Snake Island Integrated Free Zone

Some Oil and Gas Free Zones firms are seeking judicial intervention in the alleged attempt by Oil and Gas Free Zones Authority (OGFZA) over attempts to regulate their operations within Snake Island Integrated Free Zone (SIIFZ).

They  have described the defendant’s plan to assume total control of space as “contemptuous’’.

The  three zones Nigerdock Nigeria Plc, Simco Freezone Company and Nigerdock Nigeria Plc-FZE had in 2016 dragged OGFZA before the Federal High Court in Lagos seeking judicial intervention over its insistence to regulate their operations within the Snake Island Integrated Free Zone.

OGFZA, acting upon an uninformed directive of the Minister of Industry, Trade and Investment had served letters on all oil and gas free zones including SIIFZ informing them of its readiness to implement the minister’s directive which empowered the authority to assume full regulatory powers over those zones.

Aside the OGFZA,  the Attorney-General of the Federation Abubakar Malami SAN and the Minister of Industry, Trade and Investment Otunba Richard Adeniyi Adebayo have also been joined in the suit as co-defendants.

Counsel to the plaintiff, Mr Qudus Mumumey, in a telephone interview in Abuja said that the last time the suit came up in court was on the Feb. 26, 2020.

According to him, the suit is fixed for definite hearing before Justice Aneke on June 1.

Mumumey also said that all the defendants in the suit were aware of the pendency of the suit having filed their responses and represented in court by counsel.

“In the light of the foregoing, the current letter from the Ministry of Industry, Trade and Investment is contemptuous, abusive, oppressive and a clear attempt to undermine the authority of the Honourable Court’’, Mumumey said.

The plaintiffs seek among other things, to know whether by the clear provisions of the Nigeria Export Processing Zone Act, Cap No. 107, Laws of the Federation of Nigeria 2004, Snake Island Integrated Free Zone (SIIFZ) should be regulated by the Nigeria Export Processing Zone Authority (NEPZA) being the Authority vested with the administration of the Authority and management of all the Export Processing Zones.

Oil And Gas Free Zone Authority

They further seek court determination on whether or not the Oil and Gas Free Zone Authority, by the Provision of the Oil and Gas Export Free Zone Act Cap 05, Laws of the Federation of Nigeria 2004, is empowered to regulate the Onne/Ikpokiri Export Free Zone and by extension regulate other Oil and Gas Export Free Zones in Nigeria.

They are also seeking clarification whether  by the letter from the Attorney General of the Federation captioned Re: Interpretation of the provisions of the Nigeria Export Processing Zones Act, Cap No 107, LFN, 2004 and Oil and Gas Export Free Zone Act, Cap 05, LFN 2004 as to which government agency is saddled with responsibility over oil and gas free zone in Nigeria dated 25th March 2008, the Attorney General of the Federation did not merely reinstate the provisions of the NEPZA and OGFZA Act.

The plaintiff averred that if the answers to the above questions were in the affirmative, the court should not hesitate in granting a declaration that the Nigeria Export Processing Zone Authority (NEPZA) is responsible for the administration and regulation of the Snake Island Integrated Free Zone (SIIFZ).

They also are seeking the declaration that the first defendant is responsible for the administration and regulation of the Onne/Ikpokiri Export Free Zone and Oil and Gas Export Free Zones in Nigeria.

The suit further seeks a declaration that the letter from the Attorney General of the Federation dated March 25, 2008, merely reinstated the provisions of the NEPZA and OGFZA Acts.

The plaintiff, therefore, went ahead seeking an order of Perpetual Injunction restraining the defendants their privies, agents, and servants from projecting itself as the Authority with the statutory powers and authority to license and regulate the operations and activities in Snake Island Integrated Free Zone.

Depending on the interpretation of the competent court, the contentious free trade zone will be under the control of either OGFZA or NEPZA. 

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