In order to avoid any litigation or disagreement that may arise from the passing of the Petroleum Industry Bill (PIB) into law, an expert in the Oil & Gas industry, Olooye Adegboyega Adegoke, FCA has advised both the National Assembly and the Executive to harmonise all the grey areas in the Petroleum Industry Bill (PIB) before it eventually becomes law.
Adegoke who is a Director with OES Energy Services Limited made the advise while speaking with journalists shortly after he received an award of excellence on his contributions to human endavour, support to less privileged, women development and vocational training, given to him by the Inner Wheel Club District 913-Nigeria during the investiture of IWM Ojoele-Ayoola Sherifat Bolatito as the 35th District Chairman.
Other awardees include Senator Teslim Kolawole Folarin represented by Barrister Lowo Obisesan, Chief Funso Omokurolue and Evangelist (Mrs.) Toun Soetan.
At the event were the Deputy Governor of Oyo State, Engineer Rauf Olaniyan, Barrister Sharafaden Alli and other dignitaries.
Adegoke disclosed that part of the grey areas that need to be resolved before the PIB becomes law include 5% recommendation by the House of Representatives, 3% recommendation by the Senate to the host communities as well as the 30% of the NNPC profitĀ earmarked to be spent on frontier basin for oil & gas exploration.
Adegoke, who is the Ajia Balogun of Ibadanland and a senatorial hopeful while expressing happiness over passing of the Bill, saying it is a welcome development but there is still a need for harmonisation of the grey areas.
According to him, “First of all, it is a welcome development because we have been on it for several years, 17 years for that matter, but now we have been able to do something. I want to add that non-passing of the PIB has led to reduction in investment in the Oil & Gas sector in Nigeria.
“It is same Oil and Gas globally, so if one country is not serious, you will take your money to other countries and that’s what has been happening in Nigeria. Now it is one step forward but there are lots of grey areas in the bill to be addressed.
“There is the need for House of Representatives and the Senate to meet to harmonise some grey areas. House of Representatives recommended 5% while Senate recommended 3% allocation for the host communities.
“Another grey area is the recommendation of 30% profit of the NNPC to be spent on frontier basins, which are mainly in the Northern part of the country. This implies that 30% of the NNPC funds will be channelled into looking for oil and gas in those areas.
“To me it looks somehow in this era of borrowing from China, and that the little NNPC is making 30% of it they will be spending on oil & gas exploration we are not sure of, even if we get oil from those basins, it cannot be in commercial quantity.
“This money is supposed to be spent on infrastructure, supporting the Niger Delta where the oil is coming from. But all in all we need political solutions to all these grey areas”.
