The Federal Government has threatened to drag Shell to Court over the non-payment of $3,600,191,206.00 fine for Bonga oil spill of December 20, 2011.
The government, which said this through one of its agency, National Oil Spill Detection and Response Agency (NOSDRA), said it was particularly enraged by lack of attempt by the oil company to provide relief materials for the shoreline fishing communities with respect to the acute and chronic impact of the crude oil on the environment allegedly caused by equipment failure and the admission by the then managing director that 40,000 barrels of crude oil spilled into the Atlantic Ocean.
“NOSDRA has directed SNEPCO to pay the said fine and compensation or face the legal machinery available to the agency to ensure its compliance,” the agency said.
Shell’s spokesperson, Mr. Precious Okolobo, declined to comment on the matter when contacted
However, a source at the company denied wrong doing by Shell’s management. According to him, the company’s efforts to pay the compensation were hampered by an ongoing court case.
NOSDRA, nonetheless, said that its statement should serve as a reminder to Shell Nigeria exploration and Production Company (SNEPCO), notifying the company of the sanction the agency imposed on the oil firm in 2014 for damage done to the natural resources and means of livelihood by the Bonga oil spill of December 20, 2011.
The reminder was contained in a letter signed by the Director-General/Chief Executive of NOSDRA, Mr. Peter Idabor, which directed SNEPCO to pay the sum of $3,600,191,206.00 or its naira equivalent as com-pensation and administrative costs for failure to effect clean up on the impacted site within the stipulated period, as provided in the agency’s Act and Regulations.
The agency’s statement issued by the Head/Deputy Director, Public Affairs Unit (PAU), NOSDRA, Mr. Henshaw Ogubike, said: “Despite the fact that the incident was caused by equipment failure and the admission by the then managing director that 40,000 barrels of crude oil spilled into the Atlantic Ocean, no attempt was made by the oil company to provide relief materials for the shoreline fishing communities with respect to the acute and chronic impact of the crude oil on the environment.”
In 2014, NOSDRA had issued a notification of sanction to the oil company with regards to the Bonga spill incident but it has yet neither paid compensation to the affected shoreline communities nor provided relief materials to them, as directed by the agency and the House Committee on Environment.
Meanwhile, communities affected by the spill, have described as bizarre, the alleged refusal by the company to pay $3.6 billion compensation to the victims of the crude oil spill, as directed by the NOSDRA.
In a statement by His Royal Highness I.B Ojukonsin, the communities said: “SNEPCO’s allegation that some persons took them to court as the only reason why they are refusing to settle the said crude oil spill compensation bill is unacceptable.
“This is because the said shoreline communities and fisher-persons affected by the said crude oil spill are not in court with SNEPCO since they voluntarily agreed not to engage in any litigation with SNEPCO and submitted to Federal Government-led peaceful settlement.”
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