Advancing Bitumen Development in Nigeria
The passage of a bill by the Senate has marked a significant step towards establishing a legal framework for the mining, production, and exportation of bitumen in Nigeria. The bill, which was sponsored by Jimoh Ibrahim (APC, Ondo South), successfully passed the second reading and has subsequently been referred to the Senate Committee on Solid Minerals for further legislative action. Following this development, the Senate President has issued a directive to the committee, requiring them to report back within one month.
The primary proponent of the bill, Mr. Ibrahim, has underscored the necessity for the Bitumen Development Commission of Nigeria, emphasizing its potential to substantially enhance revenue generation. He has outlined the commission’s responsibilities, which include the regulation of all processes related to bitumen mining, production, and exportation within the country, as well as the effective utilization of the substantial 38 billion reserves of bitumen in Nigeria. Furthermore, the exploration of bitumen is expected to significantly contribute to economic activities and to align with the federal government’s policy for economic diversification.
The objectives of the bill encompass the establishment of a legal framework for the regulation of bitumen development, preventing unconventional sources from exploiting research-enhanced applications over other competitors, leading innovation and resource-based strategy in bitumen development, ensuring effective utilization of bitumen reserves, and promoting the federal government’s economic diversification policy.
During the debate, numerous senators voiced their support for the bill, emphasizing the potential benefits such as the facilitation of road construction and the development of economic activities in the country. The bill garnered majority support from senators during the debate, indicating a promising path towards the sustainable development of the bitumen mining industry in Nigeria.
