President Muhammadu Buhari has asked the Senate to amend the administrative structure of the Petroleum Industry Act (PIA) 2021.
In a letter read during plenary by the President of the Senate, Ahmed Lawan, President Buhari asked the lawmakers to increase the number of non-executive members on the Board of the Upstream Regulatory Commission and Petroleum Regulatory Authority from two to six.
The president explained that the amendment will allow for adequate representation of the six geopolitical zones of the country.
The letter also asked the Upper Chamber of the National Assembly to expunge provisions in the PIA that include the Ministers of Petroleum and Finance in the administrative structure of the Act.
According to the letter, “The two ministries already have constitutional responsibilities of either supervision or inter-governmental relations.
“They can continue to perform such roles without being on the board. It is also important to note that administratively the representatives of the ministries in the board will be Directors – being the same rank with the Directors in the institution.”
While insisting that this may complicate the decision-making process, especially on staff-related matters, the president added that the proposed amendment will increase the membership of the board from nine (9) to 13 member.
If approved, the amendment will allow for 44% expansion of the board sits.
President Buhari also disclosed that “this composition would strengthen the institutions and guarantee national spread and also achieve the expected policy contributions.”
The president also sought an amendment of the appointment of directors for the planned institution.
The Act has made provision for seven departmental heads to be known as executive directors.
Their appointment will also be subject to Senate confirmation. This category of officers are civil servants, not political appointees.
President Buhari further asked the Senate to exempt serving public officers from the established confirmation process for political appointments.
This he explained will ensure effective management of the regulatory Institutions through the uniform implementation of public service rules for employees of the Authority.
“In the future, these positions will obviously be filled by the workers in the Upstream Regulatory Commission and Petroleum Regulatory Authority,” he added.
