The Energy Governance Alliance (EGA) has commended the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) for generating a record N12.25 trillion in revenue in 2024, describing it as a testament to the commission’s regulatory reforms and strategic leadership under Chief Executive, Gbenga Komolafe.

In a statement issued on Tuesday and signed by its Executive Director, Dr Kelvin Sotonye William, the alliance said the revenue achievement marked a watershed moment in Nigeria’s oil and gas sector, affirming NUPRC’s central role in repositioning the upstream industry for value creation, fiscal accountability and national development.

The figure, disclosed in the commission’s newly released 2024 Annual Report, represents a 182.25 percent increase from the N4.34 trillion generated in 2023. It also significantly surpassed the 2024 forecast revenue of N6.93 trillion by over N5 trillion.

“The Energy Governance Alliance welcomes the stellar performance of the NUPRC, under the visionary stewardship of Mr Gbenga Komolafe, for generating over N12 trillion in 2024 — the highest ever recorded in a single year in Nigeria’s upstream sector,” the statement reads.

“This performance is not accidental. It reflects sustained policy clarity, increased compliance, and a bold enforcement posture on critical issues such as royalty payments, gas flare penalties and lease renewals. These are the very foundations of energy justice, and we applaud the Commission for restoring regulatory credibility in a sector long plagued by opacity and inefficiency.”

EGA said the unprecedented revenue inflow has “revalidated the Petroleum Industry Act (PIA) 2021 as a working framework for revenue optimisation, investor discipline and upstream transparency”, adding that the Komolafe-led NUPRC had broken new ground in actualising the fiscal and institutional aspirations of the landmark law.

According to the commission’s breakdown, oil and gas royalties alone accounted for N11.08 trillion in 2024 — nearly twice the projected figure — while gas flared penalties brought in N391.26 billion, and concession rentals fetched N23.71 billion. Other key revenue lines included N369.57 billion from signature bonuses, N230.73 billion from lease renewals, N35.19 billion in miscellaneous income, and N117.02 billion from goods and valuable consideration.

Reacting to the figures, Dr William said the scale and spread of the revenue performance demonstrated a “whole-of-sector approach” that has closed long-standing loopholes and challenged entrenched rent-seeking behaviour.

“For the first time in recent memory, we are seeing a regulator extract value from multiple pressure points across the upstream system — from flare penalties to lease administration. This is what it means to govern oil in the public interest,” he said.

EGA urged other agencies in the oil and gas ecosystem to emulate NUPRC’s results-oriented culture, noting that the commission’s transparency in publishing unreconciled production volumes, average daily outputs, and compliance with the technical allowable rate (TAR) regime was “a welcome deviation from the era of secrecy”.

The report had revealed that total crude production in 2024 stood at 578.5 million barrels — comprising 482.8 million barrels of oil and 95.7 million barrels of condensate — with a daily average output of 1.58 million barrels per day. Joint ventures contributed 48 percent of the production, followed by production sharing contracts at 35 percent, sole risk operations at 13 percent, and marginal fields at 4 percent.

The alliance also welcomed NUPRC’s disclosures on the TAR, which stood at 67 percent in 2024, and urged further collaboration with industry players to raise efficiency levels.

“This is not just about revenue. It’s also about regulatory honesty. By publishing unreconciled volumes and clarifying that they are not to be mistaken for export figures, NUPRC has sent a strong message that it is no longer business as usual. This level of transparency is key to improving investor confidence and public trust,” William said.

EGA said it was particularly impressed with the commission’s performance in gas flare penalties and lease renewals, which surpassed their 2024 projections by over 200 percent, indicating renewed rigour in enforcement.

It noted that N391 billion was realised from gas flaring penalties, compared to a projected N126 billion, while lease renewals brought in N230.73 billion, almost three times the forecasted N80.63 billion.

“Gas flaring is an ecological crime and an economic waste. The fact that penalties have become a major revenue item shows the Commission’s zero-tolerance stance. We expect this to further push operators towards cleaner and more responsible energy production,” the alliance added.

The alliance urged the Federal Government to channel a significant portion of the NUPRC’s revenue surplus into supporting host communities, funding clean energy transitions and closing infrastructure gaps in the Niger Delta.

“Komolafe’s performance shows that Nigeria’s oil sector can deliver both revenue and reform — if we prioritise competence, clarity and courage. The Energy Governance Alliance urges President Bola Ahmed Tinubu to continue backing such reforms and ensure that the NUPRC remains insulated from political interference,” the statement concluded.

The Senate had said it is set to begin probe of Farouk Ahmed, the Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) as the protest of public interest lawyers to the National Assembly enters day two.

The lawyers stormed the National Assembly, Tuesday, calling on the Senate President, Godswill Akpabio, to immediately suspend and prosecute Farouk Ahmed.

The lawyers cited grave allegations of corruption, abuse of office, and conflict of interest against Ahmed.

In the petition signed by Samuel Ihensekhien Jnr and three others, they also demanded that the National Assembly commence an immediate investigation, recommend Ahmed’s immediate sack and suspension, and arrest.

Senator Kawu Ismaila, Chairman, Senate Committee on Oil and Gas who received the petition on behalf of the Senate promised to liaise with other members of the committee and investigate the agency.

“One of our constitutional rights is to do oversight. We will look into the allegation, those who are concerned should come and defend themselves.

“We will invite you to come and defend the petition. We will call you to come and defend the allegation because we must do it in accordance with the law.

“When we have a copy of the petition we will sit down together with your leaders and look at the allegation act in accordance with the law”

he petitioners also called for the
freezing of Ahmed’s local and offshore assets and sweeping reforms in the appointment and oversight of regulatory agency heads in the oil and gas sector.

The lawyers described Ahmed’s actions as a clear abuse of office, a betrayal of the Nigerian people’s trust, and a severe breach of the fiduciary duty required of all public servants.

” We urge the Senate to commence an immediate and public hearing investigative hearing into these allegations, summoning Mr. Farouk Ahmed and relevant stakeholders..

“Recommend his immediate sack and suspension from office to prevent interference with ongoing investigations.Refer this matter to the EFCC, ICPC, and the Code of Conduct Bureau for coordinated criminal investigation and prosecution.

“In the event he has absconded from Nigeria immediately Call for collaboration with international security agencies like the Interpol to ensure his extradition back to Nigeria and the freezing of his local and offshore assets.

“Institute sweeping reforms in the appointment, conduct, and oversight of regulatory agency heads in the oil and gas sector.

“This is a defining moment for the National Assembly to rise in defense of public interest, uphold its constitutional oversight duty, and send a strong message that corruption, abuse of power, and impunity have no place in the Federal Republic of Nigeria.”

The petition is backed by civil society organisations, including the Situation Room for Oil Sector Reforms, the Concerned Young Professionals Network, and the Coalition for Public Accountability (COPA), who have held protests calling for Ahmed’s suspension and prosecution.

A group of 500 public interest lawyers has stormed the Presidential Villa and National Assembly with a petition demanding the immediate sack and prosecution of Ahmed Farouk, the Chief Executive Officer, CEO of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The lawyers cited grave allegations of corruption, abuse of office, and conflict of interest against Farouk, including the alleged diversion of over $5 million of public funds to finance his children’s education in elite institutions in Switzerland and India.

Led by Samuel Ihensekhien, they also accused Farouk of employing his son, Faisal Ahmed, in Oando PLC, a private entity directly under NMDPRA’s regulatory oversight, constituting a clear conflict of interest.

The petitioners further alleged that Farouk has fled the country to evade arrest and is hiding on a private island in the United States, an act they described as “cowardly” and indicative of guilt.

” It is alleged that Mr. Farouk Ahmed diverted over $5 million of public funds to finance the private foreign education of his four children in elite institutions across Switzerland and India,” the petition reads.

“This flagrant misuse of public resources, at a time when millions of Nigerians suffer from deteriorating public education
infrastructure, is both morally reprehensible and criminally indictable.

“Mr. Ahmed’s son, Faisal Ahmed, was reportedly employed by Oando PLC, a private entity directly under the regulatory oversight of NMDPRA. This constitutes a glaring conflict of interest and a violation of ethical standards and the principles of impartial regulation.

“The actions of Mr. Ahmed represent a clear abuse of office, a betrayal of theNigerian people’s trust, and a severe breach of the fiduciary duty required of all public servants. Recent credible reports suggest that Mr. Ahmed has fled the country in an
attempt to evade arrest and is allegedly hiding on a private island in the United States. “

They demanded that the National Assembly commence an immediate investigation, recommend Farouk’s immediate sack and suspension, and collaborate with international security agencies like Interpol to ensure his extradition back to Nigeria.

The lawyers also called for the freezing of Farouk’s local and offshore assets and sweeping reforms in the appointment and oversight of regulatory agency heads in the oil and gas sector.

The petition is backed by civil society organizations, including the Situation Room for Oil Sector Reforms, the Concerned Young Professionals Network, and the Coalition for Public Accountability (COPA), who have held protests calling for Farouk’s suspension and prosecution.

The petitioners emphasised that Farouk’s actions represent a clear abuse of office, a betrayal of the Nigerian people’s trust, and a severe breach of fiduciary duty, and that his continued occupancy of the position threatens transparency, accountability, and reforms in the petroleum sector.