FG Scraps Three Agencies

The Federal Government has said it has scrapped the Department of Petroleum Resources, the Petroleum Products Pricing Regulatory Agency and the Petroleum Equalisation Fund.

The information was made public by the Minister of State for Petroleum Resources, Timipre Sylva, on Monday, while speaking on the sidelines of the inauguration of the boards of the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Nigerian Upstream Regulatory Commission in Abuja.

The minister added that the chief executives of the various agencies had been relieved of their appointments. However, those working in the agencies would be protected, he said.

He clarified that with the passage of the Petroleum Industry Act, the NPRA and NURC had taken over the functions of the DPR, PPPRA and PEF.

He said following the inauguration of the board of NURC, “It is now a matter of law” on what happens to DPR.

According to him, “The law states that all the assets and even the staff of the DPR are to be invested on the commission and also in authority. So that means the DPR doesn’t exist anymore.

“And, of course, the law specifically repeals the DPR Act, the Petroleum Inspectorate Act, the Petroleum Equalisation Fund Act and the PPPRA Act. The law specifically repeals them. It is very clear that those agencies do not exist anymore.”

Sylva stated further that, “The law also provides for the staff and the jobs in those agencies to be protected.

“But I’m sure that that doesn’t cover, unfortunately, the chief executives, who were on political appointments.”

He pointed that the procedure of aligning workers of the defunct agencies has begun.

“The authority has its staff coming from the defunct PEF, PPPRA and DPR. The commission has staff coming over from DPR and the process is going on for the next few weeks.”

The inauguration of the boards on Monday has marked the beginning of the successor agencies, Sylva stated.

He said, “The PIA provides for the upstream regulatory commission and the establishment of the midstream and downstream authority.

“So far, the chief executives of these agencies have not been in place, but of course, Mr President, in his wisdom, made the appointment a few weeks ago, and they went through a rigorous process of confirmation at the National Assembly.

“The agencies have now taken off because they now have clear leadership and today’s event marks that beginning for the new agencies.”