Nigeria’s long-awaited Petroleum Industry Bill (PIB) will be presented to the President in just a few days, according to an exclusive report by Reuters.
The bill would help Nigeria boost investment into its oil and gas industry.
Nairametrics had reported in February that Nigeria’s legislature was consulting with the president to draft “from scratch” a bill overhauling the nation’s petroleum sector and aimed to pass it by the end of 2020.
According to the Senate President, the Ninth National Assembly will likely pass the long-awaited Petroleum Industry Bill (PIB), which has not been assented to for more than a decade.
The signing of the bill would come at a much needed time as Nigeria deals with falling oil revenues due to the impact of the pandemic on global oil demand.
A spokesman for Shell petroleum added that signing the bill would unlock potential investments into Nigeria’s rich resource base.
The bill will be presented in one piece with four different chapters, even as President Muhammadu Buhari is expected to sign it and send back to the National Assembly for review. This would be one of the best times to pass such a bill.
Reuters revealed that the bill would include provisions that would reduce oil and gas royalties. Sources told Reuters that Nigeria’s reduction of oil and gas royalties is more aggressive compared to other nations.
Other inclusions in the bill would be increase payments to local communities of oil and gas operations and also funds for environmental cleanup. There will also be measures to improve the developments of natural gas and improved framework for gas delivery and tariffs.