The Transitional National Legislative Assembly (TNLA) has reiterated that whoever buys out Petronas Carigali Nile Ltd (PNCL) should compensate the communities affected by the environmental pollution.
TNLA member Aisha Abdul-Salam on Wednesday tabled a motion on the exit of the Malaysian firm from South Sudan’s oil exploration and production before the release of an environmental audit.
The exit of Petronas before the audit has raised concerns with a parliamentarian questioning who would take the responsibility for those affected by pollution.
Abdul-Salam, who represents Melut County of Upper Nile Stat, said the people affected by the pollution needed to be compensated.
“I’m moving this motion so that our destroyed environment and the communities are compensated with regards to Petronas’s withdrawal. I recommend that the government comes up with a comprehensive environmental audit report,” she said.
The exit of Petronas, confirmed in a statement, comes as the UK-based Savannah Energy terminated its planned US$1.25 billion acquisition of its assets in South Sudan.
The SPLM member representing Gogrial West County, Samuel Lual Deng, said as rumors indicated that Nilepet will be taking Petronas’s shares, it has to consider compensating those affected.
“I want to say this motion came at a right time when the government is preparing to reopen the oil exploration. We are hearing that Nilepet will be taking the shares of Petronas, they need to be careful as to how to compensate those affected,” he said.
Oil companies operating in South Sudan have long been accused of environmental pollution that has gone unaddressed for years.
A range of incidents has resulted in oil spills, and limited research has been conducted, showing growing pollution risks on surface and groundwater, including drinking sources.
Civil society groups and environmental activists have long protested the lack of response to these developments. The responsible companies have failed to provide transparency and accountability to ensure safety standards and climate adaptation measures.
The Finance and Economic Planning Minister earlier this week announced the resumption of Dar Blend crude oil exports from Upper Nile State through Sudan.