By Femi Osinusi
Former Vice President Atiku Abubakar has expressed concern over recent moves by the Federal Government to amend provisions of the Petroleum Industry Act (PIA) and divest significant equity from key joint ventures in the oil and gas sector.
Atiku, who has long advocated liberalization and reform of state-owned enterprises, including privatization where necessary, cautioned that such efforts must be handled with transparency and in line with Nigeria’s long-term national interest.
“The Petroleum Industry Act was enacted to bring clarity, accountability, and investor confidence to a sector long plagued by opacity. Any attempt to amend its core provisions must be approached with caution and broad stakeholder engagement,” Atiku said in a statement on Sunday.
He particularly raised concerns over reported plans to reduce the Federation’s stakes in major joint ventures, including RAEC JV, Oando JV, and Seplat Energy JV. According to him, early indications suggest that the terms being considered could disproportionately benefit select insiders and foreign interests, potentially undermining Nigeria’s sovereignty over its most strategic resources.
“These moves, if not properly managed, could erode public trust, destabilize the sector, and compromise our energy security,” he warned.
Atiku stressed that while privatization could serve as a useful tool in reforming underperforming enterprises, the process must be transparent, competitive, and subject to rigorous public oversight. He insisted that the exercise should reflect Nigeria’s commitment to protecting its economic future while ensuring that the benefits of natural resources are equitably shared.
“The Federal Government must ensure that any privatization exercise is conducted with full transparency, guided by competitive bidding, and subject to rigorous public scrutiny,” he said.
The former vice president added that Nigeria must avoid the temptation of pursuing short-term financial gains that could, in the long run, undermine national interest and stability.
His comments come amid ongoing debate within government and the oil sector about the best path to restructure joint ventures and raise revenues. Industry watchers argue that poorly handled divestments could open the door to controversies similar to those that trailed past privatization exercises in the power sector.
