NIGERIA: Kyari Calls for Clear Fiscal Framework for Gas Sector

  • Kyari seeks a clear fiscal policy for gas development
  • The PIB presents a clear Legislative framework for the sector
  • PIB to resolve fiscal issues in the PSCs

The Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari has called for a clear and fiscal policy framework for the development of the gas sector. He made this known at a public hearing organised by the National Assembly titled, “Inclusion of Gas Terms in Production Sharing Contracts (PSCs)”.

Kyari stated that in order for Nigeria to witness an inflow of investments, the country had to create the right fiscal policy environment for investors in the gas sector. He further noted the need for a clear legislative framework for the gas sector. He also added that the Petroleum Industry Bill presents a clear legislative framework as it takes into account important issues in the gas sector such as the Production Sharing Contract (PSC).

“The PSC simply says the parties can sit down and agree on a framework for monetizing the gas on terms that are mutually acceptable”, he said.

The Speaker of the House of Representatives, Hon. Femi Gbajabiamila responded by saying a Joint Committee had been set up to look into the issues hindering the development of the gas sector.

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