Ngwu said it was the constitutional powers of the National Assembly under Sections 8 and 89 of the 1999 Constitution, as amended, to conduct investigations on any person or organisation responsible for administering public funds.
He said that the powers set out in section 6 of the legislative powers and privileges act empowered the Senate to issue warrants of arrest on persons in contempt of its proceedings.
The Tide source reports that the senate further ruled that President of the Senate, Godswill Akpabio, should sign the warrant, mandating the Julius Berger managing director to appear on a date to be communicated.
Akpabio said that the senate’s decision was in line with its constitutional powers under Section 89 of the 1999 Constitution (as amended).
“This senate will not tolerate the continued disregard of its authority.
“The managing director of Julius Berger must appear before the relevant committee, failing which further actions will be taken as prescribed by the constitution.
“The point of order, which was supported by the majority of the senators, highlighted the importance of upholding the integrity of the legislature.
“The senate committee will submit its findings to the National Assembly after the MD’s appearance.
“If there is any further failure to comply, we shall take the necessary steps to ensure respect for the constitution and the rule of law,” Akpabio said.