Oil industry operators and petroleum regulators have strongly opposed a proposal that would require oil and gas producing companies to contribute 3% of their annual budgets to the South-South Development Commission (SSDC).
They warned that the new levy could discourage investment, increase operational costs, and reduce the competitiveness of Nigeria’s petroleum sector.
The concerns were voiced on Wednesday during a resumed public hearing organised by the House of Representatives Committee on the South-South Development Commission.
The session focused on a bill to amend the SSDC (Establishment) Act, 2025, aimed at strengthening the commission’s funding framework.
Committee Chairman Julius Pondi explained that the hearing was reconvened to accommodate key stakeholders who missed the initial session due to the Nigerian Oil and Gas Conference. He emphasised the need for broad input, given the petroleum sector’s critical role in the proposed amendment.
Pondi noted that the amendment seeks to expand the commission’s funding base to better address infrastructure
