TheCable

Vice-President Yemi Osinbajo says the Petroleum Industry Bill (PIB) will receive necessary and timely consideration when sent to Muhammadu Buhari for assent.

Osinbajo gave the assurance during the opening of the 20th Nigeria oil and gas (NOG) conference and exhibition in Abuja on Tuesday.

Osinbajo, represented by Timipre Sylva, minister of state for petroleum resources, said despite the current global challenges in the oil industry, the federal government had been supporting the nationwide gas infrastructure blueprint implementation — Nigeria’s declaration of 2021 to 2030 as the decade of gas — coupled with the work on PIB to free the industry for investment.

“We are not unmindful of the peculiar challenges confronting the oil and gas operators in Nigeria from infrastructural deficiencies and insecurity to the high cost of operation, to mention just a few,” he said.

“As you are aware, just last week, the National Assembly passed the long-awaited Petroleum Industry Bill. This unprecedented feat has been adjudged as a watershed moment for our nation.

“Let me assure you that the bill, when transmitted to the presidency for assent, would receive necessary and timely consideration.

“Infrastructural development, security issues, high cost of operations and other various issues are well covered in this all-encompassing bill.

“On behalf of the government, I can assure you that the eventual Act, if fully operational, its governance, administrative and fiscal provisions will be some of the most attractive in Africa.”

Although the passage of PIB has received commendations from several individuals and bodies such as Nigeria Extractive Industries Transparency Initiative (NEITI) and Organisation of Petroleum Exporting Countries (OPEC), certain provisions in the bill have been rejected and criticised.

Edwin Clark, an Ijaw national leader, condemned the provision and allocation of 30 percent of profits in the bill for further frontier oil exploration in the north, describing it as satanic and unjust.

The southern governors also kicked against the allocation of 3 percent operating expenditure of oil firms to host communities, and rejected the proposed 30 percent of Nigeria National Petroleum Corporation (NNPC) profit for the exploration of oil and gas in the basins.

Meanwhile, the senate has set up a seven-member committee to harmonise the different versions of the bill.