Sequel to the deregulation of the downstream petroleum industry, the Federal Government has begun the process of closing down the Petroleum Equalization Fund, which according to reports, is in line with the provisions of the Petroleum Industry Act 2021.
The meeting which was held in Abuja between officials of the Nigerian Midstream and Downstream Petroleum Regulatory Authority and oil marketers is to deliberate on the closure of the fund.
The discussion was based on the reconciliation of the PEF accounts and plans to close it in the next one month as discussed by both officials and marketers.
Former Chairman of Major Oil Marketers Association of Nigeria, Tunji Oyebanji said, “The meeting was a consultation with the NMDPRA on implementation of the PIA, clarifications of various issues, applying for licences, quality issues and closure of the Petroleum Equalization Fund,”
“Some people owe PEF and it also owes some people. There is a need for reconciliation to close out the account,” Oyebanji explained.
Formed since 2021, the NMDPRA encompasses a merger of three defunct regulatory agencies: Petroleum Products Pricing Regulatory Agency, Petroleum Equalization Fund {Management} Board, and the Midstream and Downstream Divisions of the Department of Petroleum Resources.
