Reps Move to Sanction MTN, Airtel, Others Over CSR
The House of Representatives Committee on Corporate Social Responsibility (CSR) has threatened to impose sanctions on MTN, Airtel, and other companies for failing to fulfill their corporate social responsibilities
Chairing a public hearing in Abuja on Tuesday regarding “a bill to regulate corporate social responsibility in Nigeria,” Oby Orogbu, the committee’s chairman, expressed strong determination. She announced that the committee will introduce legislation to penalize companies that neglect their CSR obligations.
Orogbu issued a final warning to MTN and Airtel, urging them to comply with the committee’s summons or face arrest warrants. She criticized several companies for repeatedly flouting regulations, emphasizing the need for enforcement measures.
The lawmaker underscored the committee’s duty to ensure accountability, including using arrest warrants if necessary to enforce compliance.
“Section 89, 8 of the constitution mandates individual companies when invited to make themselves available to parliament, but they break the law.
“I want to tell MTN and Airtel that they take so much from our nation and feel too big to appear before the parliament; we will not tolerate that.
“We gave them the powers to operate in Nigeria, so to refuse to honour the invitation of the parliament is a no-no; we take exception to it.
“I have taken all friendly measures to make them understand the need to appear before the parliament, but they have refused.
“If you feel you are responsible, then you should appear before the parliament. We want you to be responsible and accountable,” Orogbu said.
She noted that despite their extensive operations nationwide, these companies had shown disrespect towards the nation by ignoring the House’s invitation.
Speaking on behalf of the governor of the Central Bank of Nigeria, Wondi Ndanusa affirmed the CBN’s endorsement of the bill. He expressed concerns about the proposed imprisonment penalty for non-compliant companies, suggesting that alternative incentives could be more effective. Ndanusa also highlighted the financial pressures and responsibilities faced by many companies, proposing that the Corporate Social Responsibility framework should be managed by the Corporate Affairs Commission.
Bala Wuoir, representing the Oil Producers Trade Section, raised concerns about the existing Petroleum Industry Act (PIA), which mandates oil companies to allocate three percent of their profits to the Niger Delta Development Commission. He argued that imposing additional obligations under the CSR bill would be burdensome and advocated for exemptions for oil companies.
