Nigerian Midstream and Downstream Petroleum Regulatory Authority. Photo: NMDPRA
The Nigerian Midstream and Downstream Petroleum Regulatory Authority has declared that petroleum companies operating in free zones, export processing zones and other designated areas in Nigeria remain fully subject to the provisions of the Petroleum Industry Act 2021 and regulations issued under the law.
The regulator stated this in an industry circular released recently.
Free zones are designated areas created by the government to encourage investment and industrial activities through tax incentives, customs waivers and simplified business regulations. They include export processing zones, industrial parks and special economic zones where companies often enjoy exemptions from certain taxes and administrative procedures.
However, the NMDPRA stressed that such incentives do not exempt oil and gas operators from petroleum sector regulations under the PIA.
