In an urgent call for action, Gbenga Komolafe, the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), emphasized the need for Nigeria to reduce entry barriers to attract vital investments in the oil sector. This statement comes at a critical time when Nigeria faces mounting pressure to substantially increase its oil production.
Komolafe made this crucial point during a meeting with Felix Ogbe, the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB). The NUPRC chief highlighted the increasingly competitive nature of global investment, necessitating a strategic shift to make Nigeria more attractive to investors.
According to a report by This Day Live, the visit by Ogbe, aimed at strengthening inter-agency collaboration, was welcomed by Komolafe, who praised his appointment and acknowledged the NCDMB’s significant role in the upstream oil sector. He stressed the importance of joint efforts in tackling the challenges of low crude oil production and the need for investment to revive the Nigerian economy.
Komolafe pointed out that the global energy landscape has evolved, with new oil-producing countries emerging, intensifying the competition for investment. “We must remove investment entry barriers in this highly competitive environment. Our collective effort should focus on motivating investment,” he said.
In response, Ogbe emphasized the importance of teamwork and partnerships across various agencies in the petroleum ministry to foster growth in Nigeria’s oil and gas industry. He suggested that the NCDMB and NUPRC should collaborate on workshops to address investors’ concerns and remove obstacles to investment and project initiation.
Highlighting the critical role of investment decisions by international oil companies, Ogbe noted their reliance on Return on Investments (ROI) assessments. He also underscored the significance of local content development, which hinges on the flourishing of projects and investments in the sector.
Additionally, Ogbe’s meeting with Olorundare Thomas, the Commissioner for Insurance at the National Insurance Commission (NAICOM), focused on deepening partnerships with key federal agencies. He expressed the NCDMB’s commitment to implementing regulations that encourage Nigerian oil and gas companies to support local insurance firms, thereby retaining economic spending within the country.
Thomas, while congratulating Ogbe on his appointment, stressed the importance of the insurance services regulations and urged for their swift implementation to revitalize the insurance subsector in the oil and gas industry.
This series of meetings marks a concerted effort by Nigeria’s oil regulatory chiefs to invigorate investment in the oil sector, vital for the country’s economic prosperity and stability.
