Petroleum Marketers Express High Hopes on Import License, NNPC Keeps Mum.

Following the directives from the Petroleum Products Pricing Regulatory Authority
(PPPRA) that all Major and Independent oil Marketers in Nigeria should begin the processing of relevant documents in anticipation of  the first quarter importation licenses which will take effect soon, independent marketers have expressed hopes that the allocation process will not go the way of the one before it.

Following the directives from the Petroleum Products Pricing Regulatory Authority
(PPPRA) that all Major and Independent oil Marketers in Nigeria should begin the processing of relevant documents in anticipation of  the first quarter importation licenses which will take effect soon, independent marketers have expressed hopes that the allocation process will not go the way of the one before it.
 As the marketers still await the allocation which has already been delayed, a top executive of the Jetty and Petroleum Tank Farm Owners of Nigeria (JEPTFON) Mr. Ifeanyi Uba told Shipping Position Weekly that most downstream players were not satisfied by the last quarter allocations carried out by the PPPRA and they are expecting that the first allocation for the year will correct the disparities.
Uba who is also the Chief Executive officer of the largest indigenous oil company in Nigeria; Capital Oil and Gas, told our correspondent that “we have to be expectant and only hope that the new administration will favor the operators, I believe the government is still trying to look into the last quarter allocation and accessing those that did well and those who did badly” he said.
Members of JEPTFON had last year alleged that the PPPRA was not transparent enough in the allocation of petroleum product import for the second and third quarters of 2010 as well as handling and administration of the newly introduced Sovereign Debt Instrument.
Majority of the oil marketers had alleged that the Federal Government had paid out billions of naira to 'brief case companies' as imports subsidy on the recommendations of the PPPRA.
When contacted by Shipping Position Weekly for possible updates on the current status of the import allocation for the first quarter of year 2011, the image maker for the Nigerian National Petroleum Corporation (NNPC) which is the supervising agency of the PPPRA, Dr. Levi Ajounuma simply shied away saying that it is still in the works.
Meanwhile, Executive Secretary of Major Oil Marketers Association of Nigeria (MOMAN), Mr. Femi Olawore who lamented the delay recently in Lagos also said that the import licenses ought to have been released in March, as the processing of import documents entail obtaining clearances from both the PPMC, PPPRA, and other relevant agencies before approaching their banks for Letter of Credit to import, which takes about twweeks.
According to him these processes take not less than three weeks to complete and advised that the PPPRA should ensure that license permits are issued at least six weeks ahead.