By David Okoh
The House of Representatives has opened a probe into federal Ministries, Departments, and Agencies (MDAs) over the non-implementation of two major Petroleum Industry Act (PIA) funds—an omission that has denied oil-producing communities in the Niger Delta an estimated N1.65 trillion meant for environmental cleanup and decommissioning of obsolete oil facilities since 2021.
Chairman of the House Committee on the South South Development Commission (SSDC), Hon. Julius Pondi, expressed strong dissatisfaction on Tuesday during an interactive session with key stakeholders in Abuja. The session focused on the persistent failure to operationalize the Abandonment and Decommissioning Fund and the Environmental Remediation Fund, both statutory provisions under the PIA.
According to data submitted to the committee, the Abandonment and Decommissioning Fund should have accrued between N850 billion and N1.1 trillion, while the Environmental Remediation Fund should have accumulated N420 billion to N550 billion over the past four years.
Hon. Pondi condemned the delay as a “grave injustice” to the Niger Delta and a violation of environmental rights.
> “These funds were created to prevent the shifting of environmental liabilities to local communities. Yet, four years after the enactment of the PIA, they remain dormant, leaving farmlands polluted, rivers contaminated, fisheries depleted, and communities exposed to health hazards,” he said.
He further criticized the regulatory bodies responsible—particularly the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA)—for what he described as a lack of transparency and operational readiness, calling it a “clear demonstration of institutional incapacity.”
The lawmaker disclosed that the continued lapses have triggered conversations about the possible creation of a new, dedicated agency to ensure proper management of the funds if existing institutions fail to deliver.
The session featured participation from NUPRC, NMDPRA, the National Oil Spill Detection and Response Agency (NOSDRA), SSDC, and the Ministries of Petroleum and Environment, as all sides deliberated on a coordinated roadmap to activate the long-overdue funds.
Hon. Pondi reiterated the committee’s unwavering commitment to enforcing oversight and ensuring that the intentions of the PIA translate into real impact for host communities.
> “The National Assembly cannot continue to look away while environmental liabilities multiply and communities suffer. The era of shifting cleanup responsibilities to impoverished communities must end,” he said.
The probe is expected to intensify in the coming weeks as lawmakers push to ensure accountability and the protection of Nigeria’s most vulnerable oil-producing regions.
