The Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, is taking a strong stand against a new executive order signed by President Bola Tinubu mandating the direct remittance of oil and gas revenues into the Federation Account.
The union is describing the directive – which requires royalty oil, tax oil, profit oil and gas revenues from production sharing contracts to be paid directly into the Federation Account – as a dangerous precedent that undermines the Petroleum Industry Act, PIA and threatens investor confidence in Nigeria’s energy sector.
PENGASSAN is also insisting that the move if not properly managed, could erode established governance structures within the industry and create uncertainty for operators and international partners.
At its National Executive council meeting in Abuja, on Tuesday, PENGASSAN President, Festus Osifo said in a move to avert industrial unrest in the sector, government has initiated talks, which started on Sunday and will continue on Wednesday, February 25.
On the lingering issues with Dangote Petrochemical Refinery, Osifo said the matter is still being deliberated upon.
On insecurity, the union said it does not matter what collaborations the Nigerian government enters into with foreign partners, all that matters is a peace and prosperous Nigeria.
(Editor: Terverr Tyav)
