More Revenue Reason For Production Contract law Amendment
The President of the Senate, Ahmad Lawan on Monday said the desire to generate more revenues from the country’s natural endowments is pushing the current amendment of the law on Production Sharing Contract in the oil industry.
Lawan however, speaking at the public hearing convened jointly by the Senate committees on Petroleum (upstream), Gas, finance and Judiciary on the Deep Offshore and Inland Basin Production Sharing Contract 2004(amendment) Bill 2019 sponsored by Senator Albert Bassey said the Senate will be mindful of the need to maintain a competitive environment for businesses to continue to thrive.
The Senate efforts are geared at amending section 5 of the PSC Act to ensure it conforms with the generality of provisions of the Act and into congruence with the intention and essence of Production Sharing Contracts.
“We want to attract more investments and therefore it is absolutely necessary that we engage in a process that we produce a win-win situation” for Nigeria and the business concerns in the oil and gas industry, noted the Senate president who said amendment will pave the way for the passage of the Petroleum Industry Bill next year.
The Petroleum Industry Bill introduced in 2007 is yet to be passed in its entirety but Lawan assured of different approach to ensure its passage by the current session of the National assembly and all involved.
“We want to see a situation where the Legislature and the Executive work very closely to have a PIB that will attract investment into the oil and gas sector in Nigeria.
“An investment climate that will be competitive; we know we have other countries who have this product, and therefore we have to be competitive, we have to have an environment where the businesses make profit.
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