Kehinde Fajobi
The Speaker of the House of Representatives, Abbas Tajudeen, has criticised inefficiencies and outdated regulatory frameworks for stifling the vast potential of Nigeria’s petroleum sector.
Speaking on Monday at a workshop for petroleum-related House committees, Tajudeen highlighted the crucial role of the sector in Nigeria’s economy, noting its contributions to GDP and foreign exchange earnings.
He said the enactment of the Petroleum Industry Act (PIA) 2021 marked a significant step in reforming governance, operations, and transparency in the oil and gas industry.
“Central to this transformation is the NUPRC, which was established to regulate the upstream petroleum sector.
“Its mandates, as outlined in Section 94 of the PIA, include ensuring transparency, accountability, and sustainable resource management,” Tajudeen stated.
He outlined immediate gains from the reforms, such as increased regulatory clarity, improved investor confidence, and better handling of environmental and community issues.
However, he acknowledged lingering challenges like infrastructure deficits, capacity building, and full PIA implementation.
Tajudeen underscored the National Assembly’s role in driving these reforms through legislation and oversight.
“It is our responsibility to continue supporting the NUPRC and other stakeholders in achieving the full benefits of these reforms for all Nigerians,” he said.
Highlighting the importance of parliamentary oversight, he added, “The Petroleum Industry Act underscores the importance of parliamentary scrutiny in ensuring accountability within the oil and gas sector.
“However, effective oversight is not without challenges. Members must develop technical expertise, engage in continuous learning, and foster collaborative relationships with stakeholders.”
The Deputy Chairman of the Committee on Petroleum Resources (Upstream), Sesi Whinghan, also emphasised the need for collaboration and thorough oversight.
He said the workshop provided lawmakers an opportunity to deepen their understanding of the PIA and NUPRC’s responsibilities.
“Our mandate as custodians of public interest is not only to oversee the implementation of the PIA but also to work collaboratively with stakeholders to ensure the act translates to tangible benefits for the nation,” Whinghan noted.
Both speakers stressed the need for lawmakers to fully utilise oversight tools, such as inspections, public hearings, and investigations, to hold regulatory agencies accountable and ensure the petroleum sector contributes significantly to Nigeria’s economic growth.