Even as the Senate ad-hoc committee on subsidy continues to probe activities surrounding the supply of petroleum products in the past years, the Nigerian National Petroleum Corporation (NNPC) and Capital Oil and Gas have commenced the second phase of the Kero-Direct initiative which it started last year.
Even as the Senate ad-hoc committee on subsidy continues to probe activities surrounding the supply of petroleum products in the past years, the Nigerian National Petroleum Corporation (NNPC) and Capital Oil and Gas have commenced the second phase of the Kero-Direct initiative which it started last year.
Even though the company is presently not loading kerosene at its depot in Lagos as a result of a minor internal problem among the Petroleum Tanker Driver (PTD) union members, Shipping Position Daily correspondent confirmed at the Capital Oil head office in Lagos last week that the second phase of the kerosene distribution scheme has started across 10 states namely; Plateau, Jigawa, Ondo, Ebonyi, Enugu, Adamawa, Imo, Taraba, Kano and Abia States.
The NNPC/Capital Oil direct distribution of kerosene was kick-started last year in order to alleviate the suffering of consumers in getting the product, and to bring the product closer to their door step at the rate of N50 per litre.
Under the arrangement, the NNPC provides the product to be sold while the product is only being distributed by Capital Oil through its mobile dispensing trucks.
On completion of the exercise in the 10 states, a source at the company said that the train will move on to other zones within the country until the company’s target is achieved.
It was also reported that the Kero/Direct scheme has afforded Capital Oil and Gas to employ over 557 youths and another batch of 158 is being targeted before the completion of the scheme.
The Managing Director of Capital Oil and Gas, Mr. Ifeanyin Ubah had in a statement said that the company is “very concerned about the difficulty in getting kerosene for domestic use. It is in response to this that the company came up with this innovation of deploying mobile filling stations with standard dispensing pumps to deliver kerosene at official price of N50 per liter to Nigerians”
“The scheme will afford our people greater access to the product with a view to reducing the use of charcoal and fire wood which are hazardous to health” he said.
Shipping Position Daily investigations at the tank farms however revealed that kerosene at the Capital Oil depot before it was suspended, as well as other depots around Lagos sells for as high as N113 per litre.
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