Petroleum sector offers short term solution to Nigeria’s economic challenges

Uzezi Samuel

Solutions to Nigeria’s problems in the short-term lies with the petroleum sector says Lokpobiri, as Ekpo maintains that the Retreat aims at repositioning hydrocarbon sector for optimal performance.

The Minister of State Petroleum Resources (Oil), Sen. Heineken Lokpobiri, has opined that the Petroleum Sector in Nigeria had the solutions to the country’s problems in the short-term given that 90% of Nigeria’s foreign exchange earnings are from the petroleum sector.

According to a statement by Deputy Director (Press and Public Relations), Mrs Oluwakemi Ogunmakinwa, the minister said the retreat was convened with a view to having discussions and conversations on how to achieve the targets and mandates set for the Ministry of Petroleum Resources by President Bola Ahmed Tinubu at the Ministerial retreat held in November, 2023.

“The first target is to see how we can ramp up production. If we ramp up production, we will be able to meet our targets in terms of increase in revenue and in our obligations in the midstream and downstream.

“As part of our efforts to see how we can ramp up production, we are working closely with the Nigerian National Petroleum Company Ltd. (NNPCL), the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and with other Agencies. We are tackling the issue of insecurity, pipeline vandalization to see how we can attract investment on a sustainable basis, not just at the upstream but also in the midstream and downstream,” he noted.

While charging participants to discuss ways to ensure the sustainability of the competiveness of Nigeria’s environment, Lokpobiri noted that, “It is also our obligation to see how we can create the best environment for investments to come in and to ensure that our fiscal regulatory framework is globally competitive”

In his address at the retreat, the Minister of State Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo stated that the retreat was aimed at repositioning the hydrocarbon sector for optimal performance, in line with President Bola Ahmed Tinubu’s Renewed Hope Agenda to unlock our abundant Gas Resources for economic development.

Ekpo emphasized that, Nigeria, endowed with over 208Tcf in proven gas reserves, should not be grappling with energy poverty.

“It is imperative for us collectively to confront these challenges head-on. In alignment with the overarching goal of fostering high performance and accountability within the government, President Bola Ahmed Tinubu has issued the Presidential Priorities and Ministerial Deliverables2023 – 2027. This initiative seeks to establish a robust performance-tracking mechanism for the Minister of Petroleum Resources and the pertinent Agencies under his purview”, he added.

Ekpo further stated that the urge to further promote ease of doing business and to stimulate the discovery and development of our abundant hydrocarbon resource was the driving force for President Bola Ahmed Tinubu’s issuance of an Executive Order for the Ministry of Petroleum Resources.

Earlier in his address, Permanent Secretary in the ministry, Amb. Nicholas Agbo Ella, stressed that “Our mission, as outlined in our various mandates, the administration’s goals, and the Petroleum Industry Act of 2021, emphasizes the need for a paradigm shift toward sustainable growth and impactful change”

He said the commitment of the ministry was not just in conducting business as usual but to fostering lasting transformation within the sector.