 We're talking about the PIB, how communities should be treated in this matter, how much they're really entitled to if they're the host community and how other benefiting communities should also be treated, how much exactly they're entitled to. And now joining me to look at this tonight is the SSC to the President and Public Affairs, Ajory Angalale. Hi Ajory, good evening. Good evening to you. Good evening to you. Thank you for joining us from Abuja. Now looking at the oil revenue sharing formula, is the signing of the PIB a sharing news at all? Well, I can see on the banner on the screen it says PIB passage. The PIB has been passed now for quite some time, we're beyond that stage. It has now been extended to Mr. President. So now we move from PIB to PIA. It is the Petroleum Industry Act and we are quite excited about the fact that we've been able to finally break this 20-year jinx and really bring our nation's oil and gas industry in total consonance with the very best. So there's really quite a lot to get into when you look at the content, I'll be excited about. Yes, are you still there, Ajory? Yes, I'm with you. Okay, okay. Now, yes, I agree with you. The PIA, the PIB, once it's passed, it's not. Yeah, I understand that. Yeah, now, 3% versus 30%. How do you want to justify this? Also, isn't this opening up the leeway for fresh agitations in the near future when host communities will begin to say, well, they're already saying that, and well, maybe we can say, let's play the devil's advocates. I mean, isn't this opening the leeway for fresh agitations in the near future? You know, by virtue of the question, this is a question I've gotten a lot lately, and unfortunately, when the question is asked, it's often asked without any kind of context or any kind of specificity whatsoever about what 3% represents and what the 30% represents. You hear rumors like, oh, they're only giving 3% to the Niger Delta development. They're giving 30% to the North. These are the kind of simplistic accusations that we've been hearing. But I want to, for our viewers, I want them to understand exactly how this works. I'm going to break it down really quickly. First of all, the 3% that we're talking about is not 3% of profit oil or 3% of revenues of the NNPC Limited, what will be the NNPC Limited over the next six months. We are talking about 3% of the total actual annual expenditure of the entire oil and gas sector in Nigeria. That is, last year, that was 16 billion US dollars, 16 billion US dollars. Do the mathematics on that, 3% of that is approximately 500 million US dollars. Now, that's based on last year's estimates of 16 billion US dollars. Okay. Now, if you recall, last year was the height of the COVID-19 global pandemic, where you had production shutdowns around the world, where you had, of course, we still have OPEC curves on our production. So instead of producing 2.3 million barrels per day, which we're capable of doing, we only were doing 1.4 million barrels per day, and we continue to do that. So the implication of that is that in the next few years, we're going to return to our normal production, meaning that the annual operating expenditure is going to rise from the 16 billion it was last year, up to 25 billion into 30 billion. When that happens, the 500 million we're talking about for the host community's development trust is going to skyrocket to nearly a billion. Already at 500 million, it's far greater in one year. The trust is going to be receiving more than what the NDDC receives, because the NDDC does not receive up to 500 million dollars a year. That's point number one. Point number two is when we talk about 30%, we're not talking about 30% of the total annual operating expenditure of the entire sector. Those are two different. It's just like comparing 3% of your salary compared to 3% of your company's total profit. You get two different figures. That's basically what is being done when people compare 3% to 30%. It's two different worlds. So what we're saying is this, the 30% is not for host community's development. It's not to go and build hospitals in the north. That is not how it works, but that is what some political opposition figures are trying to deceive Nigerians into believing. How this works is the 3% is for the development of host communities. So building whatever it is that those host communities need, schools, hospitals, bridges, whatever it is that they believe their needs are, that's where it's going to go. And they're going to be at the decision-making table, unlike NDDC, unlike derivation principle, which has largely failed in terms of Niger Delta development. Now, the 30% we're talking about is not for to develop people's communities in the north or anywhere else. It is for the development of frontier basins across the country. By the way, people don't recognize that we already have frontier basins in a number of states. A number of states, as you know, is not in the north. We have frontier basins in Cross River. Cross River is not in the north. So what we're saying is that this 30% we're talking about is not 30% of the entire sector's output, like the host community development's 3% is. It is 30% of NNPC Limited's revenue. That is not including IOCs and all of that kind of stuff. So that's point number three. Now, the final point is when we talk about frontier basin exploration, how it works is that 30% we're even talking about is going to go to the development of oil extraction infrastructure, exploration activities, and then the production infrastructure. That is to actually extract the oil from the ground. You have to put infrastructure in place to achieve that. So we're not going to be building hospitals and schools in the frontier basins. We are limiting the focus, the scope in infrastructure development in those areas so that Nigeria can expand the pie, increase our revenues, and just the same way that Niger Delta Oil Money is shared to all of the Federation, all local government areas and funds the entire country. It is the same way that any oil that is found in the north or in the east or in the west, it will still have the same revenue sharing formula. It will also go to all local government areas of the Federation. So we're really imploring all Nigerians to really reject the kind of divisive analysis out there that suggests that everything must be viewed from a religious or ethnic lens. Brilliant. Okay. Good summation. Thank you. Well, on the last note, let me take it up in this as well. 50 billion's worth of investments lost in the past before we could get the big past in the first place. Why did we have to go this long route in the first place? Yeah. Well, there's no doubt that we have had a huge political interference over the course of the last several decades. I'm not breaking news this evening on Plus TV by saying that there has been massive corruption in governance in Niger of the last several decades. And the implication of that is that people from the private sector are able to leverage on that to make excessive profits by bribing certain officials in certain places to retain their undue advantages over the sector. That has now been broken because President Mohamed Dubehari is not a leader who you can visit in the middle of the night with a briefcase full of euros to make him change his mind against what is in the interest of the nation. And as a result of his integrity, we've been able to basically come up with a document that's a truly win-win document, not just for the Nigerian government, the Nigerian people, the Nigerian economy, but also for the investors who are ready to do legitimate business in Nigeria. What will not be allowed within the PIA now, the Petroleum Industry Act, is we have put in a few measures which are very important. Number one, unprecedented transparency measures stipulating that all actors in the sector must now undergo a forensic technical audit conducted by an independent auditor of their books every single year. Everybody's books will be open once a year every single year for public scrutiny. That is not just the international oil companies, that also involves even the regulators, the new regulators that will be established by this act, the Nigerian Upstream Regulatory Commission, the Nigerian Midstream and Downstream Petroleum Regulatory Agencies, they will by this act be mandated to open up their books to independent auditors annually for public scrutiny. That has never happened in the history of the country. That is happening now. Secondly, the President put in place new tax reforms and regulations in the sector. For the first time, we now have a comprehensive set of financial sanctions which we will levy out to any stakeholder in the sector who is involved in tax avoidance, tax defaulting, who is involved in non-remittance or under-remittance of royalties and monies owed to the Federation, who is involved in erroneous accounting practices internally, et cetera. These are the measures that will transform the oil and gas sector for the better and Mr. President has really done well for the country in ensuring that this finally gets done. Thank you, Adjuri. Thank you very much. I'm going to have to get back to you in coming days to look at this issue and other some issues in the news. Thank you, Adjuri. You make it very difficult for me to stop your conversation. Thank you, my brother. God bless you and have a good night. Okay, you too. Bye. Cheers. Hello. Hope you enjoyed the news. 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