It is unbelievable that the Petroleum Industry Bill has remained in the National Assembly for years without serious legislative action by the lawmakers. This is despite the potential benefits it holds out to the country’s economy.
Titled “An Act to Establish the Legal and Regulatory Framework, Institutions and Regulatory Authorities for the Nigerian Petroleum Industry” it seeks to establish guidelines for the operation of the upstream and downstream sectors, and for purposes connected with the same. The bill’s fundamental objectives include: Vesting of petroleum and natural gas property and sovereign ownership of petroleum within Nigeria, its territorial waters, the continental shelf, the exclusive economic zone and the extended continental shelf shall vest in the sovereign state of Nigeria for and on behalf of the people of Nigeria”.
Aside this, the bill also makes ample provision for allocation of acreage, government participation in the sector, environment and air quality emissions, community development and Nigerian content.
On community development, the bill stipulates that, “The Federal Government shall, in co-operation with the state and local governments and communities, encourage and ensure the peace and development of the petroleum producing areas of the Federation through the implementation of specific projects aimed at ameliorating the negative impacts of petroleum activities”.
Objective analysts have acknowledged this as the most urgent requirement if the country wants to, indeed, avert further environmental degradation that wrecks the source of livelihood of the Niger Delta people where crude oil is being explored.
Another important provision of the bill which deals with environment and air quality emissions can be summarised thus: “The Federal Government shall, to the extent practicable, honour international environmental obligations and shall promote energy efficiency, the provision of reliable energy, and a taxation policy that encourages fuel efficiency by producers and consumers. (2) In accordance with the provisions of subsection (1) of this section, the Federal Government shall introduce and enforce integrated health, safety and environmental quality management systems with specific quality, effluent and emission targets for oil and gas related pollutants, without regard for fuel type such as gas, liquid or solid, in order to ensure compliance with international standards”.
Despite positive objectives, there still remains pockets of oppositions from certain quarters, particularly the international oil companies and some northern states governors. The latter rejected the provision of additional 10 per cent to the oil-producing states. This argument does not consider the current deplorable environmental condition of the Niger Delta region and how much it would cost to clean up the area and at whose expense.
They also failed to realize that virtually all the states have one natural endowment or the other waiting to be harnessed . For example, it has been proven that there abound over 800 million tonnes of limestone in Gulane, Fune and Guljimba Local Governments of Yobe. Indeed, every state in the country has its fair share of natural resources.
Suffice it to say that, the PIB is not about President Goodluck Jonathan, the Minister of Petroleum Resources, the Niger Delta but rather the national interest. We, therefore, urge all Nigerians to support quick passage of the bill as the merits, obviously outpace its perceived pitfalls. Besides, concerted efforts should be made by all states in the country to tap abundant natural resources that abound in their areas. This if done, will definitely open up the economy and make room for even development as well as create jobs for the unemployed.