Compensation: RMAFC Mandates SEEPCO to Abide by Agreement with Host Communities


Abuja: The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC) has mandated the Sterling Oil Exploration and Energy Production Company (SEEPCO) to ensure it abides by the agreement regarding community compensation. Mr. Ekene Enefe, Chairman of the Investment Monitoring Committee, gave the directive during a meeting with a delegation from SEEPCO and some host communities in Anambra.



According to News Agency of Nigeria, the communities involved in the discussions were Ogwu-Ikpele Community in Ogbaru Local Government Area of Anambra and Ugwu Aniocha in Aniocha North Local Government Area of Delta. Enefe noted that SEEPCO was expected to adhere to Nigerian laws and regulations concerning community compensation, including Environmental Impact Assessments (EIAs) and Social Impact Assessments (SIAs). Moreover, the company is obliged to comply with the Petroleum Industry Act (PIA).



Enefe emphasized that SEEPCO should engage in transparent dialogue with the Ogwu-Ikpele and Ugwu Aniocha communities and fulfill its Corporate Social Responsibility (CSR) obligations. These obligations are often detailed in Memoranda of Understanding (MoUs) signed with the communities. He stressed the importance of community development and harmony between the company and the communities to avoid issues such as militancy or damage to infrastructure.



Mr. Patrick Esumai, representing the Ogwu-Ikpele Community, expressed concerns that since SEEPCO’s establishment in 2016, the company has not adhered to their agreements. Esumai highlighted that the community has been denied benefits, with SEEPCO showing little commitment to rectifying the situation. He pointed out that the community’s youth were engaged in skill acquisition programs without completing training or receiving appointment letters.



Mr. Martins Egharhevwa, Commissioner Representing Delta in the commission, stated that the committee is interested in understanding SEEPCO’s operations, particularly in terms of social corporate responsibility and infrastructural development. The committee seeks detailed responses on these matters, including whether the company operates with proper databases to manage its operations effectively.



In response, Mr. Rajender Bhangara, Head of Business Development at SEEPCO, requested a week to organize the necessary documents and gather relevant information to address the committee’s inquiries. NAN reports that the parties agreed to reconvene in a week’s time as requested by Bhangara.

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