The Legal Framework for Petroleum Infrastructure Sharing in Nigeria: Analysing Third-Party Access Rights

📖 ABSTRACT/OVERVIEW

This study analyses the legal framework governing third-party access to petroleum transportation and processing infrastructure in Nigeria, focusing on how existing regulations under the PIA 2021 and the NMDPRA infrastructure access guidelines address the needs of independent and indigenous producers. Third-party access rights are essential for enabling smaller operators without proprietary pipeline and processing facilities to bring their production to market efficiently. Using a doctrinal analytical methodology, the research critically reviews the PIA 2021's infrastructure access provisions, NMDPRA third-party access regulations issued in 2022, model infrastructure sharing agreement templates, and relevant Federal High Court decisions on infrastructure access disputes from 2018 to 2024. Comparative analysis draws on third-party access frameworks in the United Kingdom and Australia, where regulated open-access regimes have stimulated petroleum sector competition. Findings indicate that Nigeria's third-party access framework lacks enforceable access pricing standards and an independent dispute resolution mechanism for infrastructure access disagreements. The study recommends establishing a regulated access pricing model administered by NMDPRA and an infrastructure access ombudsman. Keywords: third-party access, petroleum infrastructure, PIA 2021, NMDPRA, Nigeria.

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