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Examining Compensation for Land Compulsorily Acquired for Petroleum Operations in Nigeria

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Dr Gogo Otuturu and Dr Abdullahi Abdullahi of the Faculty of Law, Niger Delta University, Wilberforce Island Nigeria in their article, note that the right to compensation for land compulsorily acquired is both a constitutional and statutory right. While the Constitution provides for the payment of compensation for any land acquired for public purposes, the Land Use Act provides for compensation, not for the land itself, but for unexhausted improvements. Where the land is acquired for petroleum operations, compensation is payable in accordance with the Petroleum Act and the Oil Pipelines Act. Otuturu and Abdullahi examine the various heads of compensation for land compulsorily acquired under the Land Use Act and the petroleum . They suggest an amendment of the laws to incorporate the elements of disturbance, severance and injurious affection.

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ABSTRACT

Examining Compensation for Land Compulsorily Acquired for Petroleum Operations in Nigeria

Dr Gogo G Otuturu* and Dr Abdullahi Y Abdullahi**

 

The right to compensation is a fundamental right enshrined in the Constitution of the Federal Republic of Nigeria 1999. It is also a statutory right contained in various legislation. The main legislation governing the acquisition of land and payment of compensation in Nigeria is the Land Use Act 1978. While the Constitution provides for the payment of compensation for any land acquired for public purposes in any part of Nigeria, the Land Use Act does not provide for the repayment  for the land itself, but only for unexhausted improvements, which include buildings, installations, reclamation works, crops and economic trees. However, where land is acquired for petroleum operations, compensation is payable in accordance with the petroleum laws. This paper examines the laws regulating compensation for land compulsorily acquired for petroleum operations in Nigeria. It examines the right to compensation for land compulsorily acquired under the Constitution, the Land Use Act, the Petroleum Act and the Oil Pipelines Act. It also examines the various heads of compensation for land compulsorily acquired under the Land Use Act and the petroleum laws. It suggests, amongst other things, that the Land Use Act should be amended to provide for the repayment  for any land which is compulsorily acquired for public purposes and that the amendment should also incorporate the elements of disturbance, severance and injurious affection which make up adequate compensation.

Keywords: Compensation, Disturbance, Injurious Affection, Petroleum Operations, Severance.


* LL.B, LL.M, PhD, BL, CBA, DipEd, ACIArb (Nigeria). Senior Lecturer, Faculty of Law, Niger Delta University, Wilberforce Island, Nigeria. E-mail: ot********@gm***.com
** LL.B, LL.M, PhD, BL. Lecturer, Faculty of Law, Niger Delta University, Wilberforce Island, Nigeria. E-mail: ab*******@ya***.com

 

THE GRAVITAS REVIEW OF BUSINESS & PROPERTY LAW VOL.10 NO.4

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