Nigeria President Muhammadu Buhari has signed the Petroleum Industry Bill into law, following 20 years of deliberation and revision.
The signing comes a month after the Petroleum Industry Bill (PIB) 2021 was voted by both chambers of the National Assembly.
The new legislation is anticipated to drive investment in the sector by providing a framework for almost all aspects of oil and gas activities.
PIB 2021 primarily focuses on boosting international investment and ensuring investor certainty and transparency.
According to the African Energy Chamber (AEC), 16 petroleum laws have been integrated into one comprehensive document.
AEC stated that it will continue to advocate for policies that would encourage the implementation of PIB 2021.
AEC executive chairman NJ Ayuk said: “Nigeria has managed to elevate itself onto the global energy stage through the passing of its PIB.
“The recently signed PIB not only increases the competitiveness of the Nigerian energy sector, but through fiscal incentives, market-driven policies, and unified regulations, the Bill has positioned the country as the premier investment destination for both regional and international investors.”
The bill has been underway since the early 2000s, but concerns on how the potential changes would impact the revenue and foreign exchange have undermined previous efforts to overhaul the industry.