PIA: Buhari wants all zones as non executives

Muhammadu Buhari

President Muhammadu Buhari has forwarded to the Senate, requests seeking for administrative structure amendments of the Petroleum Industry Act, PIA.

If the amendment is approved, it would increase the number of non-executive members of the PIA board from two to six so that each geo-political zone.

Besides, the proposed amendment will increase the membership of the board from nine to 13, that is, representing 44 per cent expansion on sides of executive and non executive boards

In the amendments seeking letter read in plenary by the Senate President, Dr. Ahmad Lawan, Buhari sought the removal of the Ministers of Petroleum and Finance from the boards of the Nigerian Midstream and Downstream Petroleum Regulatory Authority and that of the Upstream Regulatory Commission, respectively.

The President’s letter reads: “I wish to forward to the Senate the attached administrative structure amendments on the PIA for your kind consideration and approval.

“Having carefully reviewed the administrative structure of both the commission and authority, I will like to propose the following amendments to the PIA.

“(a) Appointment of non-executive board members. The PIA provided for the appointment of two non-executive members for the board of the two institutions. I am of the view that this membership initiates limitation and does not address the principle of balanced geo-political representation of the country.

“I therefore pray for the intervention of the ninth assembly to correct this oversight in the interest of national unity. Needless to add that this amendment will provide the sense of participation and inclusion for almost every section of the country in the decision making of strategic institutions such as the oil industry.

“If this amendment is approved, it will now increase the number of non-executive members from two to six giving room for one person from each geo-political zone.

“(b) Removal of the ministers of petroleum and finance from the board of the two institutions.

“The proposed amendment will increase the membership of the board from nine to 13, that is, representing 44 per cent expansion on both sides. This competition will strengthen the institutions and also achieve the expected policy contributions.

“The two ministries already have constitutional responsibilities of either supervision or intergovernmental relations that will continue to perform such roles without being in the board. It is also important to note that administratively, the representatives of the ministries in the board will be directors in the same rank in the institutions

“(c) Appointment of executive directors. The Act has made provisions for seven departmental heads in the authority to be known as executive directors. The appointment will also be subject to Senate’s confirmation.

“The Senate is invited to note the need to exempt serving public officers from the established confirmation process for political appointments.

“This will ensure effective management of the revenue generating institutions through uniform implementation of public service roles for employees in the authority.

“The proposed amendments to the PIA which is aimed at laying safe administrative structures governed by simple operational laws that will ensure smooth take-off and consequent growth of the two institutions and also in line with this administration’s commitment to carry out petroleum reforms.”