Editorial
Pass PIB, Now
On September 30, the Petroleum Industry Bill (PIB) scaled first reading in the Ninth Senate.
The bill is expected to return to the floor of the Senate next Tuesday for second reading and formal debate. And the first reading comes barely 48 hours after it was re-transmitted to the National Assembly by President Muhammadu Buhari in a letter read by the Senate President, at the resumption of plenary on September 29.
But this is not the first time that the PIB has gone through extensive legislative interrogation in the National Assembly.
Indeed, almost 20 years after it was first introduced on the floor of the National Assembly, the PIB has passed through several alterations and debates without success, leading to it being split into different pieces of legislation, and passage of the Petroleum Industry Governance Bill (PIGB), for the first time in May, 2017, and its concurrence by the House of Representatives, later that year.
Unfortunately, Buhari withheld assent on the PIGB in July, 2018. By a presidential communication of July 29, 2018, addressed to the Senate and House of Representatives, the President referred to constitutional and legal reasons why he declined assent.
The Tide recalls that the PIGB was articulated to establish a framework for the creation of commercially-oriented and profit-driven petroleum entities that ensure value addition and internalisation of the petroleum industry while promoting transparency and accountability in the administration of petroleum resources as well as fostering conducive business environment for industry operations.
The PIGB was the first tranche of the PIB, which includes the Upstream Petroleum Licence and Lease Administration, Downstream Oil and Gas Administration, and Petroleum Industry Fiscals, and Petroleum Revenue Management, including Petroleum Host Community Fund.
However, on November 4, 2019, Buhari signed the amended Deep Offshore Act 2019, being part of the PIB that incorporates the Production Sharing Contracts, designed to ensure Nigeria gets fair and equitable share of income from natural resources for the first time since 2003.
With the reintroduction of the PIB, which comprises the Petroleum Industry Fiscal Bill (PIFB), Petroleum Industry Administration Bill (PIAB), Petroleum Host and Impacted Communities Development Bill (PHICDB), and renewed optimism in the National Assembly on its passage, The Tide feels particularly glad that the push to perfect the deregulation of all streams in the oil and gas sector is gathering momentum.
This feeling is even more satisfying when we reckon that the new bill has, in addition to the upstream and downstream portfolios in the earlier one, the recognition that the midstream (pipeline) sector holds the key to accelerating the diversification and competitiveness of the industry for increased benefits for the nation’s economy. We charge the NASS to pass the urgent legislation simultaneously.
While The Tide agrees that the oil and gas companies must play pivotal roles in the development of host communities where they make fortunes for shareholders, it is surprising that the Buhari administration has surreptitiously reduced the statutory contributions of the oil and gas firms from the initial 10 per cent in the bill presented to the Eighth NASS to 2.5 per cent in the current bill, thereby denying the region huge chunk of money that would have helped transform communities and empower millions of people.
Even as we note the statutory three per cent contribution from the annual budgets of oil and gas companies to the Niger Delta Development Commission (NDDC) and the 13 per cent derivation paid to the nine oil-producing states from the federation accounts, we insist that the cumulative allocation of about 26 per cent from oil revenue for the development of the difficult region is not too much.
We, therefore, urge NASS members from the region to lobby for increase in the contributable funds to 10 per cent to promote peace, development and progress in the host communities.
Interestingly, the quick passage of the PIB will not only accelerate development through the infusion of more funds into host communities, boosting youth employment and peace in the region, but will serve as a comprehensive instrument for the diversification of the oil and gas sector and the country’s economy.
Indeed, the PIB, when passed and assented to, will bring about more inclusive development away from crude oil to other product lines and by-products, just as it ensures robust engagement between international oil companies (IOCs) and the government in the area of investment and modifications in the Joint Venture Partnerships (JVPs)/cash call obligations.
Besides, the PIB will engender activation and extension of indigenous participation and local content development, just and fair engagement of the oil producing communities and transparency/accountability in an industry that would be more efficient and effective with clear and separate roles for governance and regulatory institutions in the petroleum industry.
It is not in doubt that the delay in the passage of the PIB has been holding down lots of Final Investment Decisions (FIDs) and critical investments in the oil and gas sector. The Tide, therefore, urges the NASS members to fast-track the passage of the PIB to send the signal to the world that Nigeria is serious about an oil sector reform that provides a win-win landscape for all players in the industry. Time is of the essence. There is no better time than now, especially as oil is being found everywhere around the globe.
Of course, with oil production capacity declining by between 10 per cent and 15 per cent annually, and Nigeria struggling to maintain two million barrels per day production quota, it is imperative to speed up the passage of the PIB so that investors can begin to splash the desperately needed $10 billion capital expenditure (CAPEX) annually in the country. This will also help attract the required $20 billion to $30 billion CAPEX yearly to grow Nigeria’s target daily production of three million barrels per day, going forward.
The timely conclusion of this reform process would guarantee legislative certainty and clarity, which the industry needs now more than ever before.
No nation yearning for development will allow various unfavourable fiscal and regulatory frameworks to impede the take-off of an estimated $100 billion worth of projects awaiting FDIs in Nigeria’s oil and gas sector.
We insist that the opportunity cost of this unwarranted delay in terms of industry growth, infrastructure and value addition to the economy and job creation is too high, for the country to continue to toy with the passage of the bill.
We believe that this time around, the Ninth National Assembly will break the jinx and holistically pass the PIB. The lawmakers must know that struggling to pass a bill for 20 years is a shame and a betrayal of the trust their constituents have bestowed on them as representatives.
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INEC’s Threat Alert Deserves Urgent Attention
The Independent National Electoral Commission’s (INEC) disclosure of an alleged plot to target its ad hoc personnel ahead of the 2027 general elections demand urgent national attention. The reported arrest of suspects, with intelligence support from the Department of State Services (DSS), is encouraging, but must not breed complacency. Any attack on electoral workers threatens not only human lives but also Nigerians’ constitutional right to choose their leaders through credible elections. The alleged conspiracy must be thoroughly investigated, its sponsors identified and all those found culpable prosecuted.
Particularly troubling is the reported targeting of National Youth Service Corps (NYSC) members, who play a vital role in Nigeria’s electoral process. Many serve far from home and undertake sensitive assignments at polling units and other electoral locations. As civilians, they should not be exposed to intimidation, abduction or violence without adequate protection. If election workers are vulnerable, the safety of other officials, observers and voters cannot be guaranteed.
Nigeria’s electoral history offers painful lessons. Human Rights Watch reported in Nigeria’s Post-Election Violence, published in May 2011, that more than 800 people died in the violence following the 2011 general elections. NYSC members serving as electoral officials were among the victims. This tragedy underscores the deadly consequences of political tension, incitement and disputed outcomes. Nigeria must act on the latest warning before another preventable disaster occurs.
INEC deserves recognition for uncovering the alleged plot, while the DSS and other security agencies merit commendation for their reported assistance. However, arrests are only the beginning. Investigators must establish the suspects’ identities, motives, networks and intended targets, ensuring that evidence is admissible in court. The process must remain impartial and free from political interference. Credible public updates are also necessary, provided they do not compromise investigations or operational security.
The authorities must adopt a comprehensive, intelligence-led security strategy for 2027. INEC’s proposed security conference should produce practical measures developed in collaboration with the Inter-Agency Consultative Committee on Election Security (ICCES), the police, the DSS and other relevant agencies. Threat assessments should guide personnel deployment, secure transportation, emergency communications, evacuation procedures and rapid response. Protection must extend beyond polling day to the distribution of sensitive materials, collation centres and the safe return of ad hoc personnel.
Those who provide intelligence must also be protected from retaliation. Confidential reporting channels and appropriate safeguards should be established for informants and others assisting investigations. Equally, security deployments must not intimidate voters or facilitate political repression. Personnel should act professionally, impartially and proportionately, within the law. Clear mechanisms for reporting misconduct and investigating abuses are essential to maintaining public confidence.
The threat also highlights broader concerns about trust in the electoral system. The European Union Election Observation Mission’s June 2023 final report identified shortcomings in transparency and operational implementation during Nigeria’s 2023 general elections, alongside concerns about the legal framework and electoral dispute resolution. Credible elections require more than security; they depend on transparent procedures, accountable officials and consistent enforcement of electoral laws. INEC must demonstrate measurable progress in addressing previously identified weaknesses.
Voter apathy presents another challenge. INEC’s published figures indicate that approximately 25 million people voted in the 2023 presidential election, out of about 93.5 million registered voters, a turnout of roughly 26.7 per cent. Although insecurity is not the sole cause of low participation, threats against electoral personnel can heighten public anxiety and discourage voters from exercising their franchise. INEC should strengthen civic education, improve polling accessibility and communicate procedures clearly. Political parties, civil society and the media must promote peaceful participation and reject electoral intimidation.
Misinformation and manipulated digital content pose additional risks. False reports, fabricated announcements and deepfake videos can inflame tensions, impersonate officials and mislead voters. INEC should establish a well-resourced, rapid-response communication system supported by verified digital channels and timely public statements. Collaboration with credible media organisations and fact-checkers would help counter falsehoods without suppressing legitimate criticism. Clear, consistent communication is indispensable, as administrative confusion and delayed explanations often allow rumours to spread.
Electoral integrity must also begin within INEC itself. The chairman’s warning against partisanship, negligence, extortion and ethical misconduct deserves serious attention. Security measures cannot compensate for officials who abuse their positions or disregard established procedures. INEC should strengthen staff training, ensure transparent recruitment and deployment, provide secure channels for reporting misconduct and enforce disciplinary rules consistently. Allegations of bribery and political interference must be investigated regardless of rank, while ad hoc personnel should receive adequate briefing, support and prompt payment.
The legal framework also requires clarity and consistent enforcement. INEC should explain the precise provisions and applicability of Section 26 of the Electoral Act 2026, including the obligations of electoral officials and security personnel, and publish authoritative guidance on neutrality and professional conduct. Complaints by opposition parties that they have been prevented from campaigning in certain states must likewise be investigated impartially. Any established violations should attract appropriate corrective action. Electoral fairness requires not only impartial polling officials but also lawful campaigning, access to competing viewpoints and freedom from intimidation.
The alleged plot against INEC’s ad hoc personnel is a warning against complacency ahead of the 2027 general election. Governments, security agencies, INEC, political parties and civil society must work together to prevent violence, punish misconduct and protect citizens’ participation. The commission should communicate its security priorities, maintain accessible threat-reporting channels and provide periodic updates on preparedness. Nigeria’s democracy cannot be safeguarded by assurances alone; it requires demonstrable preparation, impartial law enforcement and an unwavering commitment to free, fair and credible elections.
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