The Nigerian Upstream Petroleum Regulatory Commission, (NUPRC), yesterday, began the process of enacting new regulations on how crude oil produced in the country is to be measured, as part of an effort to check oil theft.
Also in the making are rules governing crude oil supply to the domestic market, and regulations on advanced cargo declaration that would allow the Government to track crude oil export.
Recall that the Nigeria Extractive Industries Transparency Initiative, (NEITI), has, in its several oil and gas industry audit reports, raised the alarm that Nigeria does not know exactly the volume of crude oil produced in the country, as there were no meters at the oil well heads.
Speaking at the 3rd phase stakeholders consultation forum on draft regulations, the Commission’s Chief Executive, Engr. Gbenga Komolafe noted that for several years there have been issues around standard measurement for crude oil produced in the country, adding that the new regulation on crude oil measurement will state clearly how this is carried out.
Engr. Komolafe, who was represented by Executive Commissioner, Development and Production, Dr. Habib Nuhu disclosed that in the third phase, five new regulations are planned: Upstream Petroleum Measurement Regulations; Advance Cargo Declaration Regulations; Significant Discovery Regulations; Gas Flaring, Venting and Methane Emissions (Prevention of waste and pollution) Regulations; and Domestic Crude Oil Supply Obligation Regulations.
The CCE disclosed that so far, 13 new regulations have been established under the Petroleum Industry Act, 2021, with six already gazetted.
