Late live blogging of the Senate Public Hearing on Petroleum Industry Reforms

We arrived late at the Senate’s public hearing on the three public hearings today. We will give a summary of all the presentations earlier.

Ministry of Petroleum Resources – Fiscal Bill

  • many fiscal abuses in the current Fiscal Bill;
  • lack of fiscal neutrality in the bill;
  • bill does not sufficiently reward the domestication of oil

Administration Bill

  • more reflection on the powers of the Minister;
  • opportunity for checks & balances over the Commission by the Minister;
  • there should be a requirement for bid rounds every 3 – 5 years;
  • the decision on bid round should be a political decision;
  • Minister to give guidelines;
  • who regulates the regulator?
  • provisions for acreages to the commission to be amended and explicitly granted to the state;
  • more provisions for contract transparency;
  • gas flaring provisions are scaled back in this bill;
  • national strategic stocks should be handled by a regulated entity;

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