Niger Delta Demands Accountability as NUPRC Tightens Oil Divestment Regulations
Niger Delta Demands Accountability in Oil Divestment

Niger Delta Communities Demand Accountability as NUPRC Tightens Oil Divestment Rules

Stakeholders in the Niger Delta have intensified their calls for transparency, environmental justice, and robust community protection during the ongoing wave of oil asset divestments. This comes as the Nigeria Upstream Petroleum Regulatory Commission (NUPRC) firmly asserts that it will block any transaction failing to meet its stringent regulatory standards.

NUPRC Pledges Strict Oversight and Regulatory Compliance

At a community town hall on Oil Divestment and Transition Accountability held in Port Harcourt, the NUPRC outlined its uncompromising stance. Representing the Executive Director of NUPRC, Mrs. Oritsemeyiwa Eyesan, the commission’s Assistant Director in Port Harcourt, Mr. Success Ikpe, declared that no company would be permitted to divest oil and gas assets unless it satisfies clearly defined regulatory requirements.

Ikpe elaborated that the commission’s framework prioritises the technical competence, financial strength, and legal compliance of successor companies. He stressed that incoming operators must demonstrate a superior capacity to manage assets compared to those divesting. Additionally, the commission rigorously evaluates decommissioning and abandonment obligations to prevent the irresponsible transfer of liabilities.

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“Divestment is a legitimate commercial decision,” Ikpe stated. “However, under the Petroleum Industry Act 2021, such transactions are subject to strict regulatory oversight to ensure transparency, responsibility, and the protection of national and community interests.” He further noted that prospective buyers undergo thorough scrutiny for financial health, operational capability, and adherence to legal and ethical standards, with particular attention to host community concerns regarding environmental degradation, labour issues, and continuity of social investments.

Communities and Civil Society Highlight Unresolved Legacy Issues

Despite these regulatory assurances, civil society groups have raised alarms about past divestments that have left behind unresolved environmental and social challenges. Executive Director of the Human and Environmental Development Agenda (HEDA), Mr. Suleiman Arigbabu, pointed out that many multinational oil companies have exited operations in ways that evade accountability, leaving communities to grapple with pollution, abandoned infrastructure, and loss of livelihoods.

Arigbabu described the current divestment phase as a critical turning point and warned that without stronger enforcement, history could repeat itself. “Across the region, oil exploration has imposed heavy costs—including oil spills, environmental degradation, and disrupted livelihoods,” Arigbabu emphasised. “As these assets change hands, there is a genuine fear that these pressing issues will remain unresolved, perpetuating suffering in host communities.”

Inclusive Engagement and Community Voices Amplified

The town hall, organised by HEDA Resource Centre with support from Transparency International (Australia) and the Natural Resource Governance Institute (NRGI), served as a vital platform to amplify community voices and advocate for accountability in the transition process. Stakeholders underscored that host communities must be actively involved in decisions affecting their environment and future, highlighting the necessity of inclusive engagement.

The discussions revealed growing tensions between regulatory assurances and community expectations as the Niger Delta navigates a new phase in Nigeria’s oil and gas industry. This transition is marked by the exit of multinational operators and the entry of indigenous firms, raising both hopes and concerns about sustainable development and justice in the region.

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