Why EFCC Is In Alliance With NDDC

Those who follow the activities of the Niger Delta Development Commission (NDDC) may have been confused or bemused upon hearing that the Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, welcomed and applauded the intervention agency.

Taking a simple analogy, the cat (EFCC) is supposed to be going after the mouse (NDDC). So, what is this friendly visit by the NDDC to what many would describe as the lion’s den? It turns out that the two organisations have been in some sort of alliance for the common good. Oil companies defaulting in meeting their statutory obligations to the NDDC needed to be brought into line and the EFCC came to the rescue.

Satisfied with the successes recorded by the financial crimes busters in recovering funds meant for the foremost development agency, the NDDC Managing Director, Dr Samuel Ogbuku, led members of the commission’s management team to pay what could be described as a thank-you visit to the EFCC headquarters in Abuja.

The head of the anti-corruption agency used the opportunity of the visit to commend the NDDC, saying the commission has refined its processes to uphold the principles of probity. He specifically expressed delight with the “Rewind to Rebirth” initiative of the commission. Olukoyede declared: “The five minutes of interaction with the MD left me with a different perception of NDDC. Maybe, we will begin to see an NDDC that is a symbol of pride, accountability, transparency and able to deliver on its mandate.

Apparently, the EFCC boss could not match his previous perception of NDDC with the reality staring him in the face. He confessed: “From Ogbuku’s presentation, you can see that he is ready to bring a change, and that is the exact thing that we stand for in EFCC.”

Assuring that the EFCC would continue to assist the NDDC to achieve its mandate, he said: “We have been working with you to make recoveries; we will continue to do more. The collaboration is something we need to take to the next level, and with what you have put on the table, I think we are ready to work with you to strengthen your systems and processes and to take the NDDC to the next level.”

The assistance coming from the anti-crime agency is like a soothing balm for people of the Niger Delta, who have waited for decades for a development agency that will fulfil their dreams. They have wondered why after 24 years, the NDDC established to facilitate the rapid, even and sustainable development of the Niger Delta region that produces over 90 per cent of Nigeria’s oil wealth, is still contending with funding challenges.

It is unfortunate that despite spirited efforts by successive governing boards and managements to transform the oil-rich region, the NDDC has been constrained by several factors, including inadequate funding. Without doubt, the Niger Delta region is confronted with ecological and environmental challenges that should perforce attract huge funds from the Federal Government and the oil companies operating in the region. Sadly, this has not been so, thus limiting the capacity of the NDDC to fulfil its mandate of driving the development process and transforming the Niger Delta region into one that is “economically prosperous, socially stable, ecologically regenerative and politically peaceful.” The determined efforts of the NDDC to make a difference that will meet the expectations of the people have not been matched with commensurate funding.

During a recent interaction with the House of Representatives Committee on NDDC, chaired by Ibori-Suenu Erhiatake, the NDDC boss disclosed that the commission was owed over N2 trillion, arising from withheld funds and underpayments by both the government and the oil companies. He blamed this on non-compliance with the Act establishing the commission.

Ogbuku said: “When we talk about funding, the NDDC Act says the monthly allocation from the Federal Government is 15 per cent of the allocation of nine states of the Niger Delta. But I can tell you that since the inception of the NDDC, we have not received that.” This shortfall in funding, he lamented, placed a huge debt burden on the commission, forcing it to adopt alternative means of financing its key projects and programmes.

Thankfully, the EFCC stepped in to assist the NDDC to recover its outstanding funds. In their different interactions with the NDDC leadership, members of the National Assembly have frowned at the disregard of extant laws relating to funding the commission.

The lawmakers have consistently shown their displeasure over the disregard of the law by the IOCs and promised to call them to order. They decried a situation where the NDDC is put in a bind over revenue issues because the IOCs are not fulfilling their statutory obligations.

When you have a situation where you have a debt profile of over N1 trillion, you are no longer talking about sustainable development. With such a high debt profile, contractors who have the capacity to deliver on projects will run away from executing contracts. Hence, it became imperative to reverse the trend. In taking a new trajectory, the existing laws will provide the necessary bulwark as the NDDC Act states clearly how the commission shall be funded.

Section 14[2] provides that “there shall be paid and credited to the fund established pursuant to subsection [1] of this section; [a] from the Federal Government the equivalent of 15 per cent of the total monthly allocation due to the member states of the commission from the federation account, this being the contribution of the Federal Government to the commission; [b] three per cent of the total annual budget of any oil-producing company operating onshore and offshore in the Niger Delta area, including gas processing companies; [c] 50 per cent of monies due to member states of the commission from the ecological fund…” and other sources such as grants and loans.

Unfortunately, some of the major contributors, including some of the oil companies were not paying the three per cent of their annual budget as required by law. Available facts indicate that they deduct the first charges before calculating the three per cent from the balance. In doing this, they are more or less, hurting themselves because what they spend for the development of the Niger Delta is for their own good at the end of the day.

Given the enormous impact of their activities on the environment, the oil companies are expected to be at the forefront in the critical task of urgently developing the oil basin that has suffered so much neglect in the past. It is, in fact, in their interest to develop the communities where they operate in order to guarantee peace, which is very necessary for them to continue with their work.

The reservation being expressed by some of the oil companies, with respect to the judicious application of their contributions, is not justified as the Act establishing the NDDC makes it the most monitored Federal Government agency in the country.

The relevant committees in the Senate and the House of Representatives, the office of the Secretary to the Federal Government, the NDDC Advisory Committee made up of all the governors of the region, among others, take turns to beam the searchlight on the activities of this very important interventionist agency. In a way, this has helped the commission to always be on its toes.

There is no gainsaying that the NDDC needs to be adequately funded to effectively address the sustainable development of the Niger Delta region, noting that the challenge of developing the region was enormous and that all relevant contributors to the NDDC must play their roles diligently.

• (c) Ifeatu Agbu