Akwa Ibom State Local Content Compliance Monitoring Committee says the state government lost N180 billion revenue following non-compliance of oil firms with Local Content Act 2010.
The LCCMC Secretary, Eti-mbuk Essien, made this allegation in a letter addressed to the Managing Director, Total E & P Nigeria Limited.
He lamented that the company’s contractors had not complied with the local content law.
Essien said the state government was dissatisfied with the company’s prime and subcontractors for violating local content law.
He alleged that Total E &P had successfully operated OFON fields and gas flaring projects from OML 102 without giving any consideration to Akwa Ibom, the host of the fields.
Essien said: “The Akwa Ibom state government has lost over N180 billion as a consequence of these unholy and ugly practices.
“Such huge amount of money in the coffer of the state government will significantly boost the economy of the state.”
Essien called on Total E & P Nigeria Limited to direct all its major and subcontractors to establish functional offices in Akwa Ibom within 30 days from now.
He said: “The uncivilised attitude and the insubordination of your prime and subcontractors, is viewed by the state government as affront and an act of economic sabotage.
“It is the legitimate right of the state indigenes to participate in the business of your prime and subcontractors and the negation is of very serious concern to the state government.
“Please take note that no prime and subcontractors operating within the state territorial water shall be allowed to operate in the state without functional office.”
Essien said that the state government would no longer condone the untoward attitude of oil firms and their contractors operating in the state.
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