March 2014

The letter by the Governor of the Central Bank of Nigeria (CBN), Mallam Sanusi Lamido Sanusi, to President Goodluck Jonathan alleges potential fraud at the Nigerian National Petroleum Corporation (NNPC). This Policy Brief presents the facts of the case, which is the opacity of operational and financial transactions in NNPC that can possibly lead to high levels of fraud and significant risk to Nigeria. This document is a background to a Roundtable Discussion hosted by Nigeria Natural Resource Charter for industry stakeholders to sustain the debate for improved transparency in Nigeria’s oil and gas sector.

This policy brief examines the 2012 Executive Draft Petroleum Industry Bill (PIB) to determine whether the Bill achieves its intended reform objectives. It analyses the PIB vis-à-vis Government’s reform objectives as contained in the National Oil and Gas Policy as well as best practice from other jurisdictions. It concludes that overall the PIB falls short of its objectives and makes recommendations on what can be included in the Bill towards achieving its goals.