NUPRC guarantees effective implementation and local crude supply, per PIA.

For the petroleum industry to make a larger contribution to Nigeria’s economy, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has pledged to carry out the provisions of the Petroleum Industry Act (PIA 2021).

The commission has pledged to see to it that the provisions of the PIA affecting its operations, such as the domestic crude oil supply to licenced refineries in Nigeria, are properly implemented.

At a meeting with Exploration and Production Companies on Domestic Crude Supply Obligation (DCSO) on Wednesday at the NUPRC headquarters in Abuja, Mr. Gbenga Komolafe, Commission Chief Executive (CCE), NUPRC, made the announcement.

The meeting was intended to establish a way forward for alignment on the implementation of domestic crude oil supply obligations, the operator’s compliance status, and the operator’s reaction.

More private refineries in Nigeria have signalled their willingness to begin production shortly; thus, the NUPRC is acting within the guidelines of the PIA 2021 to guarantee that operators have a steady supply of feedstock.

The commission recently warned of penalties and fines for undermining the process of supplying crude oil to licenced refineries in Nigeria, as is its authority under Section 109(4) of the Petroleum Industry Act (PIA).

He claimed that the government would reap the benefits of increased revenue from the petroleum industry thanks to the PIA’s successful implementation.

As the first regulator of the upstream industry, we have an obligation to ensure that the PIA’s applicable provisions are carried out in full.

For the sake of our business and our great country, we are dedicated to seeing the PIA through to a successful conclusion.

As he put it, “as a regulatory body, we will regulate in accordance with the requirements of the Act,” and “any decision we take will be in keeping with the law to ensure growth and development.”

While the federal government was carrying out changes through its relevant agencies, Komolafe asked industry operators to uphold best practises and comply with the rules of the law.

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