Senator Akpan seeks stiffer penalties against gas flaring

Ini Billie, Uyo

The chairman, Senate Committee on Petroleum Resources (Upstream), Senator Bassey Akpan, has called for stiffer penalties on oil and gas companies over gas flaring.

Akpan, who represents Akwa Ibom North East Senatorial District in the National Assembly, stated that stiffer penalties would check the practice, help to preserve the environment and ensure oil and gas companies are held responsible for flared gas.

According to him, gas flaring has impacted the health of humans and the environment negatively and resulted in economic loss, as well as deprived the government of associated tax revenues and trade opportunities.

Speaking on the theme: “Oil, Gas and Politics; Unbundling the Conundrum for National Development” during the 1st Distinguished Alumni Lecture in the University of Uyo hosted by the Faculty of Social Sciences, Akpan said on Monday in Uyo that Nigeria has the least penalty for gas flaring globally.

Akpan added that he led the debate on Gas Flaring (Prohibition and Punishment) Bill in 2020 in his determination to strengthen the oil and gas sector, adding that the flaring of natural gas is one of the dangerous energy waste practices in the Nigerian Petroleum industry.

“Government should enforce stiffer penalties on Nigerian and Multinational oil and gas companies whose activities lead to gas flaring to enable us to preserve the environment.

“The gas flaring penalty obtainable in Nigeria is the least globally. Relevant provisions of the PIA should be applied to ensure oil and gas companies take full responsibility of their actions and inactions.

“Gas flaring affects the environment and human health, resulting in economic loss, depriving the government of associated tax revenues and trade opportunities, and denying consumers of a clean and cheaper energy source and environment.

“The advent of the PIA has taken care of gas flaring concerns, as proceeds from its penalties have now been transferred to midstream gas infrastructure funds which will be used for environmental remediation of communities affected by activities of oil and gas companies,” he stated.

Also speaking, Prof. Hogan Ekpo, former Vice-Chancellor of the University of Uyo and Akwa Ibom State University who was Chairman of the occasion, commended Senator Akpan for distinguishing himself in the political spheres as one of the State’s representatives at the National level.

Ekpo said even though oil and gas were the major source of revenue, foreign exchange, and contributes 10 per cent to the Nation’s Gross Domestic Product (GDP), it was the source of serious challenges in the country.

He said the lecture would expose participants to what has been happening in the oil and gas sector and how it can either translate to a resource curse or blessing.

“Before oil, things seem to be a little bit better. Once oil came in place and began to be the major source of revenue, of foreign exchange, a major source of export, then we started having serious challenges.

“The oil and gas sector contributes only about 10 per cent of Nigeria’s GDP, the non-oil sector contributes about 90 per cent. Yet that 10 per cent is very crucial.

“That resource that lays the golden egg, that lubricates the wheel of development of this country can either be part of what the World Bank describes as a resource curse or whether if properly managed as some countries have done, it would give us the impetus for development,” he stated.