The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has unveiled four new regulations to address environmental and safety concerns in the midstream and downstream petroleum sector.
This brings to ten the total number of regulations introduced by the downstream industry regulatory authority under the Petroleum Industry Act (PIA) 2021.
The latest regulations include the Midstream and Downstream Petroleum Environmental Regulation 2023 to ensure environmental standards and practices were upheld across midstream and downstream petroleum industry operations. and the Midstream and Downstream Petroleum Safety Regulation 2023, to prioritize safety measures and procedures in the midstream and downstream sectors.
The others are the Midstream and Downstream Decommissioning and Abandonment Regulation 2023, which outlines the requirements and procedures for the decommissioning and abandonment of petroleum facilities in the midstream and downstream sector, and the Midstream and Downstream Environmental Remediation Fund Regulation 2023, which sets out the establishment and financial contribution of the Fund for Midstream and Downstream Operations.
Apart from the Fund Regulation, which aimed at helping provide resources for the clean-up, rehabilitation, or management of the negative environmental impact from petroleum operations nationwide, the new regulations would enhance value, create an enabling environment, and deepen activities in the midstream and downstream sector for the benefit of Nigerians.
In March this year, the Authority rolled out six gazetted regulations for the sector. They included the Midstream and Downstream Petroleum Operations; Petroleum Measurement; Assignment or Transfer of License and Permits; Natural Gas Pipeline Tariffs; Gas Pricing, Domestic Demand and Delivery, and Petroleum (Transportation and Shipment).
At the launch of the new regulations, the Authority Chief Executive, Farouk Ahmed, said they were priority legislative instruments under the PIA to govern the sector business and set the rules for all petroleum operations and activities in the country
Ahmed said the PIA established the framework for the development of the relevant regulations to support sustainable growth and investment across the oil and gas value chain in the country.
He said the regulations are among the 20 to be developed by the NMDPRA in consultation with relevant stakeholders, to enable businesses through regulatory clarity, certainty, fairness, transparency, and best industry standards; provide procedures for the grant of licenses, permits, authorizations and payment of fees, and specify sanctions and penalties for non-compliance.
Market Operators were advised to adhere strictly to these regulations in their operations.
