Stories by Moses John
Abuja
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), has opposed the proposed plan by the House of Representatives to amend the Nigeria Liquefied and Natural Gas (NLNG) Fiscal Incentives, Guarantees and Assurances Act, describing the proposed amendment as unnecessary.
PENGASSAN after its recent National Executive Committee (NEC) meeting in Abuja, said “the amendment can cause imminent losses that will far outweigh any doubtful gains.”
The association in a statement by its President, Comrade Francis Johnson and acting General Secretary, Comrade Lumumba Okugbawa, and titled: “Proposed Amendment of the NLNG Act: Economic and Security Implications for the Nation,” said that amendment would impact negatively on the image of Nigeria.
PENGASSAN argued that the international community would perceive Nigeria as a country which does not honour its promises as well as one that does not take its call for foreign investments, led by the President Muhammadu Buhari administration, seriously.
The proposed amendment, it said, could directly affect some $25 billion worth of foreign investments as well as another 18,000 Nigerian jobs linked to NLNG’s Train 7 and 8 expansion programmes, adding that this would negate the job creation and job security policy being propagated by the current administration.
The senior staff union added that the National Assembly’s proposed action would also not only affect recent gains made in the area of gas flaring in Nigeria, which has reduced from 65% to less than 20%, but lead to the loss of up to $124 million annually payable as taxes and dividends to the Federal Government.
According to the statement, “NLNG is a Made-in-Nigeria company competing globally and has been a huge success so far. It is currently the 4th largest supplier of LNG in the world.
“The proposed amendment of the NLNG Act is not in the interest of Nigeria and it is absolutely necessary that the Act is not amended as the imminent losses will far outweigh any doubtful gains; this is completely against what the country requires at this time and should not be allowed.”
The union noted that, it is essential that Nigeria as a country must be able to generate adequate confidence within the international investor community to sustain critical ongoing and future investment beginning with the stalled Brass and OK LNG projects.
PENGASSAN therefore demanded that, “Our legislators should make laws that will improve existing businesses in the country and also attract new investments, and not laws which will stifle business, employment and/or erode investor confidence. The interest of the Nigerian people must remain paramount.”
PENGASSAN also assured all stakeholders including the Nigerian populace that it stands ready to do all within its power to hold those in positions of authority accountable to their pledge to uphold good governance and act in the interest of Nigeria at all times.
