In its bid to curb crude oil losses through theft, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA ) has unveiled six priority regulations, including Petroleum Measurement Regulations that stop operators from using unapproved meters.

Its Chief Executive Farouk Ahmed at the launch in Abuja said the regulations were enacted in consultation with the relevant stakeholders.

The six regulations are: Midstream and Downstream Petroleum Operations Regulations; Petroleum Measurement Regulations; Assignment or Transfer of Licence and Permit Regulations; Natural Gas Pipeline Tariffs Regulations; Gas Pricing, Domestic Demand and Delivery Regulations; and the Petroleum (Transportation and Shipment) Regulations.

Ahmed added aside the six regulations, the Authority will soon launch 14 ones all in line with the provisions of the Petroleum Industry Act (PIA) 2021 is the key legislative instrument that governs the business of petroleum operations in

Nigeria and sets the rules for all activities in the Petroleum sector.

Asked whether the Petroleum Measurement Regulations is different from the past, the NMDPRA Legal Adviser, Folorunso Joseph said.

NMDPRA has banned companies from operating without installing the approved appropriate measurement systems.

According to him, the new regulations have mandated operators to install meters at all measurement points.

He said: “The question on measurement, which you were saying what is new? You will find out that this regulation has said metering must be installed in all the measurement points that we don’t have before.

“So there is no way an operator can actually operate without installing the appropriate measurement system.”

He noted that the NMDPRA will apply the necessary sanctions whenever the operators violate the regulations.

Giving an overview of the Midstream and Downstream regulations, he noted that a company must now inform the Authority before introducing a new technology.

While it is expecting the Natural Gas Tariff Regulations to boost national revenue, the Authority noted that the primacy of the regulations is to enhance compliance.

Joseph said the Petroleum Transportation and Shipment Regulations bar companies from loading in unauthorised locations.

The new regulations also state that no company or person shall be engaged without a valid permit from the NMDPRA. (The Nation)

Update news