Committed to PEOPLE'S RIGHT TO KNOW
Vol. 5 Num 462 Mon. September 12, 2005  
   
Front Page


Bapex-Niko deal challenged in HC


The controversial agreement with Niko, a Canadian gas exploration company that inflicted damage to the Tengratila gas field, was challenged in the High Court yesterday.

Three human rights bodies -- Bangladesh Environment Lawyers' Association (BELA), Ain-O-Shalish Kendra (ASK) and Odhikar -- in a public interest litigation writ said Bangladesh Petroleum Exploration and Production Company (Bapex), subsidiary organ of the energy ministry, has no locus standi for entering into joint venture agreement with a foreign company on national resource.

The agreement signed nearly two years ago was in violation of the Petroleum Act as well as Bangladesh environmental law. It was done in derogation of the constitution, in a non-transparent manner with mala fide intention to confer undue benefit to Niko and its allies.

The agreement was to the detriment of the country and in gross abuse of power, submitted the petitioners.

The faulty drilling by Niko has reportedly resulted in blowout in Tengratila gas field twice in January and June inflicting a heavy loss of gas and environmental damages.

The joint venture agreement was signed on October 16, 2003 between Bapex and Niko for the development and production of petroleum from 'marginal/abandoned' gas fields of Chhatak and Feni.

Moving the petition, Dr Kamal Hossain pleaded for freezing the bank account of Niko and suspending the payment against the supply of gas from its Feni field.

He also sought to rescind the agreement and payment of adequate compensation for damaging the country's natural resource and environment.

The inconclusive hearing of the writ resumes today in the vacation bench comprising justices MA Rashid and M Fazlur Rahman.