The senate on Thursday took a major step in passing the long-awaited petroleum industry bill.

This bill takes charge of the regulation, enterprise and administrative activities in Nigeria’s oil and gas sector. The part that deals with production and other services make up part of the other bills that constitute the PIB.

Here are four things you need to know about the PIGB. The lower chamber, that is, the House of Representatives still need to give their nod and President Muhammad Buhari assents to it before it finally become a law.

1. The PIGB scraps the Nigeria National Petroleum Corporation, the Department of Petroleum Resources (DPR), the Petroleum Products and Pricing Regulatory Agency (PPPRA) and several other government agencies in the oil sector. Three new entities have been created to oversee activities in the sector.

2. The NNPC would be replaced by National Petroleum Company (NPC), DPR by National Petroleum Assets Management Commission (NPAMC) and PPPRA by Nigeria Petroleum Regulatory Commission (NPRC).

While the change in structure may lead to more efficiency, it is not likely to lead to job losses. However, the management cadre of these agencies may be affected.

3. Under the new governance structure, the NPC would be an integrated oil and gas company, operating as a fully commercial entity that will run like a private company.

The NPAMC would be a single petroleum regulatory commission, which would focus mainly on regulating the industry.

The bill also saddles the commission with the responsibility for health and safety regulations in the industry. It would also collaborate with the Ministry of Environment essential issues.

4. The NPRC would replace and take over the functions of PPPRA and DPR. The regulatory commission would be funded through a retention of 10% of the revenue it generates for the government of the federation. The expenditure is however subject to appropriation by the National Assembly.

In all, it's a reform of the operations and structure of Nigeria's oil sector. But more is needed to change the psychology of those managing and overseeing the entire process. Humans first, not machines, not software.