Niger-Delta Development Commission (Establishment etc) Act

2000 Act No 6
Laws of the Federation of Nigeria

Arrangement of Sections

Part I
Establishment, Etc of The Niger-Delta Commission and the Governing Board

1. Establishment of the Niger-Delta 2. Establishment of the Governing 3. Tenure of office of Board

Development Commission, etc. Board of the Commission. members.
4. Rotation of office of Chairman of 5. Cessation of membership of the
the Commission. Board etc.

Part II
Functions and Powers of the Commission, Etc.

6. Allowances of members. 7. Functions and powers of the 8. Powers of the, Board

Commission.

Part III
Structure of the Commission

9. Establishment of Directorates. 10. Establishment of the Management 11. Establishment of the Niger-
Committee. Delta Development Advisory
Committee.

Part IV
Staff

12. Appointment of Managing 13. Service in the Commission to be

Director, etc. pensionable.

Part V
Financial Provisions

14. Fund of the Commission. 15. Expenditure 16. Gifts to the Commission
17. Powers to borrow. 18. Annual estimates and 19. Quarterly report.
expenditure.
20. Annual report.

Part VI
Miscellaneous

21. Establishment of Monitoring 22. Offices and premises of the 23. Directives by the President,
Committee. Commission. Commander-in-Chief of the
Armed Forces.
24. Limitation of suit against the 25. Service of documents. 26. Restriction on execution
Commission, etc. against property of the
Commission.
27. Indemnity of officers. 28. Repeal of 1998 No.41, and 29. Regulations.
savings provision, etc.
30. Interpretation 31. Citation.

Niger-Delta Development Commission (Establishment etc) Act

2000 Act No 6
Laws of the Federation of Nigeria

An Act to provide for the repeal of the Oil, Mineral Producing Areas Commission Decree 1998, and among
other things, establish a new Commission with a re-organised management and administrative structure for more
effectiveness; and for the use of the sums received from the allocation of the Federation Account for tackling
ecological problems which arise from the exploration of oil minerals in the Niger-Delta area and for connected
purposes

12th day of July 2000

Enacted by the National Assembly of the Federal Republic of Nigeria

Part I
Establishment, Etc of The Niger-Delta Commission and the Governing Board

1. (1) There is hereby established a body to be known as Niger-Delta Development Commission (in this Act
referred to as "the Commission").

(2) The Commission-

(a) shall be a body corporate with perpetual succession and a common seal;

(b) may sue and be sued in its corporate name.

(3) The Commission shall have its head office in Port Harcourt, Rivers State and shall establish an office
in each member state of the Commission.

2. (1) There is hereby established for the Commission a governing Board (in this Act referred to as "the
Board"), which shall consist of-

(a) a Chairman;

(b) one person who shall be an indigene of an oil producing area to represent each of the following
member States, that is,

(i) Abia State,

(ii) Akwa-lbom State,

 (iii) Bayelsa State,

(iv) Cross River State,

(v) Delta State,

(vi) Edo State,

(vii) Imo State,

(viii) Ondo State, and

(ix) Rivers State;

(c) three persons to represent non-Oil mineral producing States provided that such membership
should be drawn from the remaining geo-political zones which are not represented in the
Commission;

(d) One representative of Oil producing companies in the Niger- Delta nominated by the Oil
producing companies;

(e) one person to represent the Federal Ministry of Finance;

(f) one person to represent Federal Ministry of Environment

(g) the managing Director of the Commission

(h) two executive Directors

(2) The Chairman and other members-of the Board shall-

(a) be appointed by the President, Commander-in-Chief of the Armed Forces, subject to the
confirmation of the Senate, in consultation with the House of Representatives.

(b) be persons of proven integrity and ability.

(3) The members of the Board referred to in paragraph (a - f) of sub-section (1) of this section shall be
part-time members

(4) The supplementary provisions set out in the Schedule to this Act shall have effect with respect to the
proceedings of the Board and the other matters contained therein.

3. (1) Subject to the provisions of section 4 of this Act a member of the Board, other than an ex-officio
member, shall hold office for a term of 4 years at the first instance and may be re-appointed for a
further term of 4 years and no more

(2) A member of the Board other than ex-officio member, may resign his appointment by notice, in
writing under his hand addressed to the President Commander-in-Chief of the Armed Forces, which
resignation shall take effect only upon receipt by the President, Commander-in-Chief.

4. The office of the Chairman shall rotate amongst the member states of the Commission in the following
alphabetical order.

(a) Abia State;

(b) Akwa-Ibom State;

(c) Bayelsa State;

 (d) Cross-River State;

(e) Delta State;

(f) Edo State;

(g) Imo State;

(h) Ondo State; and

(i) Rivers State,

5. (1) Notwithstanding the provisions of section 3 of this Act, a person shall cease to hold office as a
member of the Board if-

(a) he becomes bankrupt, suspends payment or compounds with his creditors; or

(b) he is convicted of a felony or any offence involving dishonesty or fraud, or

(c) he becomes of unsound mind, or incapable of carrying out his duties; or

(d) he is guilty of a serious misconduct in relation to his duties; or

(e) in the case of a person possessed of professional qualifications, he is disqualified or suspended,

other than at his own request, from practising his profession in any part of the world by an order
of a competent authority made in respect of that member: or

(f) he resigns his appointment by a letter addressed to the President, Commander- in-Chief of the
Armed Forces.

(3) Where a vacancy occurs in the membership of the Board it shall be filled by the appointment of a
successor to hold office for the remainder of the term of office of his predecessor, so however, that the
successor shall represent the same interest and shall be appointed by the President, Commander-in-
Chief of the Armed Forces subject to the confirmation of the Senate in consultation with the House of
representatives.

6. There shall be paid to every member of the Board such remunerations, allowances and expenses as the
Federal Government may, from time to time, direct.

Part II
Functions and Powers of the Commission, Etc.

7. (1) The Commission shall-

(a) formulate policies and guidelines for the development of the Niger- Delta, area,

(b) conceive, plan and implement, in accordance with set rules and regulations, projects and
programmes for the sustainable development of tie Niger-Delta area in the field of transportation
including roads, jetties and waterways, health, education, employment, industrialization,
agriculture and fisheries, housing and urban development, water supply, electricity and
telecommunications;

(c) cause the Niger-Delta area to be surveyed in order to ascertain measures which are necessary to
promote its physical and socio- economic development,

(d) prepare master plans and schemes designed to promote the physical development of the Niger-
Delta area and the estimates of the costs of implementing such master plans and schemes;
 (e) implement all the measures approved for the development of the Niger- Delta area by the Federal
Government and the member States of the Commission;

(f) identify factors inhibiting the development of the Niger-Delta area and assist the member States
in the formulation and implementation of policies to ensure sound and efficient management of
the resources of the Niger-Delta area,

(g) assess and report on any project being funded or carried out in the Niger-Delta area by oil and
gas producing companies and any other company including non-governmental organisations and
ensure that funds released for such projects are properly utilised;

(h) tackle ecological and environmental problems that arise from the exploration of oil mineral in
the Niger-Delta area and advise the Federal Government and the member States on the prevention
and control of oil spillages gas flaring and environmental pollution-,

(i) liaise with the various oil mineral and gas prospecting and producing companies on all matters of
pollution prevention and control.

(j) execute such other works and perform such other functions which in the opinion of the
Commission, are required for the sustainable development of the Niger- Delta area and its
peoples; and

(2) In excising its functions and powers under this section, the Commission shall have regard to the varied
and specific contributions of each member State of the Commission.

(3) The Commission shall be subject to the direction, control or supervision in the performance of its
functions under this Act by the President, Commander-in-Chief of the Armed Forces of the Federal
Republic of Nigeria.

8. The Board shall have power to:-

(a) manage and supervise affairs of the Commission;

(b) make rules and regulations for carrying out the functions of the Commission

(c) enter and inspect premises, projects and such places as may be necessary for the purposes of
carrying out its functions under this Act.

(d) pay the staff of the Commission such remuneration and allowances as appropriate.

(e) enter into such contracts as may be necessary or expedient for the discharge of its functions and
ensure the efficient performance of the functions of the Commission,

(f) do such other things as are necessary and expedient for the efficient performance of the functions
of the Commission,

Part III
Structure of the Commission

9. (1) There shall be established in the head office of the Commission, the following Directorates-

(a) the Directorate of Administration and Human Resources,

(b) the Directorate of Community and Rural Development,

(c) the Directorate of Utilities Infrastructural Development and Waterways,

(d) the Directorate of Environmental Protection and Control,

(e) the Directorate of Finance and Supply;

 (f) the Directorate of Agriculture and Fisheries

(g) the Directorate of Planning, Research, Statistics and Management Information System;

(h) the Directorate of Legal Services

(i) the Directorate of Education, Health and Social Services;

(j) the Directorate of Commercial and Industrial Development, and

(k) the Directorate of Projects Monitoring and Supervision.

(2) The Board may with the approval of the President, Commander-in-Chief of the Armed Forces of the
Federal Republic of Nigeria increase the number of directorates as it may deem necessary and
expedient to facilitate the realisation of the objectives of the Commission.

10. There shall be for the Commission a Management Committee which shall-

(a) consist of a Chairman who shall be the Managing Director, two Executive Directors, the
Directors responsible for the Directorates established under section 9 of this Act and such number
of other members as may be determined from time to time by the Board.

(b) be responsible to the Board for the general administration of the Commission.

11. (1) There is hereby established for the Commission, a Niger-Delta Development Advisory Committee
(in this Act referred to as "the Advisory Committee") which shall consist of-

(a) the Governors of the member States of the Commission; and

(b) two other persons as may be determined, from time to time, by the President, Commander-in-
Chief of the Armed Forces.

(2) The Advisory Committee shall be charged with the responsibility of advising the Board and monitoring
the activities of the Commission, with a view to achieving the objective of the Commission.

(3) The Advisory Committee may make rules regulating its own proceedings.

Part IV
Staff

12. (1) There shall be for the Commission, a Managing Director, and two Executive Directors who shall be
indigenes of oil producing areas starting with the member states of the Commission with the highest
production quantum of oil and shall rotate amongst member states in the order of production.

(a) have such qualification and experience as are appropriate for a person required to perform the
functions of those offices under this Act; and

(b) the Managing Director shall be the chief executive and accounting officer of the Commission.

(c) be appointed by the President, Commander-in-Chief of the Armed Forces and confirmed by the
Senate in consultation with House of Representatives.

(d) hold office on such terms and conditions as to emolument, conditions of service as may be
specified in his letter of appointment and subject to the provision of section 3 of this Act.

(2) The Managing Director shall, subject to the general direction of the Board, be responsible-

(a) for the day to day administration of the Commission;

 (b) for keeping the books and Proper records of the proceedings of the Board, and

(c) for -

(i) the administration of the secretariat of the Board, and

(ii) the general direction and control of all other employees of the Commission

(3) The Board shall have power to -

(a) employ either directly or on secondment from any civil or public service in 'the Federation or a
State such number of employees as may in the opinion of the Board, be required to assist the
Board in the discharge of any of its functions under this Act; and

(b) pay to persons so employed such remuneration (including allowances) as the Board may
determine.

13. (1) Service in the Commission shall be approved service for the purposes of the Pensions Act.

(2) The officers and other persons employed in the Commission shall be entitled to pensions, gratuities
and other retirement benefits as are enjoyed by persons holding equivalent grades as appropriate.

(3) Nothing in subsections (1) and (2) of this section shall prevent the appointment of a person to any
office on terms which preclude the grant of pension and gratuity in respect of that office

(4) For the purposes of the application of the provisions of the Pensions Act, any power exercisable
thereunder by the Minister or other authority of the Government of the Federation, other than the
power to make regulations under section 23 thereof. is hereby vested in and shall be exercisable by the
Commission, and not by any other person or authority.

Part V
Financial Provisions

14. (1) The Commission shall establish and maintain a fund from which shall be defrayed all expenditure
incurred by the Commission.
(2) There shall be paid and credited to the fund established pursuant to subsection (1) of this section-

(a) from the Federal Government, the equivalent of 15 percent of the total monthly statutory
allocations due to member States of the Commission from the Federation Account; this being the
contribution of the, Federal Government to the Commission-

(b) 3 percent of the total annual budget of any oil producing company operating, on shore and off
shore, in the Niger-Delta Area; including gas processing companies;

(c) 50 percent of monies due to member States of the Commission from the Ecological Fund,

(d) such monies as may from time to time, be granted or lent to or deposited with the Commission
by the Federal or a State Government, any other body or institution whether local or foreign;

(e) all moneys raised for the purposes of the Commission by way of gifts, loan, grants-in-aid,
testamentary disposition or otherwise; and

(f) proceeds from all other assets that may, from time to time, accrue to the Commission.

(3) The fund shall be managed in accordance with the rules made by the Board, and without prejudice to
the generality of the power to make rules under this subsection, the rules shall in particular contain
provisions-
 (a) specifying the manner in which the assets or the fund of the Commission are to be held, and
regulating the making of payments’ into and out of the fund; and

(b) requiring the keeping of proper accounts and records for the purpose of the fund in such form as
may be specified in the rules.

15. The Commission shall apply the proceeds of the fund established pursuant to section 14 of this Act to-

(a) the cost of administration of the Commission,

(b) the payment of salaries, fees, remuneration, allowances, pensions and gratuities payable to the
members of the Board specified in section 6 of this Act or any committee of the Board and the
employees of the Commission;

(c) the payment for all contracts, including mobilisation, fluctuations, variations, legal fees and cost
on contract administration,

(d) the payment for all purchases; and

(e) undertaking such other activities as are connected with all or any of the Functions of the
Commission under this Act.

16. (1) The Commission may accept gifts of land money, or other property on such terms and conditions, if
any, as may be specified by the person or organisation making the gift.

(2) The Commission shall not accept any gift if the conditions attached by the person or organisation
making the gift are inconsistent with, the functions of the Commission under this Act.

17. The Commission may, with the consent of the President, Commander- in-Chief of the Armed Forces,
borrow, on such terms and conditions as the Commission may determine, such sums of money as the
Commission may require in the exercise of its functions under this Act.

18. (1) The Board shall, not later than 30th September in each year, submit to the National Assembly
through the President, Commander-in-Chief of the Armed Forces an estimate of the expenditure and
income of the Commission during the next succeeding year for approval.

(2) The Board shall cause to be kept proper accounts of the Commission in respect of each year and
proper records in relation thereto and shall cause the accounts to be audited not later than 6 months
after the end of each year by auditors appointed from the list and in accordance with the guidelines
supplied by the Auditor-General for the Federation.

19. The Commission shall, at the end of every quarter in each year, submit to the President, Commander-in-
Chief of the Armed Forces of the Federal Republic of Nigeria report on the activities and administration of
the Commission.

20. (1) The Board shall prepare and submit to the President, Commander-in-Chief of the Armed Forces of
the Federal Republic of Nigeria, not later than 30th June in each year, a report in such form as the
President, Commander-in-Chief of the Armed Forces may direct on the activities of the Commission
during the immediately preceding year, and shall include in the report a copy of the audited accounts of
the Commission for that year and the auditor's report thereon.

(2) The President, Commander-in-Chief of the Armed Forces shall, upon receipt of the report referred to
in subsection (1) of this section, cause a copy of the report and the audited accounts of the Commission
and the auditor's report thereon to be submitted to each House of the National Assembly.

Part VI
Miscellaneous
21. (1) There is hereby established for the Commission a Monitoring Committee which shall consist of such
number of persons as the President, Commander-in-Chief of the Armed Forces may deem fit to appoint
from the public or civil service of the Federation.

(2) The Monitoring Commission shall-

(a) monitor the management of the funds of the Commission and the implementation of the projects
of the Commission and

(b) have access to the books of account and other records of the Commission at all times, and submit
periodical reports to the President, Commander-in-Chief of the Armed Forces.

22. (1) For the purposes of providing offices and premises necessary for the performance of its functions
under this Act, the Commission may, subject to the Land Use Act-

(a) purchase or take on lease any interest in land, or other property; and

(b) construct offices and premises and equip and maintain same.

(2) The Commission may, subject to the Land Use Act, sell or lease out any office or premises held by it,
which office or premises is no longer required for the performance of its functions under this Act.

23. Subject to the provisions of this Act, the President, Commander-in-Chief of the Armed Forces may give
to the Commission directives of a general nature or relating generally to matters of Policy with regard to the
performance by the Commission of its functions and it shall be the duty of the Commission to comply with
the directives.

24. (1) Subject to the provisions of this Act, the provisions of the Public Officers Protection Act shall apply
in relation to any suit instituted against any officer or employee of the Commission.

(2) Notwithstanding anything contained in any other law or enactment, no suit shall lie against any
member of the Board, the Managing Director or any other officer or employee of the Commission for
any act done in pursuance or execution of this Act or any other law or enactment, or of any public duty
or authority or in respect of any alleged neglect or default in the execution of this Act or such law or
enactment, duty or authority, shall lie or be instituted in any court unless –

(a) it is commenced within three months next after the act, neglect or default complained of; or

(b) in the case of a continuation of damage or injury, within six months next after the ceasing
thereof.

25. A notice, summons or other document required or authorised to be served upon the Commission under the
provisions of this Act or any other law or enactment may be served by delivering it to the Managing
Director or by sending it by registered post and addressed to the Managing Director at the principal office
of the Commission.

26. (1) In any action or suit against the Commission, no execution or attachment of process in the nature
thereof shall be issued against the Commission

(2) Any sum of money which may by the judgment of any court be awarded against the Commission
shall, subject to any direction given by court where notice of appeal of the said judgment has been
given, be paid from the general reserve fund of the Commission.

27. A member of the Board the Managing Director, any officer or employee of the Commission shall be
indemnified out of the assets of the Commission against any proceeding, whether civil or criminal, in which
judgment Is given in his favour or in which he is acquitted, if any such proceeding is brought against him in
his capacity as a member of the Board, the Managing Director, officer or employee of the Commission.
28. (1) The Oil Mineral Producing Areas Development Commission Decree 1998 is hereby repealed and
accordingly the Commission established under that Decree (in this section referred to as "the dissolved
Commission") is consequentially dissolved.

(2) By virtue of this Act, there shall be vested in the Commission immediately at the commencement of
this Act, without further assurance, all assets, funds, resources and other movable and immovable
property which immediately before the commencement of this Act were vested in the dissolved
Commission.

(3) As from the date of the commencement of this Act, all rights, interests, obligations and liabilities of
the dissolved Commission existing before the commencement of this Act under any contract or
instrument or in law or equity, shall by virtue of this Act be assigned to and vested in the Winding- up
Committee to be established and funded by the Federal Government to verify and settle outstanding
debt of the dissolved Commission.

(4) Any proceedings or cause of action pending or existing immediately before the commencement of
this Act by or against the dissolved Commission in respect of any right, interest, obligation or liability
of the dissolved commission may be commenced or continued, as the case may be, and any
determination of any court of law, tribunal or other authority or person may be enforced by or against
the Commission to the same extent that the proceedings, cause of action or determination might have
been continued, commenced or enforced by or against the dissolved Commission as if this Act had not
been made.

(5) Notwithstanding the provisions of this Act but subject to such directions as may be issued by the
Commission, a person who immediately before the commencement of this Act held office in the
dissolved Commission shall be deemed to have been transferred to the Commission on terms and
conditions not less favourable that those obtaining immediately before the commencement of this Act,
and service in the dissolved Commission shall be deemed to be service in the Commission for
purposes of pension.

(6) The President, Commander-in-Chief of the Armed Forces, if he thinks fit, may, within twelve months
after the commencement of this Act, by order published in the Gazette, make additional transitional or
saving provisions for the better carrying out of the objectives of this section.

29. The Commission may, with the approval of the President, Commander-in-Chief of the Armed Forces,
make regulations, generally for the purposes of giving full effect to this Act.

30. In this Act, unless the context otherwise requires-

"Chairman" means the Chairman of the Board;

"Commission" means the Niger-Delta Development Commission established by section I of this Act;

"Board" means the governing Board established for the Commission under section 2 (1) of this Act;

"member"' means a member of the Board and includes the Chairman, Managing Director and Executive
Directors

"member States" include Abia, Akwa-lbom, Bayelsa, Cross River, Delta, Edo, Imo, Ondo, Rivers States
and any other
oil producing State.

"Oil" means oil and gas.

31. This Act may be cited as the Niger-Delta Development Commission (Establishment, etc.) Act 2000.

Schedule
Section 2(4)
 Supplementary Provisions Relating to the Board, Etc.

Proceedings of the Board

1. (1) Subject to this Act and section 27 of the Interpretation Act, the Board may make standing orders
regulating its proceedings or those of any of its committees.

(2) The quorum of the Board shall be the Chairman :)r the person presiding at the meeting, Managing
Director or one Executive Director and one third of other members of the Board. The quorum of any
Committee of the Commission shall be as determined by the Board.

2. (1) The Board shall meet whenever it is summoned by the Chairman and if the Chairman is required to
do so by notice given to him by not less than 4 other members, he shall summon a meeting of the
Board to be held within 14 days from the date on which the notice is given.

(2) At any meeting of the Board the Chairman shall preside but if he is absent, the members present at the
meeting shall appoint one of their member to preside at the meeting.

3. (1) The Board may appoint one or more committees to carry out, on behalf of the Board such functions as
the Board may determine.

(2) A committee appointed under this paragraph shall consist of such number of persons as may be
determined by the Board and a person shall hold office on the committee in accordance with the terms
of his appointment.

(3) A decision of a committee of the Board shall be of no effect until it is confirmed by the Board.

4. (1) The fixing of the seal of the Commission shall be authenticated by the signatures of the Chairman or
any other member of the Board generally or specifically authorised by the Board to act for that purpose
and the Managing Director.

(2) A document purporting to be a document duly executed under the seal of the Commission shall be
received in evidence and shall, unless and until the contrary is proved be presumed to be so executed.

5. The validity of any proceedings of the Board or of a committee shall not be adversely affected by-

(a) a vacancy in the membership of the Board or committee; or

(b) a defect in the appointment of a member of the Board or committee; or

(c) reason that a person not entitled to do so took part in the proceedings of the Board or committee.

Date passed by Senate Date passed by House of Representatives

6th day of June 2000 1st day of June 2000

I certify that this Act has been carefully compared by me with the decision reached by the National Assembly
and found by me to be true and correct decision of the Houses and is in accordance with the provisions of
the Acts Authentication Act of 1961

Ibrahim Salim. CON

Clerk to the National Assembly
15thday of August 2000

I certify that this Bill as duly passed has become an Act of the National Assembly in accordance with the
provisions of Section 58(5) of the 1999 Constitution of the Federal Republic of Nigeria
 Endorsed by

Senator Chuba Okadigbo Ghali Umar Na' Abba

Senate President Speaker of the House of Representatives
12th day of July 2000 11th day of July 2000