(3 Minutes Read)
To revitalise Nigeria’s oil and gas sector, President Bola Tinubu signed executive orders aimed at attracting investments, optimising resources, and diversifying the nation’s economy.
To revitalise Nigeria’s oil and gas sector, President Bola Tinubu signed executive orders aimed at attracting investments, optimising resources, and diversifying the nation’s economy. Nigeria, as Africa’s largest oil producer, has long sought to leverage its vast oil and gas resources for economic development. However, bureaucratic bottlenecks, contracting delays, and low local participation have hindered the sector’s full potential.
The policy directives were crafted after extensive consultations and benchmarking with global best practices, and are designed to enhance the investment climate, positioning Nigeria as the top choice for oil and gas investments in Africa. Following extensive engagements, analyses, and benchmarking with other jurisdictions, the President has initiated the amendment of primary legislation to introduce fiscal incentives for oil & gas projects, reduce contracting costs and timelines, and promote cost efficiency in local content requirements.
The order will include the introduction of incentives to stimulate non-associated gas projects, midstream developments, and deepwater ventures. It will mandate a reduction of the contracting cycle to expedite project timelines, now set at a swift six months. It will also ensure the application of local content requirements to enhance local involvement without compromising investment attractiveness.
Read Also:
https://trendsnafrica.com/power-outage-disrupts-legislative-activities-in-nigerian-senate/
https://trendsnafrica.com/nigeria-takes-steps-for-scaling-up-security-around-warehouses/
The reform is targeted to accelerate Nigeria’s economic growth and increase its competitiveness in the global oil and gas market.
The policy reforms were crafted in collaboration with key ministries and agencies such as the Federal Ministry of Justice, Federal Ministry of Finance, Federal Ministry of Petroleum, Federal Ministry of Budget and Economic Planning, Federal Inland Revenue Service, the Nigerian National Petroleum Company Limited, the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian Midstream and Downstream Petroleum Regulatory Commission, and the Nigerian Content Development and Monitoring Board.
