HEDA DEMANDS LIABILITY DISCLOSURE BEFORE TOTALENERGIES ASSET SALE

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The Human and Environmental Development Agenda (HEDA) has urged the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to publicly disclose how outstanding environmental and decommissioning liabilities will be handled before approving TotalEnergies EP Nigeria Limited’s proposed sale of its 10 per cent stake in the Renaissance Africa Energy Joint Venture.

HEDA said the regulator should thoroughly examine the environmental and financial implications of the transaction, particularly because the assets were formerly operated by the Shell Petroleum Development Company Joint Venture and have a history of environmental pollution in the Niger Delta.

The organisation also raised concerns over ongoing legal proceedings in France involving TotalEnergies SE, saying documents related to the proposed sale could provide information on how environmental liabilities and responsibility for pollution would be transferred.

HEDA further cited estimates suggesting that decommissioning the former SPDC JV assets could cost billions of dollars. It argued that the financial capacity of the proposed buyer should be clearly established before the transaction receives final regulatory approval.

The organisation called on NUPRC to explain how environmental cleanup, remediation, compensation, and decommissioning obligations would be allocated under the deal.

It also urged the regulator to put safeguards in place to ensure that affected communities and the Nigerian environment are not left to bear the cost if the successor company fails to meet its obligations.