Niger Delta deserves more than 13% derivation – Obasanjo
Niger Delta deserves more than 13% derivation – Obasanjo
Former president of Nigeria, Chief Olusegun Obasanjo Monday advocated an increase in the 13 per cent derivation to oil producing states in the country.
Obasanjo said the present benchmark was a starting point that can be negotiated upwards.
The former president spoke at a ceremony marking the inauguration of the Crude Distillation Unit (CDU) of the Azikel Refinery at Obunagha in Yenagoa local government area of Bayelsa state.
The one billion dollar refinery project, which is owned by the Azikel Petroleum under the Azikel Group, is expected to produce 2.5 million litres of fuel and 2 million litres of diesel daily among other petroleum products.
Obasanjo lauded the Azikel Group president, Dr. Azibapu Eruani, for initiating the refinery project and urged him to ensure its completion within the next 12 months.
He expressed appreciation to the refinery’s technical and engineering team as well as the African Finance Corporation (AFC) and the Afrexim Bank for their support to the project and advocated more support to ensure its completion.
Obasanjo also lauded the Bayelsa state governor, Senator Douye Diri, for supporting the project, saying whenever Eruani spoke to him about it, he always mentioned the governor’s contribution.
He further stated that the governor has put into proper use funds accruable to Bayelsa as evident in the numerous projects all over the state.
He said: “I have told Dr. Eruani that I will be officially 90 years by next year March. It means I will take the boarding pass soon. So, he has to make sure the project is completed before I exit.
“Governor, I want to thank you most sincerely. Every time Dr. Eruani has spoken to me about this project, he has mentioned the critical role you have been playing and that is the way to go.
“You are right that the states and oil producing communities have not got a fair deal so far. Thirteen per cent is the beginning. You can continue to talk. The most important thing is that even the little you have received, you have used it well.
“I want to express appreciation to those who have given the technical and engineering suppprt for this project.
“I want also to thank those two financial institutions, African Finanace Corporation and the Afrexim Bank. My challenge to you Dr. Eruani is to ensure that the refinery is completed within the next 12 months. With this done, you can even double the capacity.”
Also speaking, President, Azikel Group, Dr. Azibapu Eruani, stated that the refinery will kickstart Bayelsa’s and Niger Delta region’s industrialisation, recalling how Obasanjo laid the foundation for the refinery eight years ago, and expressed delight over his presence for the installation of the CDU, which he described as the beginning of the completion of the refinery.
