The House of Representatives on Thursday passed for second reading a bill for an Act to provide for the governance and institutional framework for the petroleum industry in the country.
The bill which was Senate version, tagged ‘Petroleum Industry Governance Bill’ was read on the floor of the House by the Acting House Leader, Honourable Mohammed Monguno who said that, the bill was set to establish a fiscal framework that encourages further investment in the petroleum industry whilst increasing accruable revenue to the Federal Government.
Before the passage of the bill, there was argument from the Minority Leader, Hon. Leo Ogor and Daniel Reyenieju on the need to consolidate all the bills on petroleum industry, but the Speaker, Honourable Yakubu Dogara said that the House would run into trouble because the Senate had passed Petroleum Industry Governance Bill, saying that, “we have agreed with the Senate that we will pass the PIGB.”
Honourable Monguno in his lead debate said that the proposed bill would unbundle the NNPC and as well repeal the law governing the petroleum industry.
The Chairman, House Committee on Petroleum Upstream, Honourable Victor Nwokolo said that the bill if passed would restrict the power of minister of petroleum to drive the polices for the oil and gas industry, adding that the office of the minister would be separated from regulation.
According to him, regulation of the petroleum industry must be done by one agency.
On his part, Chairman, House Committee on Petroleum Downstream, Hon. Joseph Akinlaja said that, “the minister will be the general supervisor to drive the policies in the oil and gas sector”, adding that, “this bill is to create institutions that will lead to efficiency in the oil industry.”
Two other bills on Petroleum industry passed by the House includes; a bill which seeks to provide for a framework relating to Petroleum Producing Host Community’s participation, cost and benefit sharing among government, petroleum exploration companies and host communities and for related matters.
The other one passed was a bill and memorandum on legal and regulatory framework, institutions and regulatory authorities for the Nigerian Petroleum Industry, to establish guidelines for the operations of the upstream and downstream sectors and to provide for the establishment of the legal and regulatory framework for the industry.
The three bills scaled through second reading and were referred to House Ad hoc committee on Petroleum Industry Bill to be chaired by, the chief whip, Hon Alhassan Ado Doguwa and other lawmakers representing different zones.
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