PENGASSAN Warns on Changes to Petroleum Industry Act

Comrade Festus Osifo, President of PENGASSAN, raised alarms regarding the frequent alterations to the Petroleum Industry Act (PIA) during the 5th Labour and Energy Summit in Abuja. He described these changes as appalling and detrimental to investor confidence in Nigeria's oil and gas sector.

The PIA, passed by the National Assembly and signed into law by Late Muhammadu Buhari on August 16, 2021, aimed to reform the legal, fiscal, and regulatory framework of the industry, including the transformation of the Nigerian National Petroleum Corporation into NNPC Ltd. Osifo criticized the Bola Tinubu-led Federal Government's use of executive orders to amend the law, arguing that the capital-intensive nature of the industry necessitates caution.

He noted that the PIA's frequent alterations, including the removal of fiscal provisions to the Nigeria Revenue Act, create uncertainty. Osifo advocated for policies supporting local refining and emphasized the need for efficient regulatory oversight without overlapping responsibilities among institutions.