A Bill for an Act to Establish the Bitumen Development Commi

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C168 2000 No.   Bitumen Development Commission 

Schedule. 

Tenure of

Office. 

Cessation of

Office. 

(b) persons of proven integrity, honour and ability; and

2  (c) part-time members except the Executive Secretary who shall be a full-time

3  members. 

4  3. The supplementary provisions set out in the schedule to this Act shall 

5  have effect with respect to the proceedings of the Council and the other matters

Contained therein.

7  4. Subject to Section 5, the Chairman and members of the Council, other than 

8  the ex-officio members, shall each hold office—  

9  (a) for a term of 4 years and may be re-appointed for a further term of 4 years 

10  and no more; and 

11  (b) on such terms and conditions as may be specified in his letter of  

12  appointments. 

13  5.—(1) A person shall cease to hold office as a member of the Council on the 

14  occurrences of any of the following—  

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

16  creditors;  

17  (6) he is convicted of a felony or any offence involving dishonesty or  

18  fraud; 

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

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

21 

(e) in the case of a person possessed of professional qualification, he is

22  disqualified or suspended, other than at his own request, from practicing his

23 

 profession in any part of the world by any order of a competent authority made

24  in respect of that member; of

25  (/) he resigns his appointment by a letter addressed to the President.

26 

(2) Where a member of the Council ceases to hold office for any reason

27  whatsoever, before the expiration of the term for which he is appointed, another

28   person representing the same interest as that member shall be appointed to the

29  Council for the unexpired term.

30  (3) A member of the Council may be removed by the President on the 

31  recommendation of the Minister if he is satisfied that it is not in the interest of the 

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 Bitumen Development Commission 2000 No. C169 

1  Commission or the interest of the public that the member continues in office. 

2  6. Members of the Council shall be paid such allowances and expenses as the Allowances 

3  Government may direct from time to time. 

4  7. The Council shall have power to—Powers of the Council. 

5  (a) manage and superintend over the affairs of the Commission;

6  (b) make rules and regulations for the effective running of the Commission;

7  (c) employ and pay the staff of the Commission such remuneration and

8  allowances as payable to persons in similar organizations in the country ;  

9  (d) enter into such contracts as may be necessary or expedient for the discharge 

10  of its functions and ensure the efficient performance of the functions of the

11  Commission; and

12  (e) receive, disburse and account for funds of the Commission.  

13  PARTII—FUNCTIONS ANDPOWERS OF THE COMMISSION 

14  8. The functions of the Commissions are—Functions of  

the 

15  (a) to formulate policies and guidelines for the exploration, exploitation and Commission. 

16  mining of the bitumen deposits; 

17  (6) to conceive, plan and implement in accordance with the set rules and  

18  regulations, projects and programs fort he development of the bitumen project

19  in the area of infrastructure development, geological or geophysical surveys,

20 

mining, bitumen plant installation and provision of bitumen;21  (c) to establish appropriate work force to ensure that bitumen becomes an 

22  alternative revenue earner for Nigeria; 

23  (d) to establish a Nigerian Oil Sands Technology Institute;

24  (e) to source for appropriate markets for the bitumen and ensure the

25  development of the downstream products of the bitumen; 

26  (/) to prepare schemes designed to promote the physical development of the  

27   bitumen deposit areas and the estimates of the costs of implementing such

28  schemes;

29  (g) to implement all the measures approved for the development of the 

30   bitumen deposit Stat es by the Federal Government and member Sta tes of

31  the Commission;

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C170 2000N0.   Bitumen Development Commission 

1  (A) to identify factors inhibiting the development of bitumen exploration and 

2  exploitation and assist the Federal Government and member States in the

3  formulation of policies to ensure sound and efficient management of the resources

of the bitumen deposit States ;

5  (0 to tackle ecological problems that may arise from exploration of bitumen 

6  and advise the Federal Government and the member States on the prevention of

7  adverse ecological or environmental pollution;

8  (/) to liaise with the various bitumen prospecting companies on all matters of  

9  pollution prevention and control; 

10  {k) to execute such other works and perform such other functions which, in 

11  the opinion of the Commission, are required for the development of bitumen

12  exploration, development and sale;

13  (/) to assess and report on any project being funded or carried out in the 

14 

 bitumen deposit areas by bitumen prospecting companies and any other company

15  including non-governmental organizations and ensure that funds released for

16  such projects are properly utilized ;

17  (m) to carry out such other functions as the President may, from time to 

18  time, direct; 

19  (n) the commission shall not be subject to the direction, control or supervision 

20  of any other authority or person in the performance of its functions under this

Powers of the 21  Act other man the President. Commission. 

22  9.—(1) The Commission has power to do anything which will facilitate the 

23  carrying out of its functions and in particular may—  

24  (a) sue and be sued in its corporate name;

25  (b) acquire, hold and manage movable and immovable property;

26  (c) purchase or acquire any asset, business or property considered necessary

27  for the proper conduct of its functions; 

28  (/) sell, let, lease or dispose of any of its property;

29 

(g) undertake or sponsor research where necessary for the performance

30  of its functions; and 

31  (A) train managerial, technical or other category of staff for the purpose of  

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 Bitumen Development Commission  2000NO.C171 

1  running the affairs of the Commission. 

2  (2) The powers conferred on the Commission may be exercised by it or  

3  through any of its employees or agents authorized in that behalf by the Commission. 

4  (3) The Commission shall not be subjected to the direction, control or  

5  suspension by any other authority or person in the performance of its functions

6  under this Act other than the President.

7  PARTIII—APPOINTMENT ANDDOTES OF THE EXECUTIVESECRETARY ANDOTHERSTAFF Appointment 

8  10.—(1) There shall be an Executive Secretary of the Commission who shall Executive 

9   be appointed by the President.  Secretary of  

10  (2) The Executive Secretary shall—

11  (a) be an indigene of the core member States of the Commission;

12  (b) have such qualification and experience as appropriate for a person required

13  to perform the functions of mat office; 

14  (c) be the chief executive and accounting officer of the Commission; and

15  {d) be responsible to the Council for the execution of the policies and the

16  administrations of the daily affairs of the Commission.

17 

" 25  delivered to the Minister. 

26  13. The Council shall appoint for the Commission a Secretary who shall—

27  (a) be a legal practitioner and is so qualified for a period of not less than

28  10 years; 

29  (b) keep the records and conduct me correspondence of the Commission; and

30  (c) perform such other functions as Council or the Executive Secretary

31  may direct. 

the

Commission. 

Tenure of

office and 11.—(1) The Executive Secretary shall be appointed for a term of 5 years in remuneration 

of the 18  the first instance and may be re-appointed for a further term of5 years and no more, Executive 

Secretary. 

19  subject to satisfactory performance. 

20  (2) The Executive Secretary shall—

21 

(a) be paid such remuneration as may be prescribed in his letter of

22  appointment; and 

23  (b) ensure compliance with the provisions of Section 20.  Resignation

24  12. The Executive Secretary may resign his office by writing under his hand secretary.

Appointment

and duties of

the Secretary.

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C172 2000N0.   Bitumen Development Commission 

Staff of the

Commission

and their

remuneration. 

 Appointment

and secondment

from public

service. 

The Structure

of the

Commission. 

1  14. The Council shall appoint for the Commission such number of employees 

2  as may in the opinion of the Council be expedient and necessary for the proper and

3  efficient performance of the functions of the Commission and pay them remuneration

and allowances as it determines.

5  15.—(1) Notwithstanding the provisions of Sections 13 and 14,theCouncil 

6  shall have power to appoint for the Commission either directly or on secondment  

7  from any public service in the Federation, such number of employees as may, in the

g  opinion of the Council be required to assist the Commission in the discharge of any

9  of its functions under this Act. 

10  (2) The person seconded under this Section may elect to be transferred to the 

11 

service of the Commission, and any previous service he may have rendered in the

12 

 public service shall count as service to the Commission for the purpose of any

13   pension subsequently payable by the Commission.

14  16.—(1) There shall be established in the Head Office of the Commission, the 

15  following Directorate—  

16 

(a) the Directorate of Administration and Personnel Management;

17  (b) the Directorate of Community Development and Public Relations;

18  (c) the Directorate of Exploration which shall be headed by a Geophysicist

19  comprising of the following units—  

20  (I ) Geochemical Unit;

21 

(ii) Geological Unit;

22  (iii) Geotechnical Unit;

23  (iv) Survey Unit;

24 

(v) Photo geological Unit; and

25  (v) Drilling Unit.

26  (d) the Directorate of Planning, Research and Statistics ;

27  (e) the Directorate of Operations (Mining);

28  (/) the Directorate of Engineering Services;

29  (g) the Directorate of Finance and Supplies;

30  (h) the Directorate of Legal Services; and

31  (j) the Directorate of Environmental Protection.

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 Bitumen Development Commission  2000Ni>.C173 

1  (2) The Council shall set up its own monitoring panel to monitor the projects 

2  being executed by the Commission. 

3  (3) The Council may, with the approval of me President, increase the number 

4  of Department as it may deem necessary and expedient to facilitate the realization of

5  The objectives of the Commission.

6  17. The staff of the Commission shall be entitled to pensions, gratuities and 

7  other retirement benefits as are enjoyed by persons holding equivalent grade in the

8  Civil Service of the Federation.

9  18. The Commission shall pay gratuities or provide and maintain further such 

10  superannuation scheme (whether contributory or riot for the employees). 

11  19.—(1) The commission shall establish and maintain a fund into which all 

12  moneys accruable to the Commission shall be paid and from which all the activities

13  of the Commission shall be funded.

14  (2) There shall be paid and credited to the fund—

15  (0 from the Federal Government 5 per cent of the 13 per cent of the revenue

16  accruing to the Federation Account under Section 162 (2) of the Constitution of

17  the Federal Republic of Nigeria 1999 deductible from source;

18  («) 1 per cent of the total annual budget of any bitumen prospecting 

19  company; and 

20  ("0 donations, gifts and grants from individuals or corporate organizations  

21  at home or abroad. 22  (3) The funds of the Commission shall be disbursed according to the approved  

23  formula. 

24  (4) The Council shall cause the accounts of the Commission to be audited 

25  quarterly and shall be externally audited once every year. 

26  20.—(1) The Commission may accept gifts of land, money or other property 

27  on such terms and conditions, if any, as may be specified by the person or organization

28  making the gift.

29  (2) The Commission shall not accept any gift if the conditions attached are 

30  inconsistent with the functions of the Commission under this Act. 

Pensions and

gratuity. 

Provision ofsuperannuation. 

Funds of the

CommissionSection 162

(2) of 1999Constitution. 

Power toaccept gifts. 

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C174 2000 NO.  Bitumen Development Commission 

Power to

borrow. 

Annual

estimates and

expenditure. 

Proper

Account to

be kept by

Commission. 

Audit. 

Annual

Report. 

1  21.—(1) The Commission may, from time to time, borrow such sums as it may 

2  require executing or completing some special projects of the Commission. 

3  (2) The Commission shall not, without the approval of the President, borrow  

4  money which exceeds Nl, 000,000.00 at any one time. 

5  22.—(1) The Council shall, not later than 30th September of each year, submit 

6  to the National Assembly through the Minister an estimate of the expenditure of

7  the Commission during the next succeeding year.

8  (2) The Council shall approve all expenditure of the Commission.

9  23. The Commission shall—

10  (1) cause to be kept proper accounts and records of the transactions and  

11  affairs of the Commission and ensure that all payments out of its moneys are

12  correctly made and properly authorized.

13  (2) ensure that adequate control is maintained over the assets of, or in the 

14  custody of, the Commission and over its incurring of liabilities. 

15  (3) prepare in respect of each financial year a statement of accounts in such 

16  form as the Auditor-General may direct 

17  24.—(1) The Auditor-General of the Federation shall—

18  (a) inspect and audit the accounts and records of financial transaction of the

19  Commission; 

20  (b) inspect records relating to assets of the Commission; and

21 

(c) draw the attention of the Minister to any irregularity disclosed by the

22  inspection and audit. 

23  (2) The Auditor-General may dispense with all or any part of detailed  

24  inspection and audit of any account or record referred to in Sub-section (1). 

25  (3) The Auditor-General or an officer authorized by him is entitled at all  

26  reasonable time to a full and free access to all accounts, records, documents and

27   papers of the Commission relating directly or indirectly to the receipt or payment of

28  money by the Commission or to the acquisition, receipt, custody or disposal of

29  assets by the Commission.

30  25. The Commission shall submit to the President through the Minister not 

31  later than 30th June, of each financial year, a report of its activities during the 

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 Bitumen Development Commission  2000 No. Cl 75

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the purpose of discharging its functions.

PARTIV—MISCELLANEOUSPROVISIONS 

27.—(1) 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)  No suit shall be commenced against a member of the Council, the Executive

Secretary, officer or employee of the Commission before the expiration of a period of

one month after written notice of intention to commence the suit shall have been

served upon the Commission by the intending plaintiff or his agent.(3) The notice referred to in Sub-section (2) shall stat£ the cause of action, the

 particulars of the claims, the name and place of abode of the intending plaintiff and

the relief which he claims.

28. A notice, summons or other document required or authorized to be Service ofdocuments,

served upon the Commission under the provisions of this Act or any other law or

enactment may be served by delivering it to the Executive Secretary or by sending

it by registered post and addressed to the Executive Secretary at the principal office

of the Commission.

29.—(1) No execution or attachment of process shall be issued against

the Commission in any action or suit without the consent of the Attorney-

General of the Federation.

(2) Any sum of money which may be the judgment of any court may be

awarded against the Commission shall, subject to any direction given by the court

where notice of appeal of the said judgment has been given, be paid from the

general reserve fund of the Commission.

30. A member of the Council, the Executive Secretary, 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 Council, the Executive Secretary,

officer or employee of

 preceding financial year and it shall include a copy of the audited accounts of the

Commission for that year and a copy of Auditors Report on it.

Limitation ofSuits against

the  

etc. tap.

Restriction

on execution

against proper ty of

the

Commission.

Indemnity of

Officers.

26. The Commission, may subject to the Land Use Act acquire any land for pB0WBer toacquire Land

Cap. 202

LFN.

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 Bitumen Development Commission 2000 No. Cl 77 

1 3.—(1) The Council may appoint one or more Committees to carry out, on 

2 behalf of the Council such ructions as the Council may determine. 

3 (2) A Committee appointed under this paragraph shall consider such number 

4 of persons as may be determined by the Council and a person shall hold office in

'5 the Committee in accordance with the terms of his appointment. 

6 (3) A decision of a Committee of the Council shall be of no effect until it is 

7 confirmed by the Council. 

8 4.—(1) The fixing of the seal of the Commission shall be authenticated by the 

9 signatures of the Chairman or any other member of the Council generally or 

10  specifically authorized by the Council to act for that purpose and the Executive

11  Secretary.

12 (2) Any contract or instrument which, if made or executed by a person not 

13  being a body corporate, would not be required to be under seal may be executed on

14  behalf of the Commission by the Executive Secretary or any person generally or

15  Specifically authorized by the Council to act for that purpose.

16 (3) A document purporting to be a document duly executed under the 

17  seal of the Commission shall be received in evidence and shall, unless and until

18  the contrary is proved, be presumed to be so executed.

19 5. The validity of any proceedings of the Council or of a Committee shall not 

20 be adversely affected by—  

21  (a) a vacancy in the membership of the Council or Committee; or

22  (6) a defect in the appointment of a member of the Council or Committee; or

23  (c) reason that a person not entitled to do so took part in the proceedings

24 of the Council or Committee. 

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C178 2000 NO.   Bitumen Development Commission 

1  SCHEDULE 

2  Section 3 

3  SUPPLEMENTARY PROVISIONSR ELATING TO THE COUNCIL, ETC. 

4  Proceedings of the Council 

Cap. 192 5 1.—(1) Subject to this Act and Section 27 of the Interpretation Act, theLFN. 

6  Council may make standing orders regulating its proceedings or those of any of its

7  Committees.

g (2) The quorum of the Council shall be the Chairman or the person presiding

9 at the meeting and 5 other members of the Council, one of whom shall be ex-officio

10  member, and the quorum of any committee of the Council shall be as determined by

11  the Council.

12 2.—(1) The Council shall meet whenever it is summoned by the Chairman13  and if the Chairman is required to do so by notice given to him by not less than 8

14  other members, he shall summon a meeting of the Council to be held within 14 days

15  from the date on which the notice is given.

16 (2) Where the Council desires to obtain the advice of any person on a

17   particular matter, the Council may co-opt him to the Council for such period as

18  it deems fit, but a person who is in attendance by virtue of this sub-paragraph

19  shall not be entitled to vote at any meeting of the Council and shall not count

20  towards a quorum.

EXPLANATORYMEMORANDUM 

This Bill seeks to establish a Bitumen Development Commission as a

statutory body and to vest it with the responsibility to promote exploration and

 physical development of the bitumen in the deposit areas in ‘Nigeria.

The Bill also seeks to transfer functions of the Bitumen Department of the

Federal Ministry of Solid Minerals to this full pledged Commission.

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