President Bola Tinubu has endorsed three new directives within the oil and gas sector aimed at implementing fiscal incentives for associated projects, streamlining contracting processes, and enhancing efficiency in local content requirements. The decision came after thorough deliberations, analysis, and comparisons with international standards, as stated in a release signed by the President’s Special Adviser on Media and Publicity, Ajuri Ngelale, on Wednesday.
Titled ‘President Tinubu signs executive orders on oil and gas reforms,’ the statement outlines Tinubu’s approval of measures such as the introduction of fiscal incentives for non-associated gas, midstream, and deepwater developments. Additionally, it includes plans to streamline contracting processes to shorten the cycle to six months and ensure the application of local content requirements does not impede investments or cost competitiveness.
These directives align with Tinubu’s commitment to eliminating investment barriers in Nigeria, leveraging the country’s resources, and diversifying the economy for the populace’s welfare, according to the Presidency.
Moreover, they are anticipated to enhance the investment climate and position Nigeria as the prime investment hub in Africa’s oil and gas sector, as highlighted in the statement. Ngelale emphasized that these incentives were crafted in partnership with various federal ministries and regulatory bodies, underscoring collaboration among stakeholders.
The specifics of these Policy Directives will be officially published and disseminated by the Federal Ministry of Information and National Orientation. Furthermore, the Special Adviser to the President on Energy, Mrs. Olu Verhijen, has been tasked with coordinating the involved parties to ensure the directives’ timely implementation.
