Implementation Of The Petroleum Industry Act (PIA) 2021,

This report highlights growing concerns among experts and civil society organizations about the Nigerian National Petroleum Company Limited (NNPCL) and the broader oil sector. Here are the major takeaways:

🔍 Key Issues Raised:

1. Lack of Full Implementation of Transparency Provisions (PIA Section 83):

• Dr. Michael Uzoigwe of EITI emphasizes that while the PIA mandates contract transparency, no clear template or framework has been provided by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
• Transparency in contracts—who the government is doing business with, under what terms—is critical and remains insufficiently addressed.

2. NNPCL’s Transition to a “Commercial Entity”:

• NNPCL was incorporated as a limited liability company under the PIA, aiming to operate like a private firm.
• However, critics argue that transparency has not improved, and the company still wields disproportionate influence—acting as regulator, commercial operator, and policy influencer—which undermines checks and balances.

3. Civil Society Perspective:

• Victoria Ibezim-Ohaeri (Spaces for Change) notes that transparency has long been a demand from civil society, not just a response to IMF pressure.
• The root problem predates the PIA, and implementation gaps risk preserving the same culture of opacity that stakeholders sought to eliminate.

4. Need for Comprehensive Review:

• Uzoigwe and other stakeholders recommend a full review of how the PIA has been implemented nearly four years after its passage.
• Early findings, including from EU-funded studies, show a significant shortfall between reform intent and execution.

📌 Broader Implications:

• These criticisms suggest that PIA reforms are stagnating, particularly in making NNPCL accountable and limiting its oversized role.
• Transparency is not just a governance issue—it affects investor confidence, revenue management, and ultimately, public trust.
• Without rigorous implementation and monitoring, the PIA risks becoming symbolic rather than transformational.