PMB’s Men Plot Capture Of Petroleum Sector With Controversial Appointments

There are simmering considerations in Nigeria’s petroleum sector and the Nationwide Meeting over the appointments to the 2 regulatory businesses established by the Petroleum Business Act, insiders have advised Pressinformant, with fears that highly effective people are exploiting entry to President Muhammadu Buhari to seize the nation’s extra essential upstream sector.

President Muhammadu Buhari on September 16 forwarded two letters to the Senate President, Ahmad Lawan, in search of the affirmation of nominees to the boards of Upstream Regulatory Fee and Nigerian Midstream and Downstream Regulatory Authority.

However two lawmakers individually advised Pressinformant that there are considerations that the competencies and backgrounds of the nominee chief executives are unfitting for his or her respective businesses.

Sarki Auwalu, at the moment the Director of Division of Petroleum Assets, with a long time of upstream expertise, is nominated because the chief govt of the midstream and downstream fee, and Gbenga Komolafe, Group Common Supervisor, Crude Oil Advertising Division of the NNPC, because the chief govt of the upstream fee.

Mr Komolafe had beforehand held senior managerial positions at Pipelines and Petroleum Advertising Firm (PPMC), Petroleum Equalisation Fund (PEF), and Petroleum Merchandise Pricing Regulatory Company (PPPRA), the businesses merged with the downstream part of the previous DPR to kind the brand new midstream and downstream authority.

Along with his former function on the NNPC’s crude advertising, Mr Komolafe, insiders stated, is extra appropriate for the midstream and downstream authority. As PPRA’s operations normal supervisor, he was credited for having efficiently coordinated a seamless provide of petroleum merchandise nationwide with multiplier sectorial results within the Nigerian financial system.

Mr Auwalu, then again, is an upstream specialist, and in that space, as DPR director, established acreage administration technique and supreme helpful homeowners’ register for petroleum belongings. The company below him additionally launched the Nationwide Improved Oil Restoration Centre and added 3.6 trillion cubic toes of fuel in reserve; recovered excellent royalties of over $800 million owed by unbiased producing firms; and applied the deepwater and inland basin act and generated further $280 million for the federal government.

But, Mr Auwalu and Mr Komolafe have been nominated for positions that don’t match their respective backgrounds and competencies, our sources stated.

“The president desires a spherical peg in a spherical gap,” a supply acquainted with the event stated. “However he was manipulated and you’ll critically assessment the 2 letters.”

Within the two letters, seen by Pressinformant, “Fee” was used within the closing prayers, whereas the PIA in sections 4(1) and 29(1) says that the upstream company shall be generally known as “the fee” and the midstream and downstream company as “the authority.”

“They maybe knew the restrictions of the president and so they knew seeing ‘fee’ within the letter bearing Auwalu’s identify would make him assume it was the upstream physique,” one supply stated.

Behind the shenanigans, our sources stated, are linked people led by Sabiu ‘Tunde’ Yusuf, thought to be one of many closest aides of Mr Buhari. One other particular person talked about is Abubakar Funtua, son of late Isa Funtua, an in depth ally of the president. They’re believed to be cooperating with a senior petroleum official and a businessman.

They’re stated to be bent on controlling the upstream sector, which covers the administration of petroleum reserves and installations, and exploration, manufacturing, and growth actions inside onshore, frontier, shallow and deepwater offshore acreages in addition to all of the licences and business laws for the upstream functions.

Nevertheless, the Sabiu Yusuf-led group is alleged to be “uncomfortable” with Mr Auwalu, who is alleged to have exhibited an “unyielding” angle in dealing with regulatory issues.

“An instance is the Addax (oilfield) licence difficulty wherein DPR was overruled after having earlier revoked their licence for not assembly agreed targets,” an insider stated.

Pressinformant reported how the NNPC launched a blistering deal with on its sister company, DPR, with a robust attraction to Mr Buhari to reverse DPR’s revocation of the Addax’ OMLs and reject a reallocation to a different firm.

Femi Adesina, a spokesperson for President Buhari, didn’t reply calls positioned to hunt remark for this report.

In the meantime, an official near the Minister of State for Petroleum Assets, Timipre Sylva, stated the minister was miffed by the event as he was not carried alongside within the course of resulting in the nominations.

NNPC spokesperson, Garbadeen Mohammed, didn’t reply calls in search of his remark for this story.

A member of the Senate upstream committee, Phillip Aduda, stated his committee would contemplate the {qualifications} of the nominees when they seem for affirmation listening to to find out an final result.