West African Think Tank Applauds NUPRC for Transforming Nigeria’s Oil Governance

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has been commended for repositioning Nigeria’s oil industry as a more transparent, competitive, and investor-friendly sector, one that is now shaping energy governance across the West African sub-region.

In a statement released on Wednesday, the West Africa Energy Policy Institute (WA-EPI), led by Executive Director Fatoumata Diallo, said Nigeria’s dominant role in Africa’s oil market means that regulatory changes in its upstream sector inevitably shape investment patterns, regional trade, and cross-border infrastructure development within ECOWAS.

Diallo stated that the reforms championed by the NUPRC have restored investor confidence and provided a more precise regulatory roadmap for both local and international operators.

“The NUPRC has redefined Nigeria’s upstream governance in a way that benefits not just the country, but the entire sub-region,” she said.

“By promoting clarity, data-driven regulation, and investor confidence, the Commission has created a model of strategic oil governance that is stabilising markets and attracting regional partnerships.”

According to her, the Commission under the leadership of Engr. Gbenga Komolafe has built a regulatory environment anchored on accountability, competitiveness, and innovation—marking a shift from the opaque and fragmented practices that previously characterised the sector.

She noted that Nigeria’s oil market is “for the first time in decades” beginning to resemble a modern, predictable industry where investors can access real-time production data, licensing information, and performance reports.

WA-EPI said this increased transparency has strengthened Nigeria’s reputation as a dependable regional energy hub.

Rising Rig Count Signals Renewed Investor Confidence

The think tank also highlighted the significant rise in Nigeria’s active rig count—from just eight rigs in 2021 to 69 as of October 2025—describing the surge as clear evidence of renewed investor confidence driven by regulatory stability.

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“Numbers like these are not just statistics,” the institute stated. “They reflect a regulator that understands the link between transparency, investor security, and long-term economic growth.”

WA-EPI further commended the Commission’s consistent revenue performance, citing annual surpluses of 18.3% in 2022, 14.6% in 2023, and an unprecedented 84.2% in 2024. These gains, the group stated, demonstrate how predictable regulations can lead to stronger public finances.

Digital Transformation Boosting Investor Trust

The think tank also praised the Commission’s digital transformation agenda, especially the automation of licensing, compliance processes, and data management systems. According to Diallo, this has reduced bureaucratic delays and enhanced Nigeria’s credibility among global financiers.

“Effective governance is not about adding layers of complexity,” she said.

“It is about enforcing rules with precision and integrity. When a system is fair and predictable, investors respond with trust—and that trust leads to jobs, infrastructure, and regional economic growth.”

WA-EPI added that Nigeria’s implementation of the Petroleum Industry Act (PIA) remains the foundation of the country’s new oil governance framework, shaping better host community relations and aligning the sector with global sustainability standards.

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The organisation stated that countries across West Africa are closely studying Nigeria’s transition, noting that the success of NUPRC’s reforms has set a new benchmark for resource governance in the sub-region.

“Nigeria’s progress is now a regional reference point,” Diallo said.

“It shows that strong institutions and consistent rules can turn natural resource wealth into shared prosperity.”

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