The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is receiving significant commendation. It has been praised for its transparent handling and timely release of the Frontier Exploration Fund (FEF) to the Nigerian National Petroleum Company (NNPC) Limited.
Dr. Randy Amuche, Executive Director of the African Energy Policy Alliance (AEPA), issued an electronic statement on Thursday. He described NUPRC’s actions as “a model of regulatory–industry synergy for the rest of the continent.”
Reinforcing NUPRC’s Reputation
Dr. Amuche highlighted the Commission’s clarification. This confirmed the approval and release of over $185 million and N14.9 billion to NNPCL. He stated this significantly reinforces NUPRC’s reputation. He described the Commission as a regulator deeply committed to accountability, professionalism, and transparent resource governance.
AEPA noted NUPRC’s swift dismissal of claims that it withheld funds. This demonstrates a maturing regulatory culture. It is grounded in evidence-based processes.
“The NUPRC, under Engr. Gbenga Komolafe’s leadership, has again shown exceptional regulatory discipline,” the statement read. It explained that the Frontier Exploration Fund resides with the Central Bank of Nigeria (CBN), not the Commission. Disbursements follow rigorous evaluation of NNPCL’s work programmes. “The NUPRC has set a continental benchmark for transparency,” AEPA added.
Commitment to Financial Integrity
The Commission’s decision to engage PwC is noteworthy. PwC independently evaluates NNPC’s claims before approving payments. Dr. Amuche praised this move. He said it reflects a commitment to financial integrity and best-practice oversight.
“From an initial release of N14.9 billion and $45 million, to the final tranche of $140 million approved on November 27, NUPRC displayed procedural discipline. Such diligence boosts investor confidence. This is precisely what Africa needs as countries explore frontier basins from Uganda to Namibia,” Dr. Amuche explained.
A Model of Regulatory-Industry Synergy
AEPA also lauded the smooth coordination between NUPRC and NNPC. It described their relationship as a model. This shows how regulators and national oil companies should collaborate. Such synergy drives national and continental energy security.
“What we see between NUPRC and NNPC is a productive, functional relationship,” Dr. Amuche observed. “It is rooted in mutual respect for institutional mandates. The regulator demands evidence; the national oil company meets requirements; both work together to expand exploration in frontier basins.”
Lessons for Africa’s Energy Sector
Dr. Amuche urged other African nations to study Nigeria’s approach. Many are reforming their petroleum governance structures. He noted that credible, transparent regulatory practices are vital. They improve global investor perception of Africa’s energy markets.
“For Africa to compete and grow, we need predictable, professional, and transparent institutions. NUPRC’s handling of the Frontier Exploration Fund strongly demonstrates how regulatory integrity strengthens the entire energy ecosystem,” he affirmed.
AEPA also advised stakeholders. It encouraged reliance on verified information. This avoids “unsubstantiated claims” that undermine public trust. The continental organisation reaffirmed its support for Nigeria’s ongoing efforts. These include strengthening exploration funding, deepening frontier basin development, and expanding domestic reserves. These actions align with global energy transition realities.
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