Author: Emmanuel Bagudu

 

By Emmanuel Bagudu

…faceless people not representing communities, agitating and causing confusion, says First Patriot Limited

….they dishonour our agreements, Communities cry out.

…good, credible leadership needed in Host Communities, Dangote Industries Limited suggest

The unending conflict between Mineral exploiters and their host Communities has over the years become conspicuous in Nigeria despite a consensual-based Community Development Agreement (CDA) between both parties which is based on the Nigerian Mining and Minerals Act 2007. Both the Miners and their host Communities keep reeling out the sides to their stories but the truth lies in the middle. In search for the truth behind these unending conflicts, TheNewsGuru Centre for Investigative Journalism (TNGCIJ)’s Emmanuel Bagudu, engaged in a thorough investigation which reveals that both parties must work on their shortcomings for a win-win situation to be achieved.

From the Southern State of Ebonyi up to the north Central state of Kogi, aggrieved mining host communities keep reeling out their grievances with mineral exploiters whom they entered into CDAs with. The bone of contention is just one thing. Non-implementation. Mining host communities believe the “snail speed” implementation of the CDAs they entered with the miners is same as not implementing the CDA at all.

First Patriot Ltd a salt mining Company in Agelegu village, in Ebonyi and Dangote Industries Limited, a Coal mining company in Awo-akpali village Kogi State, have been at loggerheads with their host communities despite a consensual-based CDA they entered with them. “….Every time these Communities enter into Community Development Agreement (CDA) with these Companies, they explore their ignorance on the provisions of the law and what should be in the community development agreement. So often time this results into Conflict where the Communities on their side feel being exploited and it will lead to crisis….” Dr. Okieze Kelechuckwu, an Ebonyi based environmental right activist and promoter of natural resource governance and environmental Justice, stated in an interview. Responding to Kelechukwu’s claim is Mr. Obi Alio, the Executive Director of First Patriot Ltd, who claims his company has honoured all CDAs it entered with communities. “… I have entered into a CDA with my host communities and I have followed that to the latter…. I signed this agreement with the chiefs but a lot of faceless persons keep causing trouble looking for things we did not agree upon….” Alio said.

In Kogi, Dangote Industries Limited which mines coal in Awo-akpali exonerated itself from allegations of not reaching it side of the bargain in the CDA it entered with the community. After being accused by Awo-Akpali Village Kogi state of not rectifying or building new boreholes, not providing micro-revolving loan among others, the company said it has done enough for the community even more than what the community got from the government. “…. We have done enough for Awo-akpali….” Tony Chiejina, Spokesperson, Dangote Industries Limited, stated in an interview with this reporter.

These are the blame games this reporter ran into during this investigation. But the truth lies in the middle.

 

Revealed Causes of Conflicts between Host Communities and Mineral Exploiters

What and who defines the ‘community’, that signed the CDA, the conditions under which the CDA is entered into, the enforceability of the agreement, the success of compliance monitoring, the institutional framework for the implementation of CDAs and the shortcomings of various leaderships in the Communities where these CDAs are entered with, defines the truth behind the conflicts.

To start with Ebonyi, First Patriot Ltd told our reporter that it entered into its CDA with the Chief of the Agalegu community in Ikwo Local Government Area of Ebonyi State. But the youths under the auspices of the “Enyim Edukwu Opeke Agalegu Federated Union” who form up to seventy percent (70%) of the population of the community, have been the ones challenging First Patriot Limited on the CDA. This according to the Executive director of the company, Mr. Alio is not right since the agreement was not entered into with them but their community chiefs. “… I don’t know all these people; all I know is that I signed an agreement with the chief of the community and I followed this to the latter…faceless people keep bringing funny complains, I don’t even know them….” Executive Director, First Patriot, Mr. Alio said.

When our reporter visited the community, he noticed that the community has been enjoying electricity built by First Patriot Ltd.

First Patriot Ltd also built a beautifully designed five classroom school which is yet to be occupied in the community and located in an open space visible enough for everyone to see. But unfortunately, the school was rejected by the people of Agalegu who refused to occupy it. Impeccable sources told our reporter that the school was rejected by the community because it was not a major need. Community members who spoke said the school was built for “Show Purposes” which implies that it was not among the Key things the community demanded in the CDA.

School built by first patriot in Agalegu

While the new school building keeps attracting the attention of visitors into the community and possibly creating goodwill for First Patriot Ltd, cracked houses destroyed as a result of the mining activities by First Patriot Ltd are also visible. People living in the cracked buildings attested to the fact that, they are yet to be compensated by First Patriot Ltd.

Some cracked houses in Agalegu

“…it is only electricity and that school building that they have done….We had an agreement that they are going to build a hospital for us but they have not built it. We also agreed they will build water facilities for us but they did not built it. Then, Scholarship to our children, they have done nothing in that regard. And in the CDA also, if they damage anybody’s house, they’re to fix it, but they are not fixing any house they damaged as you can see…. They also promised to grade our road but they’re not grading it….” Sylvia Princess, an official of the “Enyim Edukwu Opeke Agalegu Federated Union said in an interview

Sylvia also added allegations of impunity and human right abuses where she said police and other security agents are sent to harm armless protesters that dare protest against First Patriot Ltd. “…. As a matter of fact, we have reported this case to National Assembly, they invited them for the first sitting, and they did not go….They use to beat our people working for them…. Any time we protest they use police and Army on us…. Obi Alio their Director said their envelope is louder than our voice” Sylvia laments.

Making a case for First Patriot Ltd, Alio said he has spent Millions of Naira to fulfill his own side of the bargain. According to him he has given scholarships, built a school, provided electricity; relocate residents around his mining sites and maintain roads.

“…. Our agreement is supposed to last for five years…this agreement took effect from 2018 and will last to 2023…. I am supposed to bring… Electricity which I have already done, I spent almost N52 million naira in trying to do that… Alio said.

“there roads, I maintain them which is part of what I am supposed to do, and then again i have built twelve culverts in the community and everybody is happy about that, then school, I have built a school, I build six classrooms, it’s there on the ground for anybody to see, then I am also doing a health center presently which is also part of the agreement within the five years period and scholarship, I am giving every year, I am also paying annual rent to the community religiously, and Christmas bonuses to different segments of the community, I am also doing that religiously….. I have relocated and build new houses to the people leaving around my mining sites….” Alio added.

One will expect that with these strides Alio claimed he achieved in Agalegu within the confines of his CDA with the community, there will be no issue of conflicts or mining related crisis. But this is not so. The complaint keeps ringing in. A surveyor working with First Patriot who pleaded anonymity told our reporter that all Alio said where lies. In fact, two CDAs where discovered by our reporter, one showing 2015 to 2020 and another 2018 to 2023. The two conflicting CDAs shows there have been conflicts and reviews of the CDA between the people of Agalegu and First Patriot Ltd, the conflict continues and may be resolved fully if both parties learned to meet with each other’s needs. Dr. Kelechukwu told our reporter that the politically exposed persons are the once being used when it comes to signing of CDA as well as manipulating it.

“….Often times, they identify the key stakeholders, politically exposed persons, they work with them, settle them, grease their palms….and sometimes they get the traditional rulers too, grease their palms, and then go ahead to exploit. They also have the support of the security agencies, which provide security to them. So you see levels of impunity at the expense of the host Communities…” Kelechuckwu said.

This is obvious from this investigation. The crisis persists because there is an obvious “divide and rule” strategy in the CDA pact. Up to seventy percent of the members of Agalegu mainly made up of youths where not carried along in the CDA pact with the community. Although First Patriot Ltd, tried it best, it must do more than mere lip service for its rift with the People of Agalegu to end.

Infograph Showing Level Of Compliance To CDA By First Patriot Ltd in Agalegu

 

In Kogi, the situation is a little bit mild but similar to that of Ebonyi in some areas, as Dangote Industries Limited has made an attempt to avert many forms of mining related crisis while extracting coal at Awo-akpali community in Ankpa Local Government Area of Kogi State. A CDA was entered into not just with Awo-akpali but with its surrounding communities as well. Nine communities including Awo-Ojoku, Onupi, Awo-Akpolokuta, Awo-Akpali, Awo-Ojuwa, Awo-Ate, Ajobe, Ofeanyaka, and Utala signed the CDA with Dangote Industries Limited.

In Awo-akpali, where the coal is mined, residents are only aggrieved with that fact the implementation of the CDA is on a “snail speed”. Chairman of Awo-akpali, Honourable Markus Okigbo who spoke to this reporter expressed dissatisfaction on behalf of the community on the level of adherence to the CDA, despite physical evidence of effort by Dangote Industries Limited to meet up.

On arrival to the community, this reporter noticed that a school and hospital are under construction by Dangote Industries Limited. An abandoned bridge covered with grasses and looking like a death trap was exposed by the community members. Some students testify they received scholarship of more than N40,000 annually from Dangote Industries Limited.

Abandoned bridge turned death trap in Awoakpali Kogi

 

But In Okigbo’s words, “….by the community development agreement we signed with the Dangote Coal Mining Company, there are so many things they are supposed to have done. As am speaking with you, they have not done up to fifty percent of it….” He said. Okigbo went further to reel out some of the failed terms of the CDA which includes failure to health care centre and school, failure to grant micro-revolving loans, skill acquisitions, skilled labour among others.

“So the people are feeling defeated psychologically” He added.

Uncompleted school building in AwoAkpali by Dangote Industries Limited

Uncompleted Hospital Building by Dangote Industries Limited in AwoAKpali

Reacting to these, Spokesman of Dangote Industries Limited, Mr. Tony Chiejina debunked the allegations saying that some few youths only want to take advantage of the investment situated in their community to cause trouble and extort. According to Mr. Chiejina, different groups gather themselves, appoint spokespersons and then start troubling the investors. He said that the Dangote Industries Ltd have given to the People of Awo-akpali more than they got from their local government authority.

“…everybody is looking for one thing or the other….it’s horrible…is it a big crime for someone to invest in his country? Nothing stops the man (referring to Aliko Dangote) from packing his things and go, but he insists on investing in his country…. When you have an investment in a community, they want you to do everything for them…. The only thing remaining for them to ask is for you to give them air to breathe….” Mr Chiejina said painfully. “You will sink borehole for them and when it goes bad, they call you back to come and fix it for them…. This is not fare….” he added

He said the frivolous demands of host communities is giving investors a very though time which on the long run brings set back to the country.

“…. Communities keeps giving investors difficulties that is why we don’t have foreign direct investment in this country…. Nothing stops a company from the U.S from coming to Nigeria and invest on rice in a vast land…. But no, they won’t because all the local council chiefs will want royalties; you must do this, do that, sponsor election….That’s why these investors prefer to go and invest in another country where things are better and easier….” he said.

Like in Agalegu in Ebonyi, youths of Awo-akpali remain the protagonist of the complaint. Although there is no record of community clashes or protests there, the Continuous demands of the youths remains a signal that must be attended to.

Infograph Showing Level Of Compliance To CDA By Dangote Industries Ltd Awo-Akpali Kogi

 

Why CDAs are important and Mandatory in Mineral Exploitation

Both the United Nations Guiding Principle on Business and Human Right as well as the Nigeria’s Mineral and Mining Act 2007 abhors the trivialization of Corporate Social Responsibilities (CSR) as well as the Breach of CDS.

According to the United Nations Guiding Principles on Business and Human Rights (UNGPBHR) the duty of the state is to protect human rights.

Section 1 A; which borders on Foundational Principles states that “States must protect against human rights abuse within their territory and/or jurisdiction by third parties, including business enterprises. This requires taking appropriate steps to prevent, investigate, punish and redress such through effective policies, legislation, regulations, and adjudication”

This is a Clarion call for the Nigerian Government; both at the federal and state level who have sworn to protect lives and properties of all citizens. Mining Host Communities must be abreast by the provisions of this law to avoid being exploited.

On the other hand Section 166 of Nigeria’s Mineral and Mining Act 2007 does provide that CDAs should contain “undertakings with respect to the social and economic contributions that the project will make to the sustainability of host community”. It also requires that CDAs address issues relevant to the host community, for example: the provision of educational scholarships; financial contributions in support of infrastructure development; assistance with the creation, development and support of small-scale and micro enterprises; agricultural product marketing and methods; and procedures for environmental and socio-economic management and local governance enhancement. The rationale for such agreements is to ensure that host communities benefit from the mining operations that take place within their communities and to minimise community conflicts, agitations and hostilities arising from perceived neglect and environmental degradation as exemplified in Ebonyi and Kogi.

Nigerian Government from Local, State to Federal Level must learn to exonerate itself from the embarrassment of being found wanting in areas of being defiant to international legal obligations.

CSO Admonishes Extractive Companies.

For the Convener of Business and Human Right Round Table and Executive Director, Global Right, Ms Abiodun Baiyewu, both Extractive Companies and their host Communities are partners in progress. Each party must play its part. She believes simple Adherence to CDAs and a responsible CSR aided by the support and cooperation of the host Community will lip-frog Communities and their Extractive Companies into tremendous progress. In her words. “…it is enlightened self-interest for extractive companies to invest in the communities in which they have businesses. By mitigating the negative impacts of their businesses they ensure their own sustainability by engendering the goodwill of their host communities…..”

More so with the emergency of the novel Covid-19 which adds to the vagaries of Poverty in mining Communities, it is important that Nigerian Government and all well-meaning individuals as well as the Extractive Companies to picture the pains the Covid-19 lockdown caused these Communities whom mining exploration has thrown into despair.

This report was supported by the Premium Times Centre for Investigative Journalism (PTCIJ) with funding support from Ford Foundation.