April 19, 2024

PIB: Southern Governors forum rejects 3%, supports 5% for host community

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The Southern Governors Forum at the end of their meeting held on Monday, July 5, 2021, rejected the proposed 3 percent , while supporting the 5 percent share of the oil revenue to the host community as recommended by the House of Representatives .

This was contained in a communique issued by Arakunrin Oluwarotimi Akeredolu, Governor, Ondo State, who doubles as the Chairman, Southern Governors’ Forum.

While commending the National Assembly for the progress made in the passage of the PIB, the Forum also rejected the proposed 30 percent share of profit for the exploration of oil and gas in the basins.

The Forum also rejected the ownership structure of the proposed Nigeria National Petroleum Company Limited (NNPC).

It disagreed with the recommendation that the company be subsumed under the Federal Ministry of Finance, while arguing that it be held in trust by the Nigeria Sovereign Investment Authority (NSIA) since all tiers of Government have stakes in that vehicle.

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