The South-South Development Commission (SSDC) has reaffirmed its commitment to the effective implementation of the Abandonment, Decommissioning, and Environmental Remediation Funds (A&D/ERF) established under the Petroleum Industry Act (PIA), 2021, describing the initiative as a statutory and moral responsibility toward restoring the environment of the South-South region.
The Managing Director and Chief Executive Officer of the Commission, Ms. Usoro Akpabio joined the Chairman, House of Representatives Committee on South-South Development Commission, Hon. Julius Pondi, and other key stakeholders during an interactive session on Thursday at the National Assembly Complex, Abuja. The engagement focused on addressing the persistent non-implementation of the environmental and decommissioning funds mandated by the PIA.
Ms. Akpabio commended the Committee for its proactive oversight, noting that the South-South region; Nigeriaโs oil-producing heartland, has borne the brunt of environmental degradation for decades despite its central role in sustaining the national economy. She stressed that the SSDC, established by an Act of Parliament in 2025, has a clear statutory mandate to coordinate sustainable development, environmental protection, and remediation across the six South-South states.
Citing relevant provisions of the law, she explained that Sections 8(1)(h) and 9(1)(f) of the South-South Development Commission Act, 2025, empower the Commission to develop and implement environmental protection measures, as well as to collaborate with key regulatory bodies such as the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), National Oil Spill Detection and Response Agency (NOSDRA), and the Federal Ministry of Environment on environmental management and remediation efforts.
โThis legal alignment between the SSDC Act and the Petroleum Industry Act underscores one fact; the South-South Development Commission must be integrated as a statutory partner in the operationalization of the Abandonment, Decommissioning, and Environmental Remediation Funds,โ Ms. Akpabio stated.
She noted that, despite clear provisions under Sections 232โ242 and 103โ104 of the PIA mandating oil companies to set aside funds for decommissioning and cleanup, there has been no public evidence of operational escrow accounts, contributions, or disbursements since the Act came into effect. The situation, she said, reflects institutional fragmentation, poor coordination among regulatory agencies, and the exclusion of the SSDC from the fund management process, despite its regional mandate and community engagement capacity.
Ms. Akpabio described the consequences of this neglect as severe, citing over 2,000 identified spill sites, widespread destruction of mangrove ecosystems, loss of livelihoods in fishing and farming communities, and increased public health risks. She warned that continued inaction undermines the spirit of the PIA, the Renewed Hope Agenda of the Federal Government, and Nigeriaโs Energy Transition Plan (ETP 2060).
To address these gaps, the SSDC proposed a tripartite framework between the NUPRC, NMDPRA, and SSDC to establish a โSouth-South Windowโ within the A&D and ERF structures. Ms. Akpabio recommended that the arrangement be formalized through a memorandum of understanding within 90 days, enabling the SSDC to coordinate regional projects, ensure transparent fund deployment, and align remediation activities with community development priorities.
She also called for the creation of ring-fenced Central Bank of Nigeria escrow sub-accounts for assets located in the South-South, the launch of a Public Environmental Accountability Dashboard for real-time transparency, and the integration of remediation financing with Green Bonds, ESG-linked investments, and partnerships with multilateral institutions such as UNEP, UNDP, World Bank, and AfDB.
According to Ms. Akpabio, effective environmental recovery in the Niger Delta aligns with global sustainability commitments under the United Nations Sustainable Development Goals (SDGs 6, 13, 14, and 15) and should be treated as part of a broader climate justice agenda. She urged the Federal Government to lead an International Donor Compact to support the South-South regionโs environmental rehabilitation.
โThe operationalization of the Abandonment, Decommissioning, and Environmental Remediation Funds is not just a statutory obligation; it is a moral duty to restore the dignity, health, and livelihoods of the people who have sustained Nigeriaโs energy wealth for generations,โ Ms. Akpabio declared.
She reaffirmed SSDCโs readiness to collaborate with all relevant agencies, the National Assembly, and international partners to ensure that the next chapter of Nigeriaโs petroleum story is written in restoration, inclusion, and renewal rather than pollution and negle
