The Permanent Secretary of the Ministry of Petroleum Resources, Gabriel Aduda, says the ministry plans to review the implementation of the Petroleum Industry Act (PIA).
This, he said, would be done with stakeholders in the upstream and downstream sectors after two years of its implementation.
Mr Aduda disclosed this at the ongoing Oil Trading and Logistics Africa Week 2023, on Tuesday in Lagos.
He called on operators in the Nigerian downstream sector to work together and pool resources to invest in refining petroleum products to address the country’s energy crises.
The official stressed that the quality of technology possessed by the operators should not be a barrier to investment in refining.
According to him, the review will identify the pros and cons of the act and all the areas that need to be addressed.
“The review is expected to be held before the second week of December 2023, where all oil and gas industry players will gather to discuss all the fundamental issues that need to be addressed in the Act.
“It is crucial for all players in the oil and gas industry to embrace the spirit of synergy, adding that the energy landscape is rapidly evolving,” Mr Aduda said.
The review is expected to be held before the second week of December 2023, where all oil and gas industry players will gather to discuss all the fundamental issues that need to be addressed in the Act.
The official emphasised that the solution to Nigeria’s product refining lies in the willingness of the private sector to make a difference, to collaborate, learn, and inspire one another.
Mr Aduda noted that it was the responsibility of the players in the downstream sector of the oil and gas industry to shape a future where energy is clean, accessible, and equitable for all.
“While much attention has been focused on the upstream sector (exploration and production) in discussions about energy transition. The downstream sector, which involves refining, distribution, and marketing of petroleum products, plays a crucial role in this transition,” Mr Aduda explained.
The petroleum ministry official added, “With the level of technology that is at their disposal, no matter how crude they are. Why can’t we begin to think in the area of harnessing the limited potential that we have and see how we can put things together to evolve a clear home-grown technology?
“That we can build on to be able to deliver the energy future of our dream.”
Mr Aduda also commented on the need for the petroleum industry regulators in Nigeria, including the Nigerian Midstream and Downstream Regulatory Authority (NMDPRA), to offer supportive regulation to the investors in the sector.
According to him, the beauty of the regulation is to help the industry in Nigeria be globally competitive and acceptable, to attract more investors, and to put a check on their activities.
Mr Aduda further hinted that infrastructure in the downstream sector was a major factor facing the sector.
“Today we embark on an investment road show globally to attract investors to Nigeria, but one of the major concerns being raised is a lack of investment in the sector,” said Mr Aduda. (NAN)