By Ubong Sampson – Uyo
Following the recent scrapping of the Department of Petroleum Resources (DPR), Petroleum Products Pricing Regulatory Agency (PPPRA) and the Petroleum Equalisation Fund (PEF), the federal government has regretted that there is no provision by law to protect executives of the now defunct agencies, despite assurances of protection of the rest of the agencies’ staff.
As specified by the Petroleum Industry Act (PIA), two regulatory agencies were inaugurated to replace the scrapped agencies and perform their duties.
The new agencies are, the Nigerian Upstream Regulatory Commission (NURC) and the Nigerian Downstream and Midstream Petroleum Regulatory Authority (NMDPRA).
Giving the assurance, Monday, while inaugurating the boards of the new agencies in Abuja, Minister of State for Petroleum Resources, Timipre Sylva said, all the assets and even the staff of the DPR, as demanded by law, are to be invested on the new agencies.
He also said the new law specifically repeals the DPR Act, the Petroleum Inspectorate Act, the Petroleum Equalisation Fund Act and the PPPRA Act.
Sylva also noted the law, unfortunately, does not provide for the protection chief executives of the defunct agencies, who he said, were on political appointments
He hinted that the process for aligning the workers of the defunct agencies with the new regulatory bodies had already commenced, as the staff had to be rationalised.
“The authority has its staff coming from the defunct PEF, PPPRA and DPR. The commission has staff coming over from DPR and the process is going on for the next few weeks, and the inauguration of the boards on Monday marked the beginning of the successor agencies”, he said
He also said, “The PIA provides for the upstream regulatory commission and the establishment of the midstream and downstream authority.
“So far, the chief executives of these agencies have not been in place, but of course, Mr President in his wisdom made the appointment a few weeks ago and they went through a rigorous process of confirmation at the National Assembly.
“The agencies have now taken off because they now have clear leadership and today’s event marks that beginning for the new agencies.”
He further stated that with the passage of the PIA into law, after spending over 20 years in the process, the coast was now clear for investors to fully invest in Nigeria’s oil sector.
“Today, the PIA has clarified the legal framework around the sector and the agencies are now in place. So I don’t see anything now stopping investors from coming,” the minister stated.
He said competent hands were now handling the business, adding that Nigerians should brace up for exponential growth in the oil and gas sector.
Meanwhile, while Gbenga Komolafe was inaugurated to head the NURC, Farouk Ahmed will be serving as CEO of NMDPRA.
