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PPPRA To Be Scrapped As Buhari sends PIB To Lawmakers

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President Muhammadu Buhari has sent the Petroleum Industry Bill (PIB) to the National Assembly for consideration and passage.

The bill seeks to scrap the Nigerian National Petroleum Corporation (NNPC) and the Petroleum Products Pricing Regulatory Agency (PPPRA), the Punch reported.

The proposed law will in turn establish the Nigerian National Petroleum Company Limited after all the assets and liabilities of the NNPC have been identified by the ministers of petroleum resources and finance.

The bill also seeks to establish the Nigerian Upstream Regulatory Commission and the Downstream Petroleum Regulatory Authority.

“The Minister (of Petroleum) and the Minister of Finance shall determine the assets, interests and liabilities of NNPC to be transferred to NNPC Limited or its subsidiaries and upon the identification, the minister shall cause such assets, interests and liabilities to be transferred to NNPC Limited,” the newspaper quoted parts of the bill.

“Assets, interests and liabilities of NNPC not transferred to NNPC Limited or its subsidiary under subsection 1 of this section shall remain the assets, interests and liabilities of NNPC until they become extinguished or transferred to the government.

“NNPC shall cease to exist after its remaining assets, interests and liabilities other than its interests, assets, and liabilities transferred to NNPC Limited or its subsidiaries under subsection 1 of this section shall have been extinguished or transferred to the government.

“The minister shall be at the incorporation of NNPC Limited, consult with the Minister of Finance to determine the number and nominal value of the shares to be allotted which shall form the initial paid-up share capital of the NNPC Limited and the government shall subscribe and pay cash for the shares.

“Ownership of all shares in NNPC Limited shall be vested in the government at incorporation and held by the Ministry of Finance incorporated on behalf of the government.”

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