Library / Midstream Petroleum (Host Communities Development Trust) Regulations 2024
Midstream Petroleum (Host Communities Development Trust) Regulations 2024

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(3)  The Authority may, in addition to the penalty prescribed in subregulation
(2) of this regulation, revoke the licence of the defaulting licensee or operator
or in the case of a refinery make a recommendation to the Minister responsible
for Petroleum Resources, for the revocation of the refinery licence.
(4)  Where the licensee fails to undertake the remedial action or fails
to comply with the directives of the Authority pursuant to regulation 10(4)
of these Regulations, the licensee is liable to an administrative penalty of
N5,000,000.
(5)  A licensee who fails, neglects or refuses to submit its annual returns to
the Authority in line with regulation 31 (1) of these Regulations is liable to —
(a)  an administrative penalty of N100,000.00; and
(b)  in the case of a continuous offence, to an additional administrative
penalty of N100,000.00 for each day during which the offence continues.
(6)  Where the licensee provides evidence that the inability to submit
annual returns within the prescribed period is due to the refusal of the Board
of Trustees to provide same promptly, the licensee shall be entitled to deduct
the administrative penalty paid pursuant to sub-regulation (2) of this regulation
from the 3% annual contribution.
(7)  Where a withdrawal from the Fund is not in compliance with the Act,
these Regulations or the approved host communities development plan, the
licensee is liable to an administrative penalty not exceeding N5,000,000.
(8)  A person who fails to comply with the provisions of regulation 32 of
these Regulations is liable to an administrative penalty of not less than
N2,500,000 and a further sum of N250,000 for every day during which the
contravention persists.
(9)  A Fund Manager who fails to comply with the provisions of regulation
35 of these Regulations is liable to an administrative penalty of N10,000,000
or such additional sum as may be prescribed by the Authority and where the
investment resulted in a diminution of the fund, the Fund Manager shall be
personally liable to make up for the loss.
38.—(1) Where in any year, an act of vandalism, sabotage or other
civil unrest occurs that causes damage to designated facilities or disrupts
petroleum operations within the host communities, the community shall
forfeit its entitlement to the extent of the costs of repairs of the damage
that resulted from the activity with respect to the provisions of the Act
within that financial year.
(2)  The basis for computation of the trust fund in any year shall  exclude
the cost of repairs of damaged facilities attributable to any act of vandalism,
sabotage or other civil unrest.
Vandalism