The two agencies in charge of regulations for Nigeria’s upstream and downstream oil sub-sector, Department of Petroleum Resources (DPR) and Petroleum Products Pricing Regulatory Agency (PPPRA) will legally cease to exist in their current structures any moment from now,
President Muhammadu Buhari has already announced the formation of new agencies to take the place of the two.
Buhari has chosen the heads of the two regulatory agencies created following the adoption of the Petroleum Industry Act, according to a letter received exclusively by Platforms Africa to Senate President, Ahmed Lawan.
The President signed the Act into law last month, creating the Nigerian Upstream Regulatory Commission, (NURC), which will take over most of the upstream regulatory functions of the Department of Petroleum Resources, so replacing DPR as a primary regulator.
The PIA also calls for the establishment of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which will be in charge of overseeing the country’s midstream and downstream petroleum operations.
The President has, in the letter to the Senate, nominated Gbenga Komolafe as the Chief Executive Officer of the Upstream Regulatory Commission. Komolafe is to serve for a period of five years. The position is also renewable once for another five years according to the Act.
Also, as a fallout of the PIA implementation, the President has approved the appointment of Mr. Sarki Auwalu as the Chief Executive Officer for the Nigerian Midstream and Downstream Petroleum Regulatory Authority.
If confirmed, Auwalu who is the current Director/Chief Executive Officer of the DPR, would serve as Chief Executive Officer of the Authority for five years. The position is also renewable once for another 5 years.
The PIA requires the confirmation of the Senate for the position of the Heads of the Authority and the Commission.