The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has threatened to revoke the licences of oil operators or settlors who failed to remit the three per cent statutory fees to oil communities before September ending.
The NUPRC management it was aware of the agitation by host communities in the oil and gas producing areas of the Niger Delta region over the delay by industry settlors/operators in remitting the statutory fees.
A statement signed by the Commission’s Chief Executive, Gbenga Komolafe, said the 3% remittance is covered by Section 235 of the Petroleum Industry Act (PIA), 2021.
“Therefore, defaulting operators (settlors) under PIA 2021 (section 235) are advised to do the needful by fulfilling their obligations and remitting the outstanding arrears without further delay.
“As the commission might be compelled by emerging circumstances to fully apply the law under section 235 of PIA 2021.
The section further states that failure by any holder of a licence to comply with its obligations under this Chapter, may be grounds for revocation of the applicable licence.
The commission said it understood the sentiments of the host communities, especially as the PIA had suspended and replaced existing provisions with a new Host Community Development Trust Fund (HCDTF).