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Private interests stalled PIB – Lee Maeba

By on August 26, 2011

Overbearing  per sonal gain over national interest, prevented the passage of the Petroleum Industry Bill (PIB) by the previous  National Assembly, a former Senator and key player in the PIB, Lee Maeba, has said.

Meaba, who was the Chairman, Senate Committee on Petroleum Resources, Upstream, made the disclosure yesterday at the annual conference of the Nigerian Association of Energy Correspondent (NAEC),in Lagos.

He said the private interests wanted the petroleum industry to continue to be regulated, as against  the provisions of the PIB in favour of deregulate. One of the desires of the private interests, he said, was the insistence on allowing certain institutions, like the Petroleum Equalisation Fund (PEF) and the Product Pricing Regulatory Agency (PPPRA) to continue to exist despite the provisions in the PIB for their scrapping, so as to pave way for the deregulation of the sector.

He said: “The kind of happenings at the last days of deliberations on the PIB is what should not have happened in the national parliament. The situation where some people insisted on certain issues like allowing PEF and PPPRA to continue to exist despite the provision for their proscription is definitely not good at all.

“By allowing such institutions to continue to be functional, is like  encouraging the continued regulation of the petroleum industry. And as long as the industry continues to be regulated, no investor, be it local or foreign would feel obliged to invest in the industry.

“For instance, if you construct a refinery, get the product and the government tells you how much you are to sell the product, this would not be of much business interest to the country.”

Meaba hinted that the implication is that all major investments would be diverted from the country and consequently the oil and gas industry would eventually collapse.

On the way forward, he said,  all political issues that surround the PIB must be resolved if the reconstituted National Assembly must have any headway in the passage of the PIB.

Nation