Even as they termed 2013 as one of the most troubled year that the petroleum sector and the country at large has witnessed, stakeholders in the downstream sector of the petroleum industry have called on the federal government to engender a peaceful 2013 by putting measures in place that will ensure the smooth circulation of petrol.
Even as they termed 2013 as one of the most troubled year that the petroleum sector and the country at large has witnessed, stakeholders in the downstream sector of the petroleum industry have called on the federal government to engender a peaceful 2013 by putting measures in place that will ensure the smooth circulation of petrol.
They also called on the Nigerian National Petroleum Corporation (NNPC) on the need to carry major stakeholders along in its dealings and that the corporation should increase the number of tank farms it is currently collaborating with for petroleum importation.
Some of the stakeholders that spoke in Lagos last week are of the opinion that for the industry to make a headway in 2013, the Federal Government should ensure prompt payment of subsidy to petroleum importers and should also focus on building of refineries before muting the idea of deregulating the oil sector.
Speaking with Shipping Position Daily the Operations Manager of First Deepwater Petroleum Tank Farm, Mr. Sunday Okpithe said that the industry had a rough time last year as a result of the subsidy removal that was brought up by the federal government.
He said that this declaration as well as the subsequent drama that followed caused many investors not to invest in the Nigerian oil industry last year.
Okpithe said that, “if the government does not mention anything about subsidy removal at al,l then there will be confidence on the part of stakeholders, last year we all knew what happened, the industry had a troubled year and we experienced a lot of scarcity because people were scared, as a result of this there was no investment in the sector last year”.
“But in 2013, government should ensure prompt payment of subsidy arrears so that the downstream sector can flourish” he advised.
Also speaking on condition of anonymity, a depot manager at one of the tank farms in Lagos said that in order to avoid the pitfalls that were experienced last year, government should ensure the payment of subsidy arrears to marketers who have not been paid.
“I don’t think the subsidy payment is being done accordingly, it is not all the marketers that are being carried along, so, for us to have a peaceful 2013, let the government be sincere with itself and pay these marketers who were not implicated in the subsidy probe report”, he stated.
Similarly, a petroleum marketer, Mr. Olanife Adeoye in his own submission called for the passage of the Petroleum Industry Bill (PIB) which is currently before the National Assembly, saying this is a major determinant of the success of the Nigerian oil industry.
Speaking with Shipping Position Daily correspondent in Lagos, Adeoye said that the passage of the bill will further attract investors into the sector and that it will also lead to building of Greenfield refineries at strategic locations in the country.
“Government should pass the PIB into law so that more investors can be encouraged to invest in the refining of product, any state that is interested in collaborating with foreign investors as well as individuals should be encouraged so that we can set up portable refineries, not the gigantic ones that will need huge amount to renovate”.
“This will also ensure that there are pockets of refineries here and there where they have the crude oil, not to be sighted in Kaduna or where they still have to pump the product there”.
Olanife is also of the opinion that since the government had many committees of enquiries last year and they have been able to discover the main problem in the importation and marketing of the petroleum product, it should allow the product to come in freely now and circulate.
He advised that subsidy should also be given to the importers promptly so that the system can be flowing without any obstruction, and product can be available regularly.
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