Reps move to amend Petroleum Industry Act, strengthen downstream sector

The House of Representatives Committee on Petroleum Resources Downstream on Friday unanimously resolved to seek amendment to the Petroleum Industry Act (PIA), 2021 with a view to strengthen downstream sector.

 

This Act provides legal, governance, regulatory and fiscal framework for the Nigerian petroleum industry, and the development of host communities.

 

Chairman, House Committee on Petroleum (Downstream), Hon. Ikenga Ugochinyere who spoke on the development via a statement made available to Parliamentary Correspondents in Abuja, affirmed that the PIA since its passage in 2021 has helped in expected transformation in the sector.

 

He however explained that the lawmakers’ plan to amend specific sections of the Act was aimed at strengthening the downstream sector.

 

He said: “the House of Representatives Committee on Downstream which reintroduce the bill to amend specific sections of the Petroleum Industry Act (PIA) in order to strengthen the downstream sector.

 

 

“Following a recent committee meeting, the committee resolved to initiate amendments after identifying key areas of conflict, institutional weaknesses, and regulatory gaps that have hindered effective downstream operations and consolidation.

 

“The Committee is currently fine-tuning the proposed amendments, which are aimed at enhancing sector performance, empowering the regulator and improving revenue generation.

 

“During the meeting, members unanimously agreed to sponsor the relevant legislative changes and are now seeking the support of Colleagues from other sectors of the industry to ensure broad-based backing.

 

“These amendments will be publicly unveiled during their first reading in the coming weeks, and will mark a significant step toward addressing the deep-rooted challenges currently facing the downstream sector.

 

“Without these changes, the committee warned, the sector risks becoming further weakened, thereby undermining Nigeria’s broader energy stability and economic growth goals.”