PENGASSAN decry political interference in petroleum sector, call for reforms
Policy instability hurts oil investment – PENGASSAN
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) on Thursday decried the presence of political interference in the Nigerian petroleum industry, stating that there was a need for reforms to guide the operations of the country’s refineries.
Festus Osifo, President of PENGASSAN, stated this in Abuja on Thursday at the ongoing 4th PENGASSAN and Labour Summit 2025.
Nigeria’s refineries, according to Osifo, should be operated under a model similar to the Nigeria Liquefied Natural Gas, where the government holds minority stakes while competent private operators take majority control for efficiency.
He explained that even though workers have the right skills to manage the refineries, the unavailability of proper tools and political interference have continued to impact the optimal performance of the refineries.
Osifo also commended the leadership of the Nigerian Upstream Petroleum Regulatory Commission for ensuring transparency and accountability in the upstream sector. He acknowledged the Commission’s innovations, noting that its consistent commitment to reforms has strengthened the upstream oil and gas sector.
Osifo said, “As the regulator of the upstream oil and gas sector, your industry is as strong and firm because you have proven over the years that you are committed to driving your mandate and decision to reform the industry.”
In his remarks, Gbenga Komolafe, Commission Chief Executive(CCE) NUPRC, disclosed that the Commission has completed a case-by-case review of the marginal fields licensing that are due for renewal.
Komolafe clarified that, based on the provisions of the law, the marginal field holders are expected to meet specific milestones upon which they will be assessed and considered for renewal.
He explained that a technical assessment was done by the Commission on the marginal fields on a case-by-case basis in line with the extant laws, adding that license renewal will be merit-based.
The CCE said, “It doesn’t necessarily mean that they should meet the terms of the award at the same time. The Act has made it clear that the terms are organised in such a way that it is on a milestone basis. In that respect, for the marginal fields that are due for renewal, and in the transparent manner the NUPRC has operated, we try to look at each marginal field on a case-by-case basis.