In helping to put out gas flares in Nigeria, NLNG through its community relations management, is also serving the interest of the communities in which it operates. Community development emphasis is geared towards self-reliance and sustainability.
Nigeria LNG has so far executed no fewer than 50 community projects on Bonny Island and about 200 self-help projects on its pipeline communities. These projects cover the provision of health, roads, electricity, water and other social amenities.
In pursuing its community development policies, the company provides support to local communities in two broad areas: business and human development and the provision of infrastructure. While business and human development support programmes are aimed at enabling the community develop the appropriate mindset for self reliance and development independent of outsiders, infrastructure projects are engineering projects related to development or refurbishment of existing physical infrastructure.
On these projects, NLNG expends more than seven million dollars annually.
Business and Human Development Programmes
The business and development programme of the NLNG involves the following efforts:
- Encouragement of indigenous contractors
In demonstration of its stakeholding community development principle towards its pipelines, NLNG is responding to the host communities' expectations by awarding contracts to indigenous contractors in two ways:Pipelines Right of Way surveillance and inspection contracts :
In this way, NLNG pays compensation to communities across its pipeline routes for (Right of Way and economic trees) far in excess of approved industry rates. Quantified according to size of land holding, holders of the GTS Row Contracts, employ family members to maintain the Right of Way. Such holders receive payments from NLNG on a monthly and quarterly basis.
- Asset maintenance contracts:
NLNG also awards contracts for the painting of signposts, markers as well as the cutting of grass,etc.
- Employment of skilled and unskilled labour
NLNG provides employment opportunities to skilled and unskilled members of its host communities.'
- Provision of micro-credit
Award of scholarships
Scholarship
In 1998, NLNG established a community scholarship scheme designed for sons and daughters from the NLNG host communities. This scheme covers post primary and tertiary education.
It kicked off in 1998 with 95 candidates. This number rose to 240 during the 1999/2000 academic year and by 2000/2001, NLNG had awarded scholarships to over 632 candidates.
So far, over 1,000 students have benefitted from among the NLNG's host communities in Bonny and GTS.
Infrastructure Programme
The infrastructure programme is made up of the following components:
Upgrading of existing infrastructure:
Health Sector
- Renovation of Health staff quarters in Bakana
- Renovation of Health staff quarters in Isaka Health centre
- Refurbishment in Ebogoro Water extension in Obite Health centre
- Completion in Ohali-Elu Health centre
- Refurbishment in Okposi
- Provision of Health centre equipment at Omoku
Prior to 2002, several health projects had already been completed in Ogba, Emohua, Ekpeye and Abua Kingdoms.
Apart from health projects, NLNG has also shown interest in projects that empower its host communities socially and economically. Some of these projects include:-
- The provision of cold store to the Bonny community
- The renovation of the Finima market
- The construction of shopping mall in Bonny
- Provision of buses for Finima and Bonny youths
- Provision of cargo boat for Finima Women
- Provision of fishing materials to several GTS communities in Okirika and Kalabari whose main occupation is fishing
- Provision of four cargo boats to the Bonny community
- Provision of cargo boats outboard engines to several GTS communities
- Support for local contractors and entrepreneurs through contracts given to them in the provision of community amenities and projects
- Construction/renovation of civic centres which act as recreation centers as well as generate income through rentals by the local communities
- Empowering Local contractors at work on community projects
Road Construction / Rehabilitation
- Building of Coal Beach Roundabout
- Rehabilitation of road to Finima
- Rehabilitation of Court Road
- Rehabilitation of Lecox/Isowari Road
- Rehabilitation of New Layout & King Jaja Road
- Rehabilitation of road to Vocational Training School
- Rehabilitation of Park Road
- Rehabilitation of Government School Hospital Road Bypass
- Rehabilitation of King Perukele Road
- Costruction of Bonny Sandy Road
Provision of Potable Water
The company has contributed to the provision of potable water to its host communities in the following ways:
- Construction of gigantic water borehole in Ubeta
- NLNG is also responsible for the operation and distribution of water supply in Finima town and most parts of Bonny
Joint Industry Committee (JIC)
In a bid to actualise its community relations programmes, Nigeria LNG is also leading other operators on Bonny Island comprising Mobil Producing Nigeria Unlimited and Shell Petroleum Development Company of Nigeria (SPDC) in a Joint Industry Committee (JIC).
For this purpose a multi-billion naira projects Memorandum Of Understanding (MOU) was signed between NLNG, Mobil, SPDC and the Bonny Kingdom aimed among other things at:
Pooling resources together to execute bigger projects and eliminate duplication of efforts
Through the JIC, projects that would ordinarily not have been possible for any of the companies to execute individually have been executed on Bonny Island with Nigeria LNG bearing 50% of the cost while Mobil and Shell contribute 30% and 20% respectively.
The company's partnership principle has found expression in joint efforts to build, maintain and sometimes renovate classroom blocks, bore holes, town halls, roads, etc, in Bonny Island.
The MOU is expected to provide Bonny two major roads of 2.7km, improved electricity, water supply and accelerated future development of the Island through the design and implementation of a Bonny Master Plan.
JIC Projects:
- 2.7 km link road along existing embankment to Abalamibie
- 2.7 km Bonny by-pass road
- Provision of higher capacity power distribution network
- Bonny town water scheme
- Abalamabie Water extension and
- Production of a master plan for Bonny
Power Generation, Distribution and Maintenance
- The Bonny Utilities Company (BUC) established by the JIC for the management, operation and maintenence of utilities on Bonny Island has provided Bonny communuities about 95% uninterrupted power supply since its inception.