FG Set To Strengthen Reforms In Oil Sector

The federal government has expressed commitment to open up business deals in the oil and gas sector to end corruption and anonymity in the sector.

The Executive Secretary of Nigerian Extractive Industries Transparency Initiative (NEITI), Dr Orji Ogbonnaya Orji, said through the Open Governance Partnership (OGP) that a series of reforms have been initiated in the sector among which is the beneficial ownership registry to end anonymous companies in the country.

Speaking at a presentation of OPG award to President Muhammadu Buhari through the Minister of State for Budget and National Planning, Prince Clem Agba, Orji stated that an inter-agencies committee on the implementation of contract transparency in the extractive sector was inaugurated in 2021 and part of its mandate is to ensure that contracts signed disclosed “the terms and conditions set out in the contracts for exploration and exploitation of Nigeria’s oil and gas assets under the Joint Operating Agreements, Production Sharing Contracts, Service Contracts and Sole-Risk Contracts as well as Crude Oil Term Contracts, contracts for domestic and export sales of natural gas feedstock and natural gas liquids.”

He said NEITI is also engaging with CAC, EFCC, NFIU and other agencies to have a functional BO register that can be used by the various stakeholders, thus, it is establishing a joint coordination committee in June, 2022.
In his remarks, Agba said Nigeria was able to win the award out of 79 member-countries of OGP, due to the reforms to rid the country from corruption.

He added that despite challenges in revenue, the Buhari’s administration has been able to complete the construction of key infrastructures needed to stimulate economic growth.