Tinubu Signs Order To Drive Oil, Gas Investment

President Bola Ahmed Tinubu has signed an executive Order to reposition the nation’s oil and gas sector.

According to a statement signed by Ajuri Ngelale on Wednesday, the President’s Special Adviser on Media and Publicity, the Order is expected to eliminate bottlenecks and promote more investment in the sector.

The presidential aide stated that the Order was a product of extensive consultations by the president with major stakeholders in the oil and gas business.

The statement said: “Following extensive engagements, analyses, and benchmarking with other jurisdictions, the President has initiated the amendment of primary legislation to introduce fiscal incentives for oil & gas projects, reduce contracting costs and timelines, and promote cost efficiency in local content requirements.

“Recognizing the urgency to accelerate investments, the President has directed as follows, Introduction of fiscal incentives for non-associated gas, midstream and deepwater developments, streamlining of contracting process to compress the contracting cycle to six months and ⁠the application of the local content requirements without hindering investments or the cost competitiveness.

“The details of these Policy Directives will be gazetted and communicated by the Federal Ministry of Information and National Orientation.

“These incentives were developed in collaboration with the Federal Ministry of Justice, Federal Ministry of Finance, Federal Ministry of Petroleum, Federal Ministry of Budget and Economic Planning, Federal Inland Revenue Service, the Nigerian National Petroleum Company Limited, the Nigerian Upstream Petroleum Regulatory Commission, the Nigerian Midstream and Downstream Petroleum Regulatory Commission, and the Nigerian Content Development and Monitoring Board.

“The Special Adviser to the President on Energy has been directed to continue coordinating the aforementioned stakeholders to ensure the implementation of these directives within a stipulated time frame.”