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By Adewale Sanyaolu
Shell Companies in Nigeria (SCiN) says it awarded $1.9 billion contracts to Nigerian registered companies in 2022.
The figure according to the company represents a 138 per cent increase in Shells’s total value of contracts awarded in 2022 compared to 2021.
The details of the financial commitments by the oil major are contained in its 2022 briefing notes released recently.
Shell equally disclosed that it paid $1.36 billion in corporate taxes and royalties to the Federal Government of Nigeria in the year under review.
The oil firm contributed $79.77 million to the Niger Delta Development Commission (NDDC) during the same period.
Highlighting the company’s operations during the period under review, the Country Chair of Shell Companies in Nigeria, Osagie Okunbor, emphasised the firm’s ongoing commitment to Nigeria and its dedication to enhancing the well-being of host communities.
He noted that the Shell Petroleum Development Company (SPDC), Shell Nigeria Exploration and Production Company (SNEPCO), and Shell Nigeria Gas (SNG) invested $34.29 million in direct social initiatives in 2022.
Okunbor stated further that the company has set aside an additional $56.13 million, to be contributed in 2023 by SPDC and SNEPCo, as a statutory contribution to the Host Communities Development Trusts (HCDT) for the benefit of local communities.
He expressed concern about the persistent problem of crude theft and vandalism, describing it as “a serious threat to our country.”
On renewable energy, the briefing note disclosed that the companies committed $200 million to supporting AllOn as a renewable impact investment. These companies also provided funds for AllOn’s expansion of the DART program and committed an additional $23 million for investment in renewable energy to be paid to AllOn Energy Company.
For investments in the education sector, the note highlighted that 3,500 university grants have been disbursed, and 990 cradle-to-career scholarship grants have been awarded by companies, including Shell Nigeria Gas (SNG), since 2016. The companies have also assisted Lagos and Bayelsa States with educational infrastructure projects valued at approximately $15 million.
The note further stated that over 92,000 individuals have benefited from the company’s Community Health Insurance scheme since its inception in 2010. Additionally, 220 Nigerian individuals were recipients of the Shell Live Wire entrepreneurship programme. The companies employ around 2,500 individuals, with 97 per cent being Nigerian nationals.
Moreover, approximately 10,000 contractors are supporting the operations of these companies. To aid the victims of the devastating flood that occurred in 2022, Okubor announced that Shell donated $1 million to those affected by the flood.
