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PIA: Gov Diri demands greater role for states

Sopuruchi Onwuka

Governor of Bayelsa State, Senator Douye Diri, has urged the National Assembly to create greater role for the state governments in the Petroleum Industry Act (PIA) to enable them control oil producing communities.

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The governor whose address was delivered at the 2025 Nigerian Oil and Gas Opportunities Forum (NOGOF) hosted by the Nigerian Content Development and Monitoring Board (NCDMB) at the Local Content Towers in Yenagoa, faulted the exclusion of the state government’s in the administration of the Host Community Development Trusts established for execution of industry sponsored projects.

He said the law should enable state governments in oil producing areas play statutory roles in overseeing development projects in the host communities, warning that the current arrangements that put funds in the hands of unstructured managements create rooms for crises.

The governor noted that whereas the current PIA leaves the state governments with only liabilities arising from HOSTCOM management crises. He pointed out that while the extant PIA empowers oil and gas bearing communities to directly receive oil proceeds accruing to them without recourse to state governments, hostilities emanating from the management of such funds were always being channeled to government for settlement.

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Senator Diri who was represented by his deputy, Senator Lawrence Ewhrudjakpo, pointed out that state governments have better management structures for efficient planning and implementation of host community projects.

The governor expressed displeasure over alleged exclusion of host governments in the IOC divestments despite efforts by the state governments to take opportunities in the programme. He lamented that the process came with opportunity to include the state governments in the joint venture partnership structure with the Nigerian National Petroleum Company (NNPC) Limited.

He blamed federal government for not protecting the interest of state governments during the divestment processes, and also lashed out at indigenous companies that replaced international oil companies for being as negligent to their host environment as their predecessors.

He condemned some of the indigenous firms that bought over the IOC interests for lack of best operational practices.

Commenting on the theme of NOGOF, “Driving Investment and Production Growth: Shaping Sustainable Future For Nigeria Oil and Gas Industry Through Indigenous Capacity Development,” Senator Diri commended the Nigeria Content Development and Monitoring Board for the initiative.

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