According to a media statement released on Sunday, January 21, 2018, by the Nigeria Extractive Industries Transparency Initiative (NEITI) stated that due to the absence of the Petroleum Industry Governance Bill (PIGB) in 2013, Nigeria lost N1.74 trillion.
The statement was signed by the Director of Communications & Advocacy, Dr. Orji Ogbonnaya Orji while he commended the National Assembly for the passing of PIGB. He said the NEITI had also lost over $10.4 billion (N378.7 billion) through under-remittances, inefficiencies, and theft due to the absence of a clear governance framework for the oil and gas industry.
The transparency agency expressed optimism that with the new governance law for the industry, these huge revenue losses arising from process lapses and outright stealing will be strictly checked if not eliminated.
According to NEITI, the decision of the Senate and the House of Representatives to consider the Bill as priority resulting in its eventual passage is bold, courageous, and progressive.
"NEITI’s interest is in view of the urgency and strategic importance of a new law to replace the existing archaic legislation that has aided huge revenue losses, impeded transparency, accountability and investment opportunities in the nation’s oil and gas industry."
"NEITI recalls that as an anti-corruption agency in the sector, it boldly alerted the nation last year through a special Policy Brief, ‘The urgency of a new petroleum sector law,’ that the current stagnation of investment opportunities in the Petroleum Industry was as a result of the absence of a new law for the sector."
It was also added that, "The hedging by investors stems from the expectation that the old rules would no longer apply, but not knowing when the new ones would materialize."
The NEITI noted that the implementation of the global Extractive Industries Transparency Initiative, which Nigeria is a key signature, had over the years been frustrated by the absence of a dynamic law that suits modern business modules and trends in the ever-evolving oil and gas industry.