The Nigeria Extractive Industries Transparency Initiative has applauded the Nigerian Upstream Petroleum Regulatory Commission for its significant strides in ensuring transparency and professionalism in the 2022–2023 Mini Bid Round and the 2024 Licensing Round.
This commendation comes on the heels of NEITI’s independent observation and monitoring of the pre-qualification and technical bid processes, in line with its statutory mandate under the Petroleum Industry Act 2021 and the global Extractive Industries Transparency Initiative Standard.
In an advisory report released by NEITI, the commission was praised for its conduct of the licensing rounds, with the report noting “notable improvements in inclusivity, digitalization, and procedural integrity.”
The report, which was presented to the NEITI National Stakeholders Working Group during its statutory meeting in Umuahia, Abia State, described the rounds as “significant milestones in Nigeria’s upstream petroleum sector, designed to attract credible investments, unlock hydrocarbon potential, and advance national development objectives.”
According to NEITI, the licensing process was conducted in a manner that was largely professional, transparent, and inclusive, with full adherence to published criteria as outlined by the PIA and EITI provisions.
It further noted that special concessions granted to indigenous and emerging firms were a progressive measure that helped enhance stakeholder participation and boost public confidence.
However, NEITI’s report pointed out areas that needed work, like improving the evaluation process, making results more transparent, making bidder information more accessible to the public, making sure beneficial ownership is fully disclosed, and incorporating technical and commercial value assurance into evaluations.
To strengthen future licensing rounds, the report provided actionable recommendations centered on transparent disclosures, standardized scoring systems, and sustained stakeholder engagement.
“The NSWG commended NUPRC’s cooperation with NEITI and encouraged the adoption of the recommendations outlined in the advisory,” said Orji Ogbonnaya Orji, Executive Secretary of NEITI.
“We remain committed to working collaboratively with regulators, civil society, and industry stakeholders to institutionalize transparency, good governance, and sustainable development in Nigeria’s extractive industries.
The framework redefines NEITI’s role in the energy transition, introducing a transparent and accountable mechanism for tracking greenhouse gas emissions and climate-related financial risks, monitoring divestments by International Oil Companies and overseeing the implementation of Host Community Development Trusts under the PIA.”