IYC threaten to disrupt SPDC operations over allege violation of Nigerian content policy

The Ijaw Youths Council Worldwide has threatened to distrupt the exploration activities of the Shell Petroleum Development Company (SPDC) in the Eastern and Western region of operations over the allege violation of Nigerian content laws and the deprivation of host communities and local contractors in terms of oil and gas sector jobs, businesses and placements by multinational oil companies operating in Bayelsa, Delta and Rivers States.

National Spokesman of the IYC, Comrade Ebilade Ekerefe, ina media interactive session in Yenagoa on Monday, said despite the intervention of senior officials of the Nigerian National Petroleum Company (NNPC), officials of the SPDC have terminated jobs meant for indigenous contractors said contracts ought to be awarded to local contractors, in the Niger Delta Region as well as jobs are and plan on given same jobs to relatives of expatriates and other Nigerians at the helm of affairs of these multinationals depriving the locals of their rights, describing the situation as unacceptable.

According to Comrade Ebilade Ekerefe, local contractors from the Niger Delta Region have met all value procurement requirements by the certifying bodies in the country to qualify to be awarded such contracts and be gainfully employed in those fields, expressing regret at the actions of the SPDC and other oil multinationals operating in the region.

”The Ijaw Nation is troubled and angered by the ongoing DELIBERATE deprivation and oppression against indigenes of host communities by the Shell Petroleum Development Company (SPDC).It is an open fact that we are one of the major producers of crude oil in Nigeria and in view of our agitations for improved regulations of the oil and gas industry and the bloody sacrifices were made for peace to prevail for an improved crude oil explorations and end to militancy in the region”.

“Despite the known sacrifices that had led to the existing Local Content Act and the Petroleum Industry Act. , IT IS WORTHY TO NOTE THAT THESE COMPANIES THAT ARE SUPPOSED TO ABIDE BY THE LAWS ARE NOT OBEYING THEM. These are laws are to regulate the involvement of indigenes of host communities in the businesses of crude oil exploration and the benefits to the people that kept the peace and assist in the security of the nation’s wealth”.

“But it is an open fact that these oil multinationals, including the SPDC, Nigerian Agip Oil Company (NAOC) and others, have showed high level of disdain to host community indigenes with little or no benefits. Even the few small jobs being handled by indigenous contractors are being taken away from them.A case point is the GA Logistics Service Contracts. The small contract, which entails supply of speedboats and other logistics materials for the use of the security personnel stationed at the oil facilities in and around the host communities”.

“Until now, this security contract was handled by indigenous oil host communities. But SPDC is taking away the said GSA contracts from the indigenous contractors and planning to give same to non-Indigenous contractors.In fact, SPDC had already sent termination notices to the indigenous contractors before the process was suspended after much protests from oil host communities. Just as they give contracts that ought to be done by local contractors to their relatives and subsidiary companies, they also give available employment opportunities that ought to be given to the indigenes of the host communities to their own relatives to the detriment of the people of the host communities.”

“Despite several correspondence from the affected contractors and intervention of the leadership of the NNPC/SPDC joint venture, particularly the Managing Director of the SPDC, the accused staff of the security department of the SPDC namely one Greensmith Ben, Gilda Chime and Dikki Omuku have been identified as those resisting the peaceful overture from their bosses and trying to trigger violent confrontations with the people of Ijaw communities”.

“Available intelligence revealed that the Security Strategy and Plans Manager, Greensmith, Benjamin, in a letter dated November 5yh,2022 with reference number SPDC-UPV/G/NY with subject “New GSA Logistics Contract” tagged the reasons for the decision to terminate the handling of the security jobs by indigenous contractors to be “continuous business opportunities” and secretly informing that “SOMs will be asked to monitor vendors for any signs that they may not be content to remain sittu which would create vulnerability in our society plan that we will need to address immediately.”.

“Let the Ijaw Youths Council (IYC) worldwide put on record that the council is ready to shut down the exploration activities of the Shell Petroleum Development Company “even if it means to be killed by the trigger-happy and the Niger Deltaphobe military Joint Task Force in the region.The Ijaw Youths Council is calling on the SPDC to STOP the DELIBERATE deprivation and oppression against indigenes of host communities. We are not going to issue ultimatum as expected but are ready to occupy the platforms of the affected oil multinationals. We would make our position known by following the laid down rule of engagement with these errant oil multinationals.

“We are also determined to join our ijaw brothers to resist, by every means possible any further tendencies of oppression and deprivation in the form of NIPEX or otherwise against our indigenous contractors in the fold of the oil multinationals, particularly the SPDC.As point of information, these oppressed contractors met all requirements by the SPDC and even went further to register on NIPEX. NIPEX is an arm of the National Petroleum Investment Management Service (NAPIMS).It is an electronic one-stop transaction centre that improves on value procurement in the oil and gas industry”.

“We also want to draw the attention of the Nigerian Content, Monitoring and Development Board (NCMDB) to the ongoing violation of the local content policy by the SPDC and declare that these oppressed indigenes of the region and contractors should be given “Right of First Refusal” based on their performance and their origin”.

He advocated for the strict adherence to provisions of the existing Local Content and Petroleum Industry Acts, stressing that these laws regulate the involvement of local and host communities in the business of oil exploration and benefits the people, resulting in the peace and security of the nation’s oil infrastructure in the region.

While describing the process to be registered with National Petroleum Investment Management Services, NAPIMS, an electronic one-stop transaction center that improves on value procurement in the oil and gas industry as cumbersome, he cautioned against Niger Delta leaders who sell job and contract chances in the multinationals meant for community folks to others, adding that those involved in the dastardly act will be brought to book.

Ekerefe called on the Federal Government, the Nigerian Content Development and Management Board, NCDMB, Security agencies, and leadership of multinational oil companies to intervene and address these impasses to avoid breakdown of law and order, vowing to engage multinationals in line with the legitimate rules of engagement until their demands are met.

Meanwhile, Shell says is reviewing its logistics contracting process and will continue to support the development of local communities and companies with contracts and investments in education programs and direct social investment.

Adding that $56.13 million has been earmarked to be paid in 2023 for a statutory contribution to Host Communities Development Trusts (HCDTs), which will benefit Nigerian communities.