Bayelsa State Governor Douye Diri and former President Olusegun Obasanjo spoke out for more financial support for oil-producing states during the inauguration of the Crude Distillation Unit at the Azikel Refinery in Yenagoa on Monday.
Governor Diri emphasized that the current 13 percent allocation from oil revenues is insufficient for the Niger Delta. He argued that the region, which bears the environmental and social costs of oil extraction, deserves more benefits from its natural resources.
Diri expressed frustration over how the Ijaw people, the ethnic group in the region, feel they are not receiving fair compensation for the resources taken from their land. He criticized existing laws, like the Land Use Act, which he believes unfairly limits the rights of states to manage their resources.
He called for greater involvement of local communities in the oil industry, urging Bayelsa youths to gain skills for future job opportunities as the refinery becomes operational. Diri also asked oil companies to improve local infrastructure, like roads, to support industrial growth.
Former President Obasanjo praised the refinery’s progress and challenged its promoter, Dr. Azibapu Eruani, to complete the project within a year. He agreed with Diri that the current revenue sharing arrangement is not fair and should be a starting point for further discussions.
Obasanjo highlighted the importance of the refinery for the local economy, which aims to produce significant amounts of petrol and diesel daily. He expressed hope that the refinery would help transform the Niger Delta into a hub for refining and industrial development.
Dr. Eruani, the head of Azikel Petroleum, thanked various supporters of the project and noted that the refinery would create jobs and boost local businesses. Community leaders also shared their optimism about the refinery’s potential to enhance economic growth in the region.
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