The House of Representatives is facing criticism over what industry stakeholders say are excessive and overlapping investigations into the Nigerian National Petroleum Company Limited (NNPCL). According to critics, the barrage of inquiries poses a growing risk to investor confidence in Nigeria’s already fragile oil and gas sector.
In a statement issued on Friday, December 12, the Forum for Energy Accountability expressed concern that the flood of probes initiated by multiple House committees in recent months has created what it described as an “environment of regulatory pressure” around the national oil company.
Speaking on behalf of the forum, its president, Comrade Ebikeme Jonathan-Ogula, stressed that while legislative oversight is critical to public accountability, the current approach has become “counterproductive and disruptive,” especially at a time when the petroleum industry is undergoing major reforms.
“Like any commercial institution operating in the public interest, NNPCL must be held accountable. However, accountability becomes ineffective when it begins to resemble intimidation,” Jonathan-Ogula said. He explained that the recent wave of inquiries—often covering similar issues—neither enhances transparency nor supports ongoing reforms, and instead sends the wrong message to potential investors evaluating the stability of Nigeria’s hydrocarbons market.
Jonathan-Ogula noted that the industry is still navigating the structural adjustments introduced by the Petroleum Industry Act (PIA), global energy transitions, and broader economic policies aimed at boosting forex inflows. Amid these shifts, he warned that unpredictable regulatory actions, particularly when investigations appear repetitive or unfocused, undermine investor confidence at a time when Nigeria needs it most.
He pointed out that international investors already grapple with multiple challenges, including security concerns, inconsistent fiscal terms, and infrastructure deficits. Adding what he called “legislative unpredictability,” where NNPCL executives are summoned repeatedly without new findings emerging, only deepens fears about regulatory instability.
The statement highlighted reports of several House committees conducting simultaneous investigations into crude oil marketing, joint venture operations, frontier exploration, financing models, and corporate governance practices within NNPCL. This duplication, Jonathan-Ogula argued, creates confusion, fuels unnecessary speculation, and overlooks the fact that many of these issues are already undergoing established audit or regulatory review processes.
According to him, “This fragmented style of oversight does not strengthen institutions; it weakens them. It distracts the NNPCL from its core responsibilities—such as ensuring stable energy supply, supporting gas development, promoting domestic refining, and advancing key midstream projects that the country urgently needs.”
While acknowledging the National Assembly’s constitutional duty to scrutinize public institutions, Jonathan-Ogula urged lawmakers to streamline their efforts. He recommended merging related investigations under single committees, establishing clear timelines, and enhancing collaboration with regulators like the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). Better coordination, he said, would help avoid clashes with ongoing regulatory work and improve overall credibility.
“The goal should be to build confidence, not erode it,” the statement concluded. “Nigeria cannot afford hesitation from investors when global capital is increasingly flowing toward countries with stable policies, legal clarity, and predictable oversight mechanisms.”
Jonathan-Ogula called on the House leadership to adopt a more strategic and evidence-driven oversight approach. He emphasized that the success of Nigeria’s economic reforms—especially those focused on energy transition, gas monetization, and long-term revenue growth—depends significantly on creating a coherent, stable, and predictable regulatory environment.
He appealed to the lawmakers, saying, “We urge the House of Representatives to step in and ensure that necessary oversight does not evolve into an obstacle to investment.”
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