PIB: NNPC to be split into two companies
The Senate on Wednesday scaled into second reading the Petroleum Industrial Bill.
The bill, which was sponsored by Senator Tayo Alasoadura, is titled: “Petroleum Industry Governance Bill.”
The bill, when passed into law, would create efficient and effective institution with clear and separate roles for the petroleum industry and also create a conducive business environment for petroleum industry operation.
The first reading of the bill took place on April 13 this year.
Leading the debate on the bill, Alasoadura, the Chairman of the Senate Committee on Petroleum Resources Downstream, explained that the passage of the bill would unbundle the Nigerian National Petroleum Corporation into two commercial entities limited by shares.
The two companies will be known as the National Petroleum Company and the National Assets Management Company.
Alasoadura added that the passage of the bill will ensure strong governance, transparency and accountability in all institutions.
Seconding the bill, Senator Barnabas Gemade said the bill is timely and would bring modus operandi to petroleum industry.
According to Gemade, this separation will bring a clear picture to ensure corporate best practice.
After the passage of the bill, the President of the Senate, Dr. Abubakar Bukola Saraki, said the next part of the bill would focus on the petroleum producing communities.
The bill was forwarded to Senate Committees on Downstream, Upstream and Gas and expected to submit the report in four weeks.