The signing of the much awaited Petroleum Industry into law by President Muhammadu Buhari has been described as “a singular historic transformational legislation in public corporate governance” since the return of the country to democracy in 1999.
Director-General/CEO of Michael Imoudu National Institute for Labour Studies ( MINILS) Comrade Issa Aremu made this known in Ilorin on Tuesday, at the opening of a 3-Day in plant Strategic Leadership Skills workshop for Trade Unionists drawn from Petroleum Equalisation Fund (PEF) across the nation.
On the 16th August 2021, President Muhammadu Buhari signed the Petroleum Industry Bill (PIB or “the Bill”) 2021 into law following the passage of the Bill by both the 9th Senate and the House of Representatives earlier in July 2021.
Recalling that the subsisting law regulating the petroleum industry was passed in 1969, the Director General of the Labour Institute observed that it was the commitment and focus of President Muhammadu Buhari that had made the enactment of the hitherto impossible legislative framework a reality.
He said despite the outstanding challenges associated with the new law, the President still made it happen.
Aremu described as “healthy” the current controversies over the perceived imperfections of the new law with respect to host community’s take and Frontier Exploration Fund adding that any developmentalist law is “legislative work in progress”.
“It’s good to jaw jaw on development and transformation which PIA law represents, than the unhelpful shouting discordant voices over divisions and violence of no value. President Buhari has commendably changed the national narrative in the positive direction of development by signing PIB into law ,” Aremu said.
The Director General noted that the signing of PIA on the eve of the 60th anniversary of independence assumes special importance because according to him, PIA “would moderate the unacceptable dominance of the petroleum industry by the international oil companies (IOCs) and make Nigeria and Nigerians dictate the pace and pattern of the development of the industry according to the objectives of the new National Development Agenda 2050.
“If we add the recent bold move to reactivate PortHarcout Refinery, landmark 2019 historic assent to the Bill amending the Deep Offshore (and Inland Basin Production Sharing Contract) Act which commendably balanced the corporate greed in oil and gas sector with urgent national needs in terms of revenue, prosperity would record it that President Buhari is championing petroleum sector development renaissance after decades of neglect,” Aremu said.
On critical labour issues associated with the new Petroleum law, Comrade Aremu called for “a JUST transition” for a gradual sector reform such “that companies operating in the Nigerian oil and Gas industry comply with all international labour conventions ratified by Nigeria; the collective agreements with the labour unions and the extant labour laws as a minimum in all their dealings with the Nigerian workers and their representatives”.
He called for engagement between PENGASSAN, NUPENG and the government explaining that proper arrangements be made that the liabilities of the NNPC and other agencies to their staff such as pensions to retired and existing employees are adequately provided for prior to the effective commencement date of the PIA.
The Director General disclosed that arrangement has been concluded to popularise the new Petroleum Act among the sector stakeholders.
Lateefah Ibrahim
