ADRC: NUPRC Drives Industry Reform through Dialogue, Equity, and Inclusive Engagement

Chiemelie Ezeobi

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has reaffirmed its commitment to reforming Nigeria’s oil and gas industry through a culture of dialogue, equity, and inclusive engagement, as part of efforts to unlock billions of dollars in potential investments trapped in prolonged litigation.

The Commission Chief Executive, Engr. Gbenga Komolafe, made this known at a high-level Roundtable Consultative and Sensitisation Forum of the NUPRC’s Alternative Dispute Resolution Centre (ADRC) held in Lagos on Wednesday, November 12, 2025.

Komolafe, who was represented by the Commission Secretary and Legal Adviser, Mrs. Olayemi Adeboyejo, said the establishment of the ADRC reflects the NUPRC’s bold vision to institutionalise dialogue, equity, and inclusivity in the oil and gas sector.

He said, “The ADRC is more than a mechanism for resolving disputes. It is a strategic tool for promoting peace, stability, and investor confidence across the upstream petroleum value chain.

“We are determined to make ADRC not a last resort, but the first choice for dispute resolution in Nigeria’s oil and gas sector.”

According to him, the ADRC, which was established under the Petroleum Industry Act (PIA) 2021, operates as a neutral, sector-specific platform designed to mediate and resolve disputes arising from upstream operations in a timely, impartial, and cost-effective manner.

Engr. Komolafe noted that since its inception, the ADRC has achieved significant milestones, including the inauguration of its Body of Neutrals in Lagos and Yenagoa in September 2024, and a comprehensive capacity-building programme earlier this year.

He explained that the Body of Neutrals comprises respected professionals, including lawyers, retired judges, oil and gas experts, and other specialists selected for their deep industry knowledge, impartiality, and commitment to the principles of alternative dispute resolution.

“Through the ADRC, we are operationalising the PIA’s intent ensuring that disputes are resolved amicably and efficiently, preserving relationships that are essential to operational stability, investment protection, and social harmony,” he said.

The NUPRC boss emphasised that the Commission’s proactive promotion of alternative dispute resolution has been particularly instrumental in mitigating tensions between operators and host communities.

He disclosed that the ADRC offers the industry a sustainable pathway for peaceful coexistence.

“Dispute prevention and early engagement are key to building trust. By encouraging operators, host communities, and other stakeholders to embrace ADR mechanisms early, we are fostering a culture of mutual respect, accountability, and collaboration,” he said.

Komolafe urged General Counsel, Legal Directors, and other corporate leaders across the oil and gas ecosystem to view the ADRC not as a regulatory instrument, but as a strategic ally in corporate governance and risk management.

“The sustainability and effectiveness of the ADRC depend on collaboration. Regulators, operators, host communities, and civil society must continue to work together to build trust, prevent disputes, and maintain a stable operating environment,” he added.

Reiterating the Commission’s broader reform agenda, Komolafe said, “The ADRC symbolises our belief that disagreements can be transformed into opportunities for understanding.

“It is a cornerstone of our broader reform agenda, anchored on transparency, fairness, and shared prosperity. Through this Centre, we are not only resolving disputes, but also reinforcing the confidence of investors and the trust of host communities in the Nigerian petroleum industry.”

Speaking later at the event, the Commission Secretary and Legal Adviser, Mrs. Olayemi Adeboyejo, said the ADRC is essential in today’s global and domestic context, stressing that Nigeria cannot afford to have billions of dollars in potential investment trapped in prolonged litigation.

She noted, “The ADRC was therefore conceived as a strategic de-bottlenecking mechanism, an efficient, confidential, and cost-effective alternative to litigation.”

The sensitisation forum drew participants from International Oil Companies (IOCs), independent producers, the Petroleum Technology Association of Nigeria (PETAN), Host Community Development Trusts (HCDTs), and other key industry stakeholders. 

It also provided a platform for open dialogue on the Centre’s processes, functions, and pathways for adoption.