The Oil Producers Trade Section (OPTS), affiliated with the Lagos Chamber of Commerce and Industry, revealed Nigeria’s outstanding $1.3 billion debt to gas producers for supplied products. They urged the Federal Government to recognize this debt when addressing the nation’s energy challenges.
At a workshop in Abuja, Nathaniel Oyatogun of the OPTS’s Gas Sub-committee, shared this. He stressed that expecting uninterrupted gas supply while holding a decade-long debt is unreasonable. According to a report by The Sun, Oyatogun encouraged the government to negotiate repayment terms without further draining Nigeria’s limited resources.
Highlighting the economic repercussions, Oyatogun mentioned potential growth in electricity supply, addressing energy shortages, and overall economic development if the debt were settled.
IPPG Chairman, Abdulrazaq Isa, voiced concerns about prolonged investor uncertainty in the petroleum sector, heightened by global energy shifts and Niger Delta’s instability. This has reportedly diminished Nigeria’s production.
Isa emphasized the urgency of boosting oil and gas production for economic stability. His priorities include:
- Amending the PIA for a solid regulatory framework, ensuring the reforms’ success.
- Improving Niger Delta’s security to counteract oil theft and address production decline.
- Developing a productive midstream and downstream sector for economic growth and job creation.
House of Representatives’ Ado Doguwa lauded the event’s organizers for enlightening parliamentarians. He pressed for collaboration to overcome the petroleum sector’s hurdles, referencing the 2021 Petroleum Industry Act as a growth foundation.
