Oritsegbubemi Omatseyin
Lagos — The Nigeria Annual International Conference & Exhibition, NAICE 2024, is underway in Lagos. With the theme “Petroleum Industry Value Chain Optimization: The Inevitability of Midstream and Downstream Development,” the 47th edition of NAICE aims to foster discourse on Oil and Gas matters and promote engagement on contemporary energy issues.
The Chief Executive Officer of the Nigerian Upstream Petroleum Regulatory Commission, NUPRC, Engr. Gbenga Komolafe, represented by the Commission’s Executive Commissioner for Development and Production, Mr. Enorense Amadasu, said the theme of the 2024 NAICE conference aligns with the objectives of the Petroleum Industry Act (PIA) 2021, which aims for industry stability, growth, and sustainability.
According to him, the PIA seeks to transition Nigeria from Oil-centric operations to an Oil and Gas-based industrial economy by developing the Midstream segment as a standalone entity.
He highlighted the role of the NUPRC in the petroleum industry value chain, noting that the upstream segment is the bedrock upon which the Midstream and Downstream sectors are built.
While stressing the need for ensuring energy security and national economic development, he highlighted the importance of optimising the entire value chain to maximise value from Nigeria’s hydrocarbon resources.
On issues surrounding the evolving landscape of the Nigerian Oil and Gas industry, particularly in the context of International Oil Companies divestments, the NUPRC Chief spoke on the Upstream Asset Divestment Framework, which aims to guide the seamless exit of divesting entities while promoting sustainable operations for acquiring parties.
He underscored the opportunities these changes present for indigenous players, who have shown significant growth and keen interest in vertical integration and in-country value addition. He also emphasized the need for a streamlined regulatory framework to enable industry operations across the value chain.
Komolafe also acknowledged NUPRC’s collaboration with the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, and other key stakeholders to enhance domestic energy security. This includes strengthening alignments on the Domestic Crude Supply Obligation, DCSO, and the Domestic Gas Delivery Obligation, DGDO.
He called for concerted efforts towards upstream decarbonisation and the creation of structures to support midstream operations, positioning Nigeria for a decarbonised world. He outlined the efforts of NUPRC to implement a Regulatory Framework for Upstream Decarbonisation and Carbon Monetization, promoting Environmental, Social, and Governance principles.
Engr. Komolafe also announced the establishment of Africa’s Petroleum Regulatory Forum, AfriPERF, which aims to harmonize the continent’s oil and gas regulators, fostering collaboration and best practice dissemination. The initiative, he says, supports national aspirations for energy security and economic development from petroleum resources.
