Mokokchung, October 21 (MTNews): The Nagaland Pradesh Congress Committee (NPCC) has on Friday expressed strong objection to the Memorandum of Understanding (MoU) to be signed between the state of Nagaland and the ONGC, terming it as “not acceptable” and “a compromise.”

 

The present ratio of division of revenue between the state and the company as per the MoU is 22:78, which is not acceptable, NPCC said in a press release. “Nagaland Petroleum and Natural Gas Rules 2012 is a compromise. The Nagaland Ownership and Transfer of Land and Its Resources Act 1990 gives absolute authority to Nagaland State,” NPCC said.

 

NPCC President K Therie said in the press release that the split should be not less than 51% for the state and that special payment of 2% valorem should be in addition to the state’s 51%. “There should be a clause whereby the State Government has authority to terminate or restrain,” he added.

 

“The State may like to examine MoUs of other nations. MoU between the Ministry of Petroleum and Natural Gas of Government of India and Nagaland State in regard to uniformity of royalty payment is not acceptable,” he said, while stating that Nagaland is “not uniform with other states in view of Article 371(A).”

 

“The MoU is a compromise. This is the reason we continue to struggle and the matter is still under negotiation,” he added.

 

According to the NPCC president, in the matter of Article 371(A), ever since the Nagaland (Ownership and Transfer of Land and Its Resources) Act, 1990, was sent for the President’s assent, the matter has been in contest between GoI and the State.

 

“We have claimed the power to frame rules relating to Petroleum and natural gas belonging to Nagaland state in view of Article 371(A) IV. However, GoI claims this power as mineral resources are listed in the Union List. Our argument is that in the foregoing note of Article 371(A) clearly states: Notwithstanding anything in this Constitution, no Act of Parliament shall apply to the contents of Art 371(A) unless the Legislative Assembly of Nagaland by a resolution so decides.” As such, he said, the Union List does not come in the way and added that the Nagaland State Government should stand by this interpretation.

 

“In view of the stand, the notification issued under Schedule to the Oil Fields (Regulation and Development Act 1948) in regard to fees and royalties are not applicable,” he added.

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