Atiku Kicks Against Planned Amendment to PIA 2021

By Adedapo Adesanya

Former Vice President and presidential candidate of the Peoples Democratic Party (PDP) in the 2023 general elections, Mr Atiku Abubakar, has raised alarm over ongoing moves to amend the Petroleum Industry Act (PIA) and divest substantial equity in some of Nigeria’s biggest oil joint ventures.

This is as the Office of the Attorney General of the Federation and the Ministry of Finance in a proposed legislation titled The Petroleum Industry (Amendment) Act 2025 have concluded plans to amend the PIA 2021 for the Finance Ministry to take over Petroleum Ministry and NUPRC to replace NNPC as concessionaire, in a bid to “address the escalating fiscal leakage and revenue loss confronting the federation.”

In a statement on Monday, the politician warned that such actions risk undermining national sovereignty and eroding public trust, noting that  while he has always supported liberalisation and the revival of state-owned enterprises, including through privatization, any effort in that direction must be guided by transparency, national interest, and long-term strategic value.

“The Petroleum Industry Act was enacted to bring clarity, accountability, and investor confidence to a sector long plagued by opacity. Any attempt to amend its core provisions must be approached with caution and broad stakeholder engagement,” Mr Atiku cautioned.

Reports had emerged of plans to reduce the Federation’s stakes in joint ventures including Renaissance Africa Energy Company Limited JV, Oando JV, and Seplat Energy JV.

Mr Abubuakar warned that such moves, if designed to favour select insiders or foreign entities, would compromise Nigeria’s control over its most vital resources.

“The reported plans, especially under terms that appear to disproportionately favour select insiders and foreign entities, risk undermining Nigeria’s sovereignty over its most strategic resources,” he said.

He emphasised that poorly managed divestments could destabilise the oil and gas sector and compromise energy security.

“These moves, if not properly managed, could erode public trust, destabilize the sector, and compromise our energy security,” he warned.

He urged the Federal Government to commit to an open process if it proceeds with privatization.

 “Any privatization exercise must be conducted with full transparency, guided by competitive bidding, and subject to rigorous public scrutiny,” the ex-VP said.

According to him, safeguarding the country’s long-term economic stability and ensuring that resource wealth benefits all Nigerians should remain paramount.

“The process must reflect our shared commitment to protecting Nigeria’s economic future and ensuring that the benefits of our natural resources are equitably distributed,” he added.

The former Vice President cautioned against what he described as the lure of “short-term gains at the expense of Nigeria’s national interest and long-term national stability.”