By Andy Asemota
The amendment proposed by Senator Ahmad Babba Kaita, representing Katsina North Senatorial District, which changed the percentage of funds allocated for petroleum host community development fund from five percent to three percent, prevented a move that would have frustrated President’s assent to the Petroleum Industry Bill, PIB, 2021.

The media adviser to the Senator, Malam Abdulkadir Lawal, who made this assertion in a statement entitled: “Senator Babba Kaita foils attempt to frustrate qui assent to the PIB,” hailed the amendment as yet another finest outing demonstrating Kaita’s brilliance and due diligence in his contribution to the final debate which led to the historic passage of the petroleum industry bill by the Senate 13 years after it entered the National Assembly.

The statement read in part: “Senator Kaita during the final debate proposed an amendment for section 240 sub section 2 of the Petroleum Industry Bill, which stipulated the Sources of funding for the petroleum host community development fund, which is expected to fast track development in all the petroleum host communities.

“Senator Kaita’s smart intervention was hinged on the fact that the committee which worked on the final recommendations of the bill had changed the percentage of fund allocated to the petroleum host community, from two point five percent to five percent as against the general interest of the senate, a move he believed could frustrate a smooth assent to the Bill.

“The borderless Senator in his considerate manner of amendment to the Bill proposed the reduction of the percentage due to the host community from five percent to three instead of two point five percent that had been captured before the committee’s recommendations.

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“However, a member of the committee and senator representing one of the South-South states explained that the reason for the increment of the percentage of the fund to be allocated to the petroleum host community
is because the PIB places emphasis on the assets of the host community with a clause to pay for the assets of host community directly from their fund should in case of any incident that may affect their assets.”

The senator’s aide recalled that the Senate President, Ahmed Lawal, after putting a question to the senate on Senator Ahmad Baba Kaita’s amendment, ruled in his favor after a unanimous voice vote by a majority of senators that the PIB stipulates sources of funding for annual contribution to host community development trust fund as three percent instead of five of an amount equal to it actual expenditure.

He stated that though there was an attempt to explain to the Senate why the committee recommendations which earlier had two point five percent contribution to host community was changed to five percent, this argument did not see the light of the day.

To him, the senator also explained that the bill placed emphasis on the assets of the host community with a provision that if there’s an incident that affects the assets of the host community, it would be a remedy through the host community trust fund.