Oil regulator set to release more rules to guide industry operations –

The Nigeria Midstream Downstream Petroleum Regulatory Authority (NMDPRA) is about to launch 4 new rules to information the actions of the midstream and downstream sector of the oil and fuel business.

This was disclosed by Joseph Tolorunshe, Secretary and Authorized Adviser, NMDPRA throughout the Basic Counsel and Authorized Advisers’ Discussion board held on Wednesday in Abuja.

He famous that following the passage of the Petroleum Business Act 2021, 12 Rules have been gazetted and eight extra will observe, which can give a complete of 20 gazetted rules.

Farouk Ahmed, Chief Govt, NMDPRA in his remarks additionally spoke on the perceived regulatory overlaps between the NMDPRA and the Nigerian Upstream Petroleum Regulatory Fee (NUPRC).

Ahmed who was represented by Ogbugo Ukoha, Govt Director, Distribution Programs, Storage & Retailing Infrastructure mentioned stakeholders and potential traders require regulatory readability to drive funding selections and information operations to make sure compliance with authorized provisions and stop reputational harm.

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He added that the PIA was designed to restructure the business by making a boundary between the upstream, midstream and downstream worth chain for progress and effectivity.

“The NUPRC is remitted to completely regulate all Upstream operations as outlined in Part 318 within the PIA, conduct measurement of crude oil and pure fuel produced for the aim of royalty dedication and guarantee an arm’s size switch to midstream operations at measurement factors whereas the NMDPRA alternatively is saddled with regulating the Midstream and downstream operations whether or not or not associated to a lease,” he mentioned.

Making reference to part 25 and 48 of the PIA, he mentioned it’s essential to know the 2 businesses are completely different from one another as they’ve various features and roles to play within the business.

“I’m not oblivious of the most important coverage shift that the implementation of the PIA has necessitated which can have considerably impacted our enterprise fashions, to quick observe the implementation of the PIA, all stakeholders should adhere to the provisions of the regulation,” he mentioned.