The Petroleum Industry Act (PIA) has emerged as the cornerstone of Nigeria’s upstream oil and gas sector transformation through strategic reforms, regulatory clarity, and increased investment inflows.
This was the highlight of the presentation delivered by the Commission Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Engr. Gbenga Komolafe, at the 24th Nigerian Oil & Gas (NOG) Energy Week in Abuja.
Engr. Komolafe emphasized that the full implementation of the PIA, complemented by President Bola Tinubu’s 2024 Executive Orders on fiscal incentives, local content enhancement, and cost efficiency, has created a more attractive and transparent operating environment for investors.
The PIA, he stated, has laid the legislative and regulatory foundation, while the Executive Orders have accelerated progress by offering competitive incentives, strengthening domestic participation, and improving operational timelines. He added that these reforms collectively signal Nigeria’s readiness for investment and innovation in the upstream sector.
According to him, outcomes such as over 16 billion dollars in new investments and the rollout of Project One Million Barrels which targets increasing daily crude oil production to 2.5 million barrels by 2026 are already taking shape. He stressed that the reforms are not only about boosting production but also about ensuring energy security, resilience, and environmental sustainability.
Within the framework of the PIA, the Commission has driven key regulatory initiatives such as upstream digitization, infrastructure expansion, and the implementation of transparent licensing systems aimed at enhancing efficiency, reducing costs, and restoring investor confidence.
Engr. Komolafe revealed that central to Nigeria’s energy future is its gas driven energy transition. He reaffirmed the country’s commitment to end routine gas flaring by 2030 and reduce methane emissions by 60 percent by 2031. He also announced the designation of March 18th as Nigeria’s official Upstream Decarbonisation Day, underscoring NUPRC’s commitment to climate aligned development, carbon markets, and emissions tracking.
Komolafe further warned that the Commission will continue strict enforcement of the Nigerian Gas Flare Commercialisation Programme (NGFCP), noting that regulatory action has already been taken against defaulting producers.
