The Petroleum and Natural Gas Senior Staff Association of Nigeria, PENGASSAN, has voiced its disapproval of President Bola Tinubu’s contentious tax reform proposals.
The organization stated that these proposals could hinder exploration efforts within the oil and gas industry.
The association cautioned that the Nigeria Upstream Regulatory Commission (NUPRC) and the Nigeria Mid and Downstream Petroleum Regulatory Authority (NMDPRA) would face adverse effects should these proposals succeed.
It should be noted that there has been increasing concern regarding the proposed tax reform measures currently pending in the National Assembly. While Northern representatives and certain members of the Nigerian Governors Forum have vehemently opposed the proposals, the presidency maintains that these bills must navigate the legislative process for enactment due to their embedded advantages.
The oil workers also urge the Federal Government to broaden the range of tax relief exemptions, particularly for employees in the oil and gas sector.
As the proposals undergo multiple discussions in the National Assembly, PENGASSAN has advised the lawmakers against hastily approving the tax measures without conducting a thorough public hearing or making necessary revisions.
During a gathering with the National Executive Council (NEC) members on Tuesday in Abuja, PENGASSAN President Festus Osifo addressed the matter.
He stated,
The Association acknowledges the ongoing tax reforms and demands that the tax relief exemptions granted to those earning minimum wage and businesses be widened to include more individuals and enterprises in that bracket.
“Clarity is essential regarding the revenue collection mechanisms from oil and gas companies, as some elements in the proposal could adversely affect our members in critical branches like Nigeria Upstream Regulatory Commission (NUPRC) and the Nigeria Mid and Downstream Petroleum Regulatory Authority (NMDPRA).
“We will actively engage in the public hearings where our stance will be clearly presented.
“We thus urge the National Assembly to hold a thorough public hearing session to gather diverse perspectives for amending the proposal’s provisions rather than merely going through the motions.”