The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is determined to enforce the domestic crude oil supply obligations as provided in the Petroleum industry act 2021, in order to ensure adequate supply of crude oil to domestic refineries.
The Commission’s Chief Executive, Engr. Gbenga Komolafe, gave the indication at a stakeholder meeting with producers of crude oil in Nigeria, held at the Commission’s headquarters Jabi, Abuja.
While rolling out the agenda for the meeting, Engr Gbenga Komolafe who lamented on the current situation, where modular refineries are faced with the challenges of lack of access to feedstock, declared that there is a need for crude oil producers to abide by the extant laws of the Petroleum Industry Act 2021.
He added that, Section 109 of the Petroleum Industry Act 2021, provides that, the NUPRC shall base the allocation of the domestic crude oil supply obligation applicable to the respective lessees on the
National Crude Oil demand requirement supply curve.
Engr Komolafe, who was emphatic on the commission’s resolve toward enforcing every section of the PIA, enjoined the crude oil producers to always provide NUPRC with the details of their committed and uncommitted barrels in order to enhance transparency and accountability in the industry.
He stated that, the 2021 Petroleum industry act has empowered the commission with power to sanction any player in the industry who violets any regulation in the course of its operations as provided under the domestic crude oil supply obligations regulations.
On his part the Executive Secretary of the Nigerian Extractive industry Transparency initiative (NEITI) Mr. Orji Ogbonnaya Orji, commended the NUPRC for always interfacing with stakeholders in the oil and gas Sector, which he described as a way of instilling confidence in minds of investors.