Oil Production Still On, Says Govt
08.03.2007
Rivers State government has said although militant activities in the Niger Delta has had some impact on the state, its imput to the production of oil and other natural resources is still intact.
Deputy Governor, Engineer Tele Ikuru, said this yesterday when members of the Ad Hoc Committee on Shortfall in Crude Oil Production of the Revenue Mobilisation, Allocation and Fiscal Commission paid him a courtesy call.
Ikuru, who represented Governor Celestine Omehia, attributed the sustenance in oil production level from the stateto cooperation of the people, especially the youth, adding that the state was not experiencing any short down of oil wells, which according to him implies that the crude oil imput from the state is not suffering any adverse effect.
To further strengthen production level of natural resources and ensure peace in the state, government, established the Peace and Rehabilitation Committee amongst others, to positively reposition youth.
He said the state deserves a fair share of the national cake, adding that "we believe that the work which you have set out to do will make us benefit as a state and get what is rightly ours.”
Engr. Ikuru, who commended the oil companies and youths for their cooperation in ensuring peace in the state, assured the team of the total cooperation of the government and people of the state in their verification exercise, saying "we guarantee you safety within our community".
Earlier in his address, Chairman of the Inter- Agency Committee on Shortfall in Crude Oil Production, Ambassador Kabir Rabi'u had said that the committee was set up to determine the quantity of crude oil being produced relatively to Nigeria's OPECquota, to verify and determine losses, if any, as being claimed by the Federal Ministry of Finance, the Central Bank of Nigeria (CBN) and the Nigera National Petroleum Corporation (NNPC).
Others are to determine the actual qualities of crude oil produced particularly from the four states of Akwa- Ibom,Bayelsa, Delta and Rivers and to veriify financial losses as a result of the alleged lose of production.
According to Ambassador Rabi'u, since Nigeria's economy largely depends on oil, there is bound to be an increase in the quantity or price of oil which will significantly affect the growth of the economy, pointing out that in recent times, there had been a gradual decrease in the flow of funds into the Federation Account, especially from the oil sector.
He noted that one of the reasons advanced for the shortfall, according to the Federal Ministry of Finance, CBN and NNPC, is the stoppage of production by oil companies due to youth restiveness i the Niger Delta, adding that the team would recieve presentation from the state government and oil companies as well as visit terminals and platforms to verify some of the data presented and solicited the cooperation of government and oil companies to ensurethe success of the committee's assignment.
