· After remaining for a decade in the National Assembly, the Petroleum Industry Bill 2021 has come into force after President Muhammadu Buhari signed the Bill 2021 into law.
· For the first time, the Act brings legal, governance, regulatory and fiscal framework for the Nigerian petroleum industry.
· It also provides for the development of host communities, and related matters.
After remaining for a decade in the National Assembly, the Petroleum Industry Bill 2021 has come into force after President Muhammadu Buhari signed the Bill 2021 into law. For the first time, the Act brings legal, governance, a regulatory and fiscal framework for the Nigerian petroleum industry. It also provides for the development of host communities and related matters.
During the past many years the Senate and House of Representatives failed to come to a consensus on the provisions of sweeping reforms for the oil and gas sector.The passage of the bill again ran into trouble on July 15 due to a controversy over the allocation of three per cent revenue to host communities in the Niger Delta, while frontier basins, mostly in northern states, received 30 per cent.The National Assembly leadership under the Senate president, Ahmad Lawan, harmonised the bill, and put up for presidential assent.
Mr Buhari’s approval of the bill on August 16 means that he has agreed with the three per cent provision.
