Its Disappointing How Previous Govts Failed To Reform Nigeria’s Oil Industry-Gbajabiamila

The Speaker of the House of Representatives, Femi Gbajabiamila has said it was disappointing how previous administrations have failed to carry out comprehensive reforms in Nigeria’s oil industry despite its huge potentials.

He also said that the outcome of the Petroleum Industry Bill would impact the diversification of the Federal Government, as Nigeria still depends largely on the oil revenue for its survival.

The PIB seeks to repeal Section 31 of the Oil Pipelines Act, CAP 07 Laws of the Federation of Nigeria 2004; Nigerian National Petroleum Corporation Act 1977 No, 33 CAP N123 Laws of the Federation of Nigeria as amended, when NNPC ceases to exist pursuant to section 54(3) 83(3) of this Act.

Others include the Associated Gas Reinjection Act, 1979 CAP A25 Laws of the Federation 2004, and its Amendments; Hydrocarbon Oil Refineries Act No. 17 of 1965, CAP H5 Laws of the Federation of Nigeria 2004; Motor Spirits (Returns) Act, CAP M20 Laws of the Federation of Nigeria 2004.

Also, the Nigerian National Petroleum Corporation (Projects) Act No. 94 of 1993, CAP N124 Laws of the Federation of Nigeria 2004; Petroleum Products Pricing Regulatory Agency (Establishment) Act 2003; and Petroleum Equalisation Fund (Management Board etc.) Act No. 9 of 1975, CAP P11 Laws of the Federation of Nigeria 2004 are expected to be repealed by the Bill.

The Speaker in a press statement on Thursday, said that the need for a comprehensive reform of the oil and gas industry cannot be overemphasized, stating that the industry has underperformed its potential and national expectations.

He said, “We all agree on the need for the legislative action to make improvement through statutory and regulatory reforms.

“Therefore, it is disappointing and frankly difficult to explain how successive governments have failed to deliver on the promise of reform despite the broad agreement.

“We are not oblivious to the fact of many contending interests in this sector. These contentions do not need to result in conflict especially when we know the objectives of national prosperity benefits us all.”

The Speaker further said that despite the positions of any vested interest, the House will ensure that it protects the interest of Nigerians in the bill which is being considered by the green chamber.

According to him, the Bill provides opportunity for the country to meet the obligations owed to the communities that host oil and gas exploration and transportation activities as well as pay environmental prices as a consequence.

“There have been various attempts to meet this obligation, let us remember those attempts and be motivated by the knowledge that we can now correct past mistakes and fulfil the responsibility we owe these communities once and for all,” he said.