Certain existing agencies in the oil industry would no longer exist once the downstream sector is fully deregulated. Former Bayelsa state governor and Minister of State, Petroleum Timipre Sylva made the disclosure while speaking with newsmen in Abuja.
Honourable Sylva who specifically mentioned the Petroleum Products Pricing Regulatory Agency, ( PPPRA) and the Petroleum Equalisation Board, (PEF) noted that it would be a contradiction for the agencies to continue to exist in their present form in a fully deregulated downstream sector.
DGN revealed that PEF was established to administer uniform prices of Petroleum products throughout the country by reimbursing a marketer’s transportation differentials for petroleum products movement from depots to their sales outlets.
The PPPRA was equally established in 2003 to, among other responsibilities, monitor and regulate the supply and distribution, and determine the prices of petroleum products in the country.
The Minister of Petroleum maintained that the two regulatory agencies would be subsumed under a new agency with different nomenclature.
He said:” PEF will no longer exist after the Petroleum Industry Bill even PPPRA will no longer exist. They will be subsumed under what is going to be a new authority. But, I do not want to go into the PIB now. They will reincarnate in a different form but not exactly in this form but of course, I do not want to preempt the passage of the PIB. It is for the National Assembly. So, there is going to be a role for them. They are not going to be obliterated. But they will be subsumed.”