Petroleum Ownership and Administration in Nigeria Under the PIA 2021: Distilling Realities From Legal Rhetoric

Authors

  • Ugochukwu Godspower Ehirim Delta State University Author

DOI:

https://doi.org/10.66502/v9speh78

Keywords:

Autonomy, Constitution, Judiciary, Justice, Separation of Powers

Abstract

Controversy over the ownership, administration, and control of petroleum resources in Nigeria remains unresolved, particularly in light of the environmental degradation and social exclusion experienced by host communities in oil-producing regions. Although Nigerian law formally vests petroleum ownership in the Federal Government, persistent agitation in the Niger Delta suggests that this state-centric model has failed to secure legitimacy, equity, and stable petroleum governance. This article aims to examine the legal and theoretical foundations of petroleum ownership in Nigeria and to assess whether the Petroleum Industry Act 2021 (PIA) signals a meaningful shift from absolute state control toward a more inclusive governance model. Using doctrinal legal research and a comparative approach, the study analyses constitutional provisions, statutes, judicial decisions, international legal principles, and selected ownership models in the United States, Canada, and the United Kingdom. The study finds that the long-standing state ownership model in Nigeria has generated persistent conflict because it centralises legal control while excluding host communities from meaningful participation and benefit-sharing. It further finds that comparative practice in other jurisdictions demonstrates more flexible arrangements in the allocation of ownership rights, administrative authority, and resource benefits. The article’s novelty lies in its argument that the recognition of Host Communities under the PIA 2021 marks the emergence of a mixed or inclusive ownership logic within Nigeria’s petroleum governance framework, even though the constitutional language of federal ownership remains formally unchanged. The article concludes that sustainable petroleum governance in Nigeria requires a clearer legislative framework that consolidates host community participation, strengthens benefit-sharing arrangements, and aligns legal ownership with the practical realities of resource administration.

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Published

2026-03-11

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Articles

How to Cite

Petroleum Ownership and Administration in Nigeria Under the PIA 2021: Distilling Realities From Legal Rhetoric. (2026). International Journal of Constitutional and Administrative Law, 21-39. https://doi.org/10.66502/v9speh78