Petroleum Industry Act loopholes: 36 states set up six-member panel, plan amendments

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The 36 states of the federation have set up a six-man committee on the Petroleum Industry Act with a mandate to study and draw up amendments to the law.

The Chairman of Forum of Commissioners of Finance and Benue State Commissioner for Finance, David Olofu, who disclosed this in an interview with one of our correspondents on Monday, stated that the forum would submit proposed amendments to the Act to the steering committee on the PIA set up by the President, Major General Muhammadu Buhari .

The NGF Chairman and Ekiti State Governor, Dr Kayode Fayemi, had in an interview last Thursday expressed concern over 30 per cent allocation for frontier exploration and the three per cent for the host communities in the PIA. Olofu, who stated that the committee members were picked from every geopolitical zone of the country, disclosed that the panel would look into the grey areas in the Act.

Olofu stated, “The law is to regulate the system. I like to say that the law is not perfect, but it is a good starting point.

 

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