Fg Scraps Nnpc

The Federal Government on Wednesday announced the scrapping of the Nigerian National Petroleum Corporation.

The decision, which was okayed by the Federal Executive Council at its bi-monthly meeting in Abuja, is aimed at making the country’s energy sector more efficient.

The Minister of State for Energy (Petroleum), Mr. Odein Ajumogobia, who made this known to journalists, added that five agencies had been created to handle activities in the sector.

They are the National Petroleum Directorate, the National Oil Company, the Petroleum Inspectorate Commission, the Petroleum Products Distribution Agency, and the National Oil and Gas Assets Holding and Management Company.

The NPD replaces the Ministry of Energy, while the NOC takes over the core roles of the NNPC.

The NNPC was established by Decree 33 of April 1, 1977 as a public organisation to manage government’s interests in the oil industry.

In addition to its exploration activities, the corporation was given powers and operational interests in refining, petrochemicals, products transportation and marketing.

In 1988, the NNPC was commercialised into 12 strategic business units, covering the entire spectrum of oil industry operations.

The units include the National Petroleum Investment Management Services; the Nigerian Petroleum Development Company; the Nigerian Gas Company; the Products and Pipelines Marketing Company; and the Integrated Data Services Limited.

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