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Senate Passes Production Sharing Contract Act Amendment Bill
The Senate has passed the Production Sharing Contract Act 2004 (amendment) Bill 2019, in a bid to shore up Nigeria’s revenue earning, Deep Offshore and Inland Basin.
The bill was passed on Tuesday by the upper chamber after consideration of the report of the Joint committees on Petroleum (Upstream), Gas and Finance.
This comes after the Senate last week received a formal request from President Muhammadu Buhari seeking the amendment of the Act.
With the passage of the bill, it is estimated that Nigeria stands to benefit about N400 billion being revenue due to the federal government from International Oil Companies (IOCs) operating in the country.
The Senate, during the clause-by-clause consideration of the committee’s report, however, amended clause 17 of the Act, which recommended 10 years for a future review of the law.
The Deputy President of the Senate, Ovie Omo-Agege, during consideration of the report, demanded an explanation from the Joint committee as to why the timeline for review of Production Sharing Contracts was amended from 5 years to 10 years.
In his response, Chairman of the Committee, Senator Albert Bassey Akpan, explained that the Nigerian National Petroleum Corporation (NNPC) and International Oil Companies bemoaned the five-year period which they said was insufficient to make certain final investment decisions.
“It takes about five years for an investor to take a Final Investment Decision oil investment (FID). So the NNPC and others are saying for you to review the law, you must give them a stable law; something they can project on”, Akpan said.
Some lawmakers including Senators Danjuma Goje (APC, Gombe Central) and Jibrin Barau (APC, Kano North), who were not swayed by Senator Akpan’s explanation, insisted on the retention of the existing five-year periodic timeline provided in the Act.
Senator Ibikunle Amosun (APC, Ogun Central), however prevailed on his colleagues and moved a motion for an amendment of clause 17 to specify eight years as the timeline for the review of the Production sharing Contracts.
The motion was seconded by Senator Kabiru Gaya (APC, Kano South) and thereafter adopted by the upper chamber when put to a voice vote by the President of the Senate, Ahmad Lawan.
In his remarks, the President of the Senate said the National Assembly made history with the passage of the Bill for an amendment of Production sharing Contracts Act.
While commending President Muhammadu Buhari for his commitment towards ensuring the amendment of the Act, he stressed that Nigeria stands to benefit N1.5 billion as a result of the amendment.
He said: “We have done what could not be done from 2003 to date. Today marks a milestone in the history of the Senate, and particularly the National Assembly.
“With the passage of this bill, Nigeria will gain at least $1.5 billion in 2020 as a result of this amendment. The Senate will do more.
“I must commend President Buhari, who mentioned the need to amend this bill in his speech when he presented the 2020 budget to the National Assembly last week, and of course, we also received an executive communication from him.”
Lawan emphasised the amendment of the Production Sharing Contract Act will create a level playing ground for the government and International Oil Companies doing business in Nigeria.
“For the IOCs doing business in Nigeria, the amendment will not in any way discourage investment. We expect that they will continue to do business in Nigeria”.
“When we legislate at the National Assembly, we will always be mindful of the need to have a competitive environment.
“When we work on the Petroleum Industry Bill, maybe in January, we will ensure that it is a win-win situation for Nigerians and those doing business in the oil and gas industry”, Lawan added.
Earlier, the Senate President read an executive communication from President Muhammadu Buhari requesting the amendment of the Production Sharing Contracts Act.
The letter dated 10th October, 2019, reads: “Pursuant to Section 58 of the Constitution of the Federal Republic of Nigeria 1999 (as amended), I hereby present the Deep Offshore and Inland Basin Production Sharing Contracts (Amendment) Bill, 2019 for consideration and passage into law by the Senate.
“This Bill seeks to reflect the current realities in the oil and gas sector, as well as to secure increased revenue for the Federal government to fund projected expenditure in the 2020 and subsequent budgets.
“While I trust that this bill will be expeditiously and favourably considered by the National Assembly, please accept, Distinguished Senate President, the assurances of my highest consideration.”
The Enugu State government has inaugurated a steering committee to eliminate Gender-Based Violence, GBV, in the state, declaring zero tolerance for the social malaise.
The inauguration took place at the Government House Enugu.
The panel, which is chaired by the Commissioner for Children, Gender Affairs and Social Development, Mrs. Ngozi Enih, draws its membership from the Nigeria Police Force, Ministry of Agriculture and Agro Industrialisation, Ministry of Local Government, Rural Development and Chieftaincy Affairs, Ministry of Human Development and Poverty Reduction, Ministry of Trade, Investment and Industry, Ministry of Justice, Ministry of Health, Ministry of Education as well as the Civil Society.
Inaugurating the panel known as the Steering Committee for Strengthening Institutional and Community Responses to End Gender-Based Violence/Domestication of Enugu State Gender Policy using the Oputa Panel approach, Governor Peter Mbah restated his administration’s commitment to not bringing perpetrators of GBV to book, but also putting in place proactive measures – activities, infrastructure, and systems in place to prevent them.
Mbah, who was represented by the Secretary to the State Government, Prof. Chidiebere Onyia, said, “We take gender-based violence seriously. We have zero tolerance for it, and in Enugu State, we are ready to go the extra mile to deal with it.
“If you notice, the government has selected people that are very committed to this goal. This is not an activity where we just want to check-off the list. We will track this. We will monitor this, and we will have quarterly engagements on the successes that this particular committee has achieved in terms of reference that we are going to send.
“We will tighten those terms of reference indicators, so that we monitor what we are doing both in terms of cost input and the value added. It’s very important to us. Many people will be involved – civil society, the police and various ministries.”
He however, said that the effort was to protect everyone, men and women alike, as GBV was not restricted to any gender.
“The whole idea is to hold people responsible that are involved in matters relating to gender violence and deter people that by culture or by association get involved in that, protect women, protect our children, and in the case of violence against men, protect our men because most times we misconstrue gender violence to mean women, but it can also be men too.
“We encourage our men to speak out and to make sure they understand that the policy that Enugu State is soon going to domesticate is for everyone, and not only for the female gender,” he stated.
In her remark, Mrs. Enih, explained that the Oputa Panel approach was inspired by the need to cover all local peculiarities in domesticating the policy on GBV, restarting government’s confidence in the members of the panel.
“The approach we are going to use is the Oputa Panel approach, and in the Oputa Panel approach, we are going to tour the 17 Local Government Areas to get firsthand information about what our people are going through because policy is meant for the people, and a policy should suit the people.
“Again, every community has its peculiar problems, so that’s why the government decided that if we have to domesticate the gender policy, we have to hear from the people who own the policy and know the changes that they desire to see. That is the reason we are using this approach.
“The committee members are to also serve as judges. As we gather this information from our people, we will come back to tailor it in a way to suit the people of Enugu State, and then our policy is ready.
“We want the people to know that there is a gender policy for them. I can assure you that when the people are aware that there is such a policy, they will seek for the enforcement of that policy. So, this is not going to be one of those policies that will just lie on the shelf,” she said.
Digital solutions provider, Globacom, has congratulated Christians in Nigeria on this year’s Easter celebration, and urged them to emulate the noble qualities of Jesus Christ.
The company, in a goodwill message to the Christian faithful in the country, lauded their perseverance through the Lenten period which preceded Easter. It enjoined them to always promote the ideals of selflessness, love and peace among all as a way of demonstrating the virtues of the exemplary life of Jesus Christ.
“Peace, love and sacrifice are the central message of Easter. Christ offered himself in atonement for the sins of the world and he lived a life which made Him an eternal symbol of peace and goodwill for mankind”, Globacom added.
The company enjoined all Nigerians to share in the lessons of promoting selflessness, a necessary ingredient in the growth and development of every society. It also enjoined all Nigerians to join hands to make Nigeria a better place for all.
Easter is celebrated yearly at the end of the Lenten season of fasting and prayer considered as a ritual of purification for the Christian faithful. It also precedes the crucifixion of the Lord Jesus Christ on Good Friday and His eventual resurrection on Easter Sunday.
The company assured its customers of seamless voice, data and Short Messaging Service (SMS) during and after the Easter celebrations, while urging them to avail themselves of the various data and voice offerings on the network.
The Guild of Private Broadcast Managers has extended its heartfelt congratulations to the Nigeria Union of Journalists (NUJ) as it celebrates its 70th Anniversary.
In a congratulatory message signed by the Guild’s National President, Ambassador Patrick Uzoyi-Peters, JP MNGRM, the guild described the milestone as a testament to the NUJ’s unwavering commitment to upholding press freedom, journalistic integrity, and the advancement of democracy in Nigeria.
“For seven decades, the NUJ has played a pivotal role in shaping the media landscape, advocating for the rights and welfare of journalists, and ensuring that the voice of the people remains strong and unyielding. Your resilience, professionalism, and dedication to ethical journalism have been instrumental in fostering transparency, accountability, and national development”.
Celebrating this historic achievement, the Guild’s President, Uzoyi-Peters recognized the sacrifices and contributions of journalists across the nation who work tirelessly to inform, educate, and empower society.
The Guild reiterated it commitment towards collaborating with the NUJ in promoting responsible journalism and strengthening the media industry for the greater good.
While wishing the NUJ continued success, growth, and greater impact in the years ahead, President Uzoyi-Peters prayed that the anniversary serve as a renewed call to uphold the principles of truth, fairness, and press freedom in our collective pursuit of a more informed and just society.
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