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Govt Appeals To Abia Oil Producing Communities To Stick With Revenue Sharing Formula

Abia State Government has called on the people of Owaza Clan in Ukwa West Local Government Area to embrace peace, unity, and transparency in the sharing of oil and gas revenue among the four autonomous communities of Owaza Clan, Ipu West, Etitioha, Isietitioha, and Igirukwu

The government also reassured the communities of its commitment to uphold the existing Memorandum of Understanding (MoU) and enforce the 2016 White Paper resolution on the equitable sharing formula to ensure sustainable development in the area.

The Deputy Governor Engr. Ikechukwu Emetu made the appeal during a reconciliatory meeting involving the leaders of the four Owaza autonomous communities held at the Government House, Umuahia.

Addressing the gathering of traditional rulers, elders, and youth leaders, the Deputy Governor expressed deep concern over the renewed agitation surrounding the Owaza oil and gas revenue sharing formula, stressing that peace must not be sacrificed on the altar of greed or misinformation.

“The government of Abia State, under the leadership of His Excellency, Dr. Alex Otti, believes that no amount of mineral wealth can equal the value of peace, brotherhood, and justice among a people,” Emetu stated.

He recalled that the 2016 resolution, which was witnessed and sealed before the immediate past Governor, Dr Okezie Ikpeazu, provided a just and fair sharing formula of 20:20:30:30 among the four autonomous communities, based on their respective production volumes and infrastructural presence.

“This formula successfully ended nearly a decade of internal conflict and was peacefully implemented through the MoUs with Total Energies and Shell Petroleum Development Company (SPDC),” the Deputy Governor explained.

He described as “morally unacceptable” any attempt to truncate the existing agreement for selfish gains, warning that:

“Those who sow confusion for personal interest must remember that truth, though delayed, always finds its voice. No one prospers in a land where peace is broken, and no development thrives in the soil of bitterness.”

To ensure transparency and accountability, Engr Emetu directed the Ministry of Petroleum and Mineral Resources to ensure that all funds meant for the host communities are paid into the Ministry’s account for proper disbursement to the four communities in the approved 20:20:30:30 ratio.

He also mandated the Special Adviser to the Governor on Security, Commodore Macdonald Ubah (Rtd), to visit the oil companies operating in the area and constitute a committee to engage with the new oil rig company seeking to commence operations in Owaza.

“The government shall stand by the existing agreement and enforce the White Paper resolutions for the continued peace and progress of Owaza,” he reaffirmed.

In his remarks, the Mayor of Ukwa West Local Government Area, Pastor Dike Nwankwo, lamented the activities of some community leaders who, he said, have contributed to recurrent crises in Owaza. He commended the Deputy Governor for his timely intervention and decisive leadership in restoring confidence and calm to the area.

Also speaking, the Commissioner for Petroleum and Mineral Resources, Professor Joel Ogbonna, and the Commissioner for Environment, Mr. Philemon Ogbonna, emphasized that oil companies must comply strictly with government directives and existing MoUs. They called on community leaders to embrace peace and unity to enable meaningful development to thrive.

The Traditional Prime Minister of Ipu West, Chief Maxwell Nwagbara, informed the Deputy Governor of plans by a new oil company to bring a rig into the area and appealed for government intervention to prevent further tension within the community.

In his closing remarks, Deputy Governor Emetu reiterated that the Abia State Government stands with Owaza in peace, but not with factions in conflict, emphasizing that transparency, equity, and justice would remain the guiding principles in managing community affairs.

“Let us choose dialogue over division, truth over trickery, and peace over pride,” he appealed. “The oil beneath our soil is temporary, but the brotherhood we share is eternal. When we quarrel, our children inherit ashes; when we unite, they inherit gold.”

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