The Group General Manager, National Petroleum Investment Management Services (NAPIMS), Bala Wunti, has said that the operationalisation of the Petroleum Industry Act will revolutionise the oil and gas industry.
The PIA, which was signed into law by President Muhammadu Buhari, seeks to reform the oil and gas industry in Nigeria, by promoting transparency and attracting capital flows into the oil and gas industry.
Speaking as a Lead Presenter at the Society for Petroleum Engineers Lagos Section yearly technical symposium, Wunti said the operationalisation of the PIA will bring about certainty, competitiveness and cost optimization in Nigeria’s oil and gas industry.
He spoke on the theme, “Operationalising the Petroleum Industry Act – An opportunity for revolutionising Nigeria’s oil and gas industry.”
During the symposium, Wunti gave an overview of the major issues impacting the oil and gas industry, stating that some level of progress had been made in tackling the issue of security and cost.
He added that the implementation of the Nigeria Upstream Cost Optimization Program (NUCOP) and an industry wide tripartite security framework would address cost and security issues respectively thereby brightening the oil and gas outlook for the country.
Highlighting the thematic areas of the PIA, he stated that the Act delineates clearly, the roles and responsibilities of all stakeholders.
This, he stated, would catalyse the growth of the industry in line with the aspirations of the government for the sector as encapsulated in the PIA.
On the PIA implementation plan, Wunti stated that the incorporation of NNPC Limited and the inauguration of the NNPC Board had been completed and all hands are on deck to implement other requirements of the PIA within the set timelines.
He further stated that the 3E’s – Energy Transition, Energy Investment and Energy Crisis are key game changers in revolutionising the oil and gas industry.
Specifically, Wunti explained that the recent energy crisis evidenced by the high gas price was as a result of the global drive to achieve a net zero emission future buoyed by stringent Environmental, Social & Governance (ESG) requirements and activist investors.
He then urged stakeholders in the industry to adopt the 3C’s – Critical Thinking, Collaboration and Compliance, as they are key to maximizing the benefits of the PIA for all stakeholders – Regulators, Investors, Operators, Contractors, Host Communities and Nigeria.
