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NUPRC intervenes in Chevron, host communities’ dispute over trust fund

NUPRC intervenes in Chevron, host communities’ dispute over trust fund
November 29
22:50 2023

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has intervened in the dispute between Chevron Nigeria Limited and communities within its Warri exploration and production area, Delta state.

Chevron and the residents of the area are at loggerheads over the host communities’ trust fund.

The NUPRC urged both parties in the dispute to maintain the peace, pending the resolution of the matter.

At a meeting between the feuding parties at the NUPRC headquarters in Abuja, Gbenga Komolafe, the commission’s chief executive, urged them to maintain the status quo and ensure that peace reigned in the operational area.

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Chevron and the communities of Ugbororo, Ugbegugun, and Denbele in Warri south local government area (LGA) are said to be at odds over the naming of the host community trust fund established for the communities and the composition of its board of trustees.

Residents from the three communities were reported to have staged a protest in the Escravos terminal area, accusing Chevron of going against the Petroleum Industry Act (PIA) 2021.

In a statement by Olaide Shonola, head of the NUPRC’s public affairs and communication unit, Komolafe said the commission, as the regulator, was determined to ensure that the proper thing was done immediately.

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After hearing the parties’ submissions, Komolafe issued a regulatory position and directed Chevron on the resolution of the matter, which must be completed within two weeks.

He said the law, which was very explicit on the matter in contention, must be obeyed by all the parties concerned.

Among other directives, he called for the immediate convening of community consultation meetings on the proper delineation and naming of the fund in accordance with the PIA.

“The process which must be supervised by the Commission’s Warri Regional Office is expected to be finalised and the report sent to the Commission within two weeks,” he said.

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He also directed that the board of trustees be reconstituted.

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