Nigeria’s oil minister, Deziani Allison-Madueke, has set up a committee to speed up the passing of an oil law meant to completely overhaul Africa’s biggest energy industry, her permanent secretary said in a statement on Monday.
The Petroleum Industry Bill, a huge piece of legislation aimed at changing everything from fiscal terms to an overhaul of the state oil company, has been under negotiation for more than four years and has faced constant delays.
Uncertainty over the reforms – which could significantly increase the cost of operating in Nigeria – have put billions of dollars of potential investment on hold, oil executives say.
Allison-Madueke is under pressure to reform the Oil Ministry after a week of strikes and protests against a hike in fuel prices spurred public anger at the huge corruption and waste in both Nigeria’s output of crude oil and its importation of refined products.
She ordered an investigation into corruption in the system for subsidising motor fuel consumption on Monday, and the new oil bill committee may be a way of easing pressure on her to move stalled policy reforms forward.
The statement said six former national assembly members, a legal adviser and a union member were on the committee.
In December, Allison-Madueke said she hoped to get the bill passed early in 2012.