President Bola Ahmed Tinubu has been called upon to step down from his role as Minister of Petroleum Resources and implement comprehensive reforms in Nigeria’s oil and gas sector. This appeal comes from Dr. Olisa Agbakoba, Senior Partner at Olisa Agbakoba Legal and Former President of the Nigerian Bar Association.
During a media chat in Lagos on Wednesday, Agbakoba emphasized the need for a paradigm shift in the sector’s management.
He stated, “This move aims to give the oil and gas sector the attention it deserves, driving Nigeria’s economic progress and development.”
The Senior Advocate of Nigeria (SAN) highlighted the constitutional basis for government control over oil and gas resources.
He said, “From the cornerstone of the constitution, oil and gas is something within the control of the government. To emphasise the nature of control, Section 44, sub-section 3 of the constitution says all minerals, mineral resources, oil and natural gas in and upon any land in Nigeria, exclusive, defines the scope, shall be managed by the government of the federation.”
Agbakoba criticized the current joint-venture operations between the government and International Oil Companies (IOCs), arguing that they contradict constitutional provisions.
He said, “What the federal government is doing in the oil and gas field is unconstitutional. And I’m going to challenge it in court.”
The legal luminary called for a shift from the ‘Contract Oil’ approach to a ‘Development Oil’ approach, similar to the model used in Saudi Arabia.
He noted, “In Saudi Arabia, the role of the IOCs is strictly limited. You provide a service, you don’t own. There is no ownership.
“If a law is made, according to the constitutional provisions I’ve read that this is our natural inheritance, why are we not mentioned?”
The former NBA president questioned the benefits of the current system to Nigerians, saying, “Is it not time to dismantle the existing oil and gas legal framework? Is it not the time? Has it benefited us? If it has, how?”
“I’m not here suggesting that the IOCs should disappear. No, they have a value. But the point is that the value must not overwhelm our interests,” he added
