Saturday, June 20, 2026 • Umuahia, Abia State

Abia Watch

Nigeria

Senate Moves to Resolve Regulatory Dispute Between Petroleum Sector Agencies

abiawatch

By abiawatch

June 20, 2026 • 2 mins read

3 views
0 shares
Senate Moves to Resolve Regulatory Dispute Between Petroleum Sector Agencies

Senate Moves to Resolve Regulatory Dispute Between Petroleum Sector Agencies

The Senate Committee on Petroleum Sector has expressed its commitment to resolving the ongoing jurisdictional dispute between the Nigeria Mainstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Oil and Gas Free Zone Authority (OGFZA).

The Chairman of the Senate Committee on Downstream Petroleum Sector, Senator Abdulrahman Sumaila, made the commitment during the committee’s five-day retreat, which ended in Yenagoa, Bayelsa State, on Friday.

Sumaila said the committee would develop practical and workable recommendations from the retreat aimed at promoting regulatory harmony, boosting investors’ confidence, improving energy security, and supporting sustainable economic growth.

He explained that the retreat was organised to create a platform for constructive discussions among key stakeholders on issues arising from overlapping statutory responsibilities between the two agencies.

According to him, the committee’s objectives include encouraging dialogue among stakeholders, developing a coordination framework that allows smooth regulation while respecting the legal mandates of each institution, and determining whether legislative amendments or clarifications are necessary.

He added that the committee would identify areas of ambiguity and ensure that its recommendations align with national security priorities, consumer protection, market stability, and economic development.

Sumaila assured participants that all presentations, submissions, and legal arguments made during the retreat would receive thorough consideration before the committee reaches its conclusions.

He stated that the committee would provide balanced, evidence-based, and objective recommendations aimed at addressing both immediate and long-term challenges arising from the regulatory dispute.

“Where permanent legislation, policy or constitutional reforms are required to prevent conflicts among the agencies, the committee will not hesitate to recommend such measures in the overall interest of the nation,” he said.

The lawmaker said the ultimate goal was to establish a regulatory environment built on cooperation, accountability, efficiency, and legal certainty, while strengthening Nigeria’s position as a leading energy hub in Africa.

Meanwhile, the Managing Director of the Oil and Gas Free Zone Authority, Alhaji Bamanga Jada, urged stakeholders in the petroleum sector to avoid creating unnecessary jurisdictional conflicts among government agencies.

Jada said regulatory institutions should work together to create a business-friendly environment that encourages cooperation and attracts investment.

He stressed the need for all agencies to operate within the principles of the rule of law while working collectively to maintain investors’ confidence in Nigeria’s petroleum industry.

The OGFZA managing director noted that if Nigeria intends to become Africa’s leading energy and industrial hub, investors operating in free zones, such as Dangote Industries Free Zone, must be allowed to benefit from the one-stop-shop regulatory system practised in successful free zones globally.

He added that all government institutions must continue to support the broader objectives of the free zone scheme through coordinated regulation and effective collaboration.