LEGAL EFFECT OF THE EMERGENCE OF ARTIFICIAL INTELLIGENCE ON THE REGULATORY FRAMEWORK OF NIGERIAN OIL INDUSTRY

Abstract

The Nigerian oil industry stands at a pivotal juncture as it grapples with the emergence of Artificial Intelligence (AI) technologies that promise, to revolutionize its operational efficiencies and decision-making processes. The aim of this paper is to examine the legal effect of the emergency of Artificial Intelligence on the Nigeria Oil Industry’s regulatory framework. This paper examines the legal implications of integrating AI technologies into the regulatory framework governing the Nigeria's oil sector. This study aims to elucidate the complex interplay between technological innovation and legal governance within the oil industry in Nigeria by examining the existing regulatory landscape alongside AI’s evolving role. Through an extensive review of the literature, this research illuminates the multifaceted nature of AI applications in the Nigerian oil industry, spanning areas such as exploration, production optimization, safety monitoring, and environmental compliance. These technological advancements raise profound legal questions about liability, accountability, data privacy, and regulatory oversight. This study highlights the need for adaptive regulatory mechanisms capable of effectively addressing the challenges posed by AI while harnessing its potential benefits. This research identified the key challenges confronting the Nigerian oil industry's regulatory framework in the era of AI proliferation. These challenges encompass issues related to regulatory compliance, the standardization of AI technologies, the protection of intellectual property rights, and the provision of equitable access to AI-driven innovations. This study also explores opportunities to leverage AI to enhance regulatory efficiency, transparency, and responsiveness to dynamic industry dynamics. This study recommends strategies for capacity-building, stakeholder engagement, regulatory reform, and the establishment of ethical guidelines for AI deployment.