The House of Representatives has approved the use of facilities of tow major players in the downstream sector; Capital Oil and Gas and Folawiyo Energy Trading Limited by the Petroleum Products Marking Company (PPMC) for storage of imported petroleum products.
The development comes even as the lawmakers have absolved the PPMC of any wrong doing in the recent artificial fuel scarcity across the country.
Shipping Position Weekly recalls that there were allegations that a clique within the Nigerian National Petroleum Corporation (NNPC) was collecting about N75million illegally daily through importation of petroleum products. Similarly, NNPC’s subsidiary, PPMC was also accused of abandoning the government –owned Atlas Cove jetty for private facilities because of selfish pecuniary gains.
Following the allegations, a committee led by the chairman House of Representatives Committee on Petroleum (Downstream), Hon. Clever Ikisikpo was mandated to look into it.
But after its recent fact-finding visit to the Atlas Cove jetty and the facilities of the two industry players, the committee supported the continued usage of the jetties of both Capital oil and Folawiyo.
However, after an inspection of the Atlas Cove Jetty, Capital Oil and Gas and Yinka Folawiyo, the committee said there was nothing wrong in the decision by the PPMC to choose the companies’ facilities for fuel storage and distribution since the Atlas Cove could only be used for about 50 per cent of the daily consumption.
An obviously satisfied Ikisikpo said: “We are here on a visit to all these places as a follow up to the invitation, which we had extended to the PPMC in relations to allegation that a cabal in the corporation is making N75 million every day on a fraudulent dealing. The allegation is that the NNPC through PPMC abandoned the Atlas Cove jetty, which is the Federal Government facility and concentrated importation of product on the private facilities owned by Folawiyo, Capital Oil and others. But now we have found out that the allegation is unfounded.
”Actually, we have seen that Atlas Cove is not abandoned, it is working to its full capacity; and we have found that Atlas Cove could only be used for about 50 per cent of the daily consumption and this is why the PPMC is using other private facilities to complement the 30 million litres daily consumption by Nigerians.”
According to him, here is no truth in the allegation of obtaining N75 million daily. It “is without any foundation because Capital Oil and Folawiyo Energy Services only complemented the Cove which storage capacity is apparently inadequate”. “I want to say that from what we have seen, the Atlas Cove is functioning optimally despite the July militants attack on the facility. We have been conducted round the place and I am impressed with what is on ground”,
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