There are strong indications that Nigeria may be heading for a diplomatic row with the United States of America over the �No Oil Producing and Exporting Cartel� bill passed by both chambers of the United States Congress.
The Nigerian Senate on Tuesday passed a motion condemning the NOPEC bill.
The bill is aimed at crippling the Organisation of Oil Exporting Countries, which to a great deal determines the direction of oil prices.
Nigeria, OPEC�s sixth largest oil producer, depends largely on oil revenues and will adversely be affected by our action against the cartel.
Following the motion, the upper chamber invited the Ministers of Energy (Petroleum), Foreign Affairs and the Attorney General of the Federation before it.
This, it said, was to enable it determine further action on the matter.
The Senate appealed to the US President, Mr. George Bush, to decline assent to the bill �in the interest of sovereign rights of OPEC members.�
The motion was moved by Senator Olorunmimbe Mamora (Lagos East),and Senator Jubril Aminu (Adamawa Central).
According to the motion, the bill, if assented to, will amount to a serious breach of international convention and could destabilise international trade, global warming and world peace.
The motion reads in part: �The Senate notes that the US imports more than 60 per cent of the oil it consumes, the bulk of which comes from OPEC member states, of which Nigeria is a prominent member.
�It observes that the NOPEC bill was introduced by the US House Judiciary Committee Chairman, John Conyers, and the Bill was passed in the House of Representatives by an overwhelming majority of 345 to 72 in July 2007.
�The Senate is concerned that one of the implications of this bill, if passed by the US Senate and subsequently signed into law, is that it will undermine and possibly break the solidarity of OPEC.�
�It notes further that the passage of the bill would, in addition, enable the United States Justice Department to sue member states of OPEC in the name of combating globally unfair measures to drive up oil prices.
�It notes also that, the bill if it becomes an act, may subvert the sovereign right of OPEC member states, as it may result in the seizure through court actions, of the assets of OPEC member countries (Nigeria inclusive) held in the US and subsequently those held in some other countries as well.�
During the debate on the motion, Mamora said the action of the US congressman, Conyers, fell short of the expectations of third world countries.
He said OPEC was one out of several cartels that exist across the world, adding that; destroying it would amount to further emasculating third world economies.
�The US is acting in its national interest, we must also act in or national interest. We must focus our minds on diversifying our economy,� Senator Anthony Manzo said on his part.
He said although oil was good, Nigeria needed to reduce its dependence on oil revenues because countries were now developing alternative sources of energy even as some nations were talking about developing electronic cars.
Senator Uche Chukwumerije said the international market was a free market for cartels.
�When it suits them they support it. When it does not, they turn it down,� he said.
He added that allowing the bill to pass would amount to subjugating third world countries to destitution.
Senator Mujitaba Mohammed (Jigawa South West) informed the Senate that both chambers of the United States congress had passed the bill. While the House of Representatives passed it as a bill on its own, the Senate passed it as part of the Energy bill.
Sep262007