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  • NMDPRA tackles Dangote over importation of petroleum products

    NMDPRA tackles Dangote over importation of petroleum products

    The Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has told a Federal High Court in Abuja why it issued oil import licences to oil marketing companies in the country to import petroleum products.

    NMDPRA told Justice Inyang Ekwo in a counter affidavit its filed and deposed to by Idris Musa, a Senior Regulatory Officer in the office, against a suit filed by Dangote Petroleum Refinery and Petrochemicals FZE.

    The regulatory authority, in the application dated and filed Dec. 13, 2024, said the current production of Dangote Refinery, the plaintiff in the suit, is yet to meet the national daily petroleum products sufficiency requirement.

    “Consequently, and in compliance with Section 317 [9] of the PIA (Petroleum Industry Act), the 1st defendant (NMDPRA) issued licences to import petroleum products to bridge product shortfalls to companies with good track records of international products trading,” Musa said.

    Recall Dangote Refinery had sued NMDPRA and Nigeria National Petroleum Corporation Limited (NNPCL) as 1st and 2nd defendants. Also joined as 3rd to 7th defendants respectively in the originating summons, marked: FHC/ABJ/CS/1324/2024 and dated Sept. 6, are AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.

    The oil company, through its lawyer, Ogwu Onoja, SAN, prayed the court to nullify import licences issued by NMDPRA to the NNPCL and the five other companies for the purpose of importing refined petroleum products.

    The company (plaintiff) also prayed the court to declare that NMDPRA was in violation of Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing licenses for the importation of petroleum products.

    It stated that such licenses should only be issued in circumstances where there is a petroleum product shortfall. It equally sought a N100 billion in damages against NMDPRA for allegedly continuing to issue import licences to NNPCL and the five companies for importing petroleum products, among other reliefs.

    But the NMDPRA, through its officer, prayed the court to dismiss the suit as it is misconceived, unmeritorious and incompetent. Musa argued that Dangote Refinery is not entitled to any of the reliefs sought.

    He said the key functions of NMDPRA is to ensure a vibrant petroleum sector which will be operated in line with international best practice.

    He said it also ensures national energy security through continuity of supply and the prevention of abuse of the market by any individual or group, dominance and unhealthy monopoly, wherein a single company or entity will control the supply chain and determine the fate of over 200 million Nigerians.

    He said in furtherance of the above objectives, the regulatory agency had supported and continued to support all local refineries to enable their optimum capacity utilisation while ensuring that national energy security is maintained.

    According to him, as at 18th Jully, 2024, there are four functional licenced modular refineries.

    “There are also four other refineries owned by the Nigerian National Petroleum Company Limited (NNPCL) which are currently at different stages of maintenance.

    “At the second quarter of 2024, the plaintiff and the four functional licensed modular refineries produced Automative Gas Oil (AGO) and Aviation Turbine Kerosene (ATK) in considerable volumes,” he said.

    Musa, however, added that NMDPRA was closely monitoring the development to ascertain when the locally refined output would meet the country’s daily petroleum products sufficiency.

    Besides, he said the agency is also mandated to promote competition and prevent abuse of dominant market positions and unhealthy monopoly in the oil and gas sector.

    “The Import volume to be allocated between participants (that is licensed importers) by the 1st defendant is based on the criteria to be setout taking into account the respective refining output in the preceding quarter of the year, the share of active wholesale customers, competitive pricing and prudent supply, storage and distribution track records.”

    The official said there had been palpable uncertainties and instability regarding activities and capacity of the Dangote Refinery to solely cater for the petroleum products supply needs of the entire Nigerian population both in short and long term.

    He said the alleged production capacity of the refinery as regards AGO and Jet Oil (Jet A-1) were estimations not backed with scientific proof and the NMDPRA, as regulators, cannot depend on such data to allow the plaintiff own the sole right to cater for the market.

    He said, having taken cognisance of the current state of affairs and in consideration of the oil production output at the preceding quarter before the filing of the suit, NMDPRA found that it would be premature and imprudent to suspend the importation of petroleum products for other entities and simply hand over the sole supply right to Dangote.

    He said the present market structure of local refining would not only result in a monopoly with its pricing implications but also put at risk the nation’s energy security “which is best assured through multiple supply sources given the present market structure of local refining.”

    “The 1st defendant is however optimistic that the anticipated operationalisation of NNPCL’s four refineries in addition to increased output from the four modular refineries will improve the much-required competition in local refining, thereby mitigating the overarching concern of the creation of monopoly and its implication on energy security and pricing.”

    Musa said contrary to Dangote’s argument, NMDPRA’s demand of 0.5 per cent levy is justified. He said the levy is prescribed by Sections 47 (2)(c) and 52(7) of the PIA and to be paid at wholesale points by the wholesale customer and not the producer and that this fact is well known to the plaintiff.

    “The plaintiff (Dangote) cannot claim not to be bound by local laws due to its being in a free zone, whilst seeking to take the benefits of the same local laws,” he said.

    According to him, the levies are due immediately upon the sale of petroleum products or natural gas to a wholesale customer and shall be remitted by the plaintiff to the 1st defendant.

    “The plaintiff is to remit such levies to the 1st defendant not later than 21 days following the month of the sale,” he said.

    The official explained that Dangote Refinery was supposed to keep record and or particulars of the levies received from the wholesale customers.

    “I know as a fact that it was when the plaintiff failed to communicate its record of sales of petroleum products or natural gas and remit the statutory levies of 0.5% amongst others that the 1st defendant was constrained to issue a letter dated 10th June, 2024 marked as ‘Exhibit C’ in paragraph 22 of the plaintiffs affidavit.”

    He said the procedure for the payment of the levies agreed is contained in the Midstream and Downstream Petroleum Fees Regulations, 2024, gazetted Nov. 4, 2024.

    He said contrary to the company’s submission, it was untrue that the Dangote Industries Free Zone Regulation 2020 was enacted for it to carry out operations in the free zone “devoid of payment of all levies, taxes and rates by the federal, state and local government in Nigeria.”

    He said it was incorrect to suggest that the refined products from the refinery is to be sold only to Nigerians.

    “Rather, the plaintiff has stated through its alter ego that it need not sell products to only Nigerians, but can sell to other customers globally where there is a demand for same.”

    Musa disagreed that Dangote Refinery’s local production of petroleum products obviates the need to issue import licences to other entities with the capacity to meet the market demands of the Nigerian populace.

    “I know as a fact that the plaintiff does not have the capacity yet, to meet the entire local demand of refined petroleum products based on the count and readiness of its licensed and commissioned production lines.

    “To ensure availability of products to meet the market demand in Nigeria, it is therefore the responsibility of the 1st Defendant to license qualified entities to cater for any shortfall and meet domestic demand.

    “The 1st defendant granted licences to the 2nd to 7th defendants as companies with proven track records of international crude oil and petroleum products trading in line with the provisions of Section 317(8) and (9) of the PIA 2021.

    “It is to meet the shortfall in the domestic supply so as to avoid the hardship and sufferings which inadequate products availability often causes on Nigerians,’ he insisted.

    He denied the allegation that NMDPRA is partaking in any purported “grand conspiracy and concerted efforts” against the refinery, describing it as “an allegation for which the plaintiff has provided no facts or evidence in support.”

    The NNPCL, in its preliminary objection dated and filed Nov. 15, 2024, prayed the court to strike out the case for being incompetent.

    Also, the oil marketers, in a joint counter affidavit filed on Nov. 5, 2024, told the court that granting Dangote’s application would spell doom for the country’s oil sector.

    According to them, the plan to monopolise the oil sector is a recipe for disaster in the country.

    The three marketers; AYM Shafa Limited, A. A. Rano Limited and Matrix Petroleum Services Limited, in their response, said the plaintiff did not produce adequate petroleum products for the daily consumption of Nigerians.

    Besides, they argued that there was nothing placed before the court to prove the contrary.

    Justice Ekwo had fixed Monday (Jan. 20) for report of settlement or service.

  • NMDPRA shuts down 8 retail outlets in Warri, environs

    NMDPRA shuts down 8 retail outlets in Warri, environs

    The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has sealed eight petroleum retail outlets in Warri and environs.

    The Coordinator in Delta State, Mr Victor Ohwodiasa, disclosed this to newsmen on Tuesday in Warri.

    Ohwodiasa said that retail outlets were shut down on Sunday over offences bordering on under-dispensing, operating without valid licences, poor safety culture and poor housekeeping.

    He said that the erring petrol stations were located at Ifiekporo, Ughoton, Ubeji, Effurun/Sapele Road and Ovwian community in Udu Local Government Area of the state.

    The coordinator said that the routine surveillance exercise was part of the regulatory authority’s core mandates of ensuring motorists and other petroleum products users got the right quality and quantity for their money.

    Ohwodiasa said that the authority had realised that operators of the retail outlets adjust their meters at weekends and declared that the authority would continue to go after them.

    “Our surveillance team was on the field on Sunday to checkmate the petroleum retail outlets on sharp practices.

    “Twenty-seven stations were visited and eight among them were found wanting for various infringements.

    “These facilities have been sanctioned, and appropriate penalties will be meted out to them in line with the procedural guidelines of the NMDPRA.

    “Some of them are first offenders and that notwithstanding, they will still face the wrath of the law. We have told them that we are keeping data of infringements.

    “If they commit further offences, the punishment will be stiffer to serve as a deterrent to others. The essence is not punitive but of course corrective,” he said.

    The coordinator averred that it was ungodly for petroleum marketers to shortchange customers.

    Ohwodiasa appealed to the public to always avail the NMDPRA, Warri of information whenever they notice sharp practices by the petroleum marketers.

    He assured that the authority would take appropriate action on such information and give feedback to the informants.

    “We urge the public to reach out to us whenever they notice issues of under-dispensing, poor housekeeping, unsafe practices, poor quality of products, among others.

    “Customers should get value for their money. They should get exactly what they are paying for.

    “There could be mechanical errors in the dispensing machine which the authority has created an allowance for.

    “Any mechanical deviation that is outside the normal range will attract the appropriate sanction to the erring filling station” he declared.

    Ohwodiasa also expressed concern that motorists and other petroleum consumers were made to pay charges for the PoS machines used in their transactions.

    He, therefore, urged the public to report such cases to the authority.

    The coordinator noted that it was the duty of the station owners to pay the charges resulting from the use of PoS and not the customers.

    He assured that NMDPRA would sustain the tempo of the surveillance until all marketers comply with the necessary rules and regulations.

  • Dangote’s application spells doom for Nigeria if granted – Oil marketers tell court

    Dangote’s application spells doom for Nigeria if granted – Oil marketers tell court

    Three oil marketers have prayed a Federal High Court in  Abuja to dismiss a suit filed by Dangote Petroleum Refinery and Petrochemicals.

    The oil marketers, in a joint counter affidavit marked: FHC/ABJ/CS/1324/2024 filed in response to Dangote Refinery’s originating summons, told Justice Inyang Ekwo that granting that application would spell doom for the country’s oil sector.

    According to them, the plan to monopolise the oil sector is a recipe for disaster in the country.

    The three marketers; AYM Shafa Limited, A. A. Rano Limited and Matrix Petroleum Services Limited, in their response, said the plaintiff did not produce adequate petroleum products for the daily consumption of Nigerians.

    Besides, they argued that there was nothing placed before the court to prove the contrary.

    Dangote Refinery had sued Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Nigeria National Petroleum Corporation Limited (NNPCL) as 1st and 2nd defendants.

    Also listed as 3rd to 7th defendants respectively in the originating summons dated Sept. 6 are AYM Shafa Limited, A. A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.

    The company had prayed the court to declare that NMDPRA was in violation of Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing licenses for the importation of petroleum products.

    It stated that such licenses should only be issued in circumstances where there is a petroleum product shortfall.

    It also urged the court to declare that NMDPRA is in violation of its statutory responsibilities under the PIA for not encouraging local refineries such as the company.

    But the marketers, in their response filed on Nov. 5, told the court that they are well qualified and entitled to be issued import licence by NMDPRA to import petroleum products in Nigeria within the meaning of Section 317(9) of the PIA.

    They argued that vesting Dangote Refinery with the power of monopoly in Nigeria’s petroleum industry as it sought vide the instant suit, would kill competitive pricing of petroleum products in the country.

    They said that such act would further deteriorate the country’s critically ailing economy “and unleash untold hardship on Nigerians, all of which constitute a recipe for disaster in the polity. “

    They said if Nigeria puts all her energy eggs in one basket by stopping importation of petroleum products and allowing the plaintiff to be the sole producer and supplier of petroleum products in Nigeria, with liberty to determine the prices at which it supplies the products, the prices of petroleum products will continue to rise and energy security will elude Nigeria.

    “That in the event of any breakdown in or obstruction to the production chain of the plaintiff which stops it from producing, Nigeria will be thrown into energy crises because it does not have the reserves that would last it for at least 30 days that it would need to order, pay for, freight and import refined products into tanks in Nigeria.

    “That amidst the glaring absence of any credible and demonstrable proof that the plaintiff refines and supplies adequate petroleum products for the daily use/consumption of Nigerians, is a recipe for disaster in Nigeria’s energy sector.”

    They further told the court that granting the reliefs sought by the plaintiff was a design to leave Nigeria and Nigerians at the mercy of the plaintiff with respect to availability and cost of purchasing petroleum products in the country.

    They equally argued in their reply that they are fully qualified for the issuance of the import licences issued to them by the 1st defendant, as they duly met all the legal requirements for the issuance of such import licences, before same were issued to them.

    “The import licences lawfully and validly issued to the defendants did not in any way whatsoever, cripple the plaintiff’s business or its refinery.

    “The import licences issued to the defendants by the 1st defendant are in line with the provisions of Petroleum Industry Act, 2021, the Federal Competition and Consumer Protection Act, 2018 and other relevant laws,” they told the court.

    Justice Ekwo had fixed Jan. 20, 2025 for report of settlement or service.

  • Nigeria consumes 50m litres of petrol daily – NMDPRA

    Nigeria consumes 50m litres of petrol daily – NMDPRA

    The Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) says the country’s daily petrol consumption currently ranges from 45 million litres to 50 million litres.

    NMDPRA’s Chief Executive Officer, Mr Farouk Ahmed, disclosed this while speaking on the sideline of the ongoing 18th Africa Downstream Energy Week in Lagos. The 2024 OTL Africa Downstream Energy Week has the theme: “Alliances For Growth”.

    Ahmed said  that higher petrol consumption during the fourth quarter, especially near the holiday season, was typical due to increased industrial and consumer activities.

    He expressed hope that recent price adjustments/market liberalisation would reduce cross-border smuggling, helping to retain more petrol within Nigeria.

    “We hope this price adjustment or liberalisation will discourage cross-border smuggling of the product, meaning that more petrol will stay within the country,” he said.

    He said that actual petrol consumption levels in Nigeria could decrease but were unlikely to drop significantly.

    Discussing the conference’s theme, Ahmed emphasised the importance of  alliances in the industry for efficiency and cost reduction.

    He said  that fewer shared facilities would be more efficient than numerous idle private depots, benefiting both businesses and consumers.

    “Collaborations or alliances among stakeholders will lead to greater efficiency and lower costs for consumers,” Ahmed said.

    He said that shared facilities among agencies such as NMDPRA, Nigerian Maritime Administration and Safety Agency and the Nigeria Ports Authority  could reduce operational inefficiencies.

    According to  Ahmed, NMDPRA does not plan to enforce mergers but industry players are encouraged to consider partnerships, especially in saturated markets, to improve efficiency and lower costs for consumers.

    “With strategic alliances in place, we can reduce costs for consumers by making the most of our existing infrastructure,” he said.

    Ahmed gave the assurance that NMDPRA would continue with evaluating project viability to ensure consumer benefit.

    According to him, collaborative efforts and efficient operations are critical for a sustainable energy future in Nigeria.

  • NMDPRA fumes over peddling of petrol in jerry cans

    NMDPRA fumes over peddling of petrol in jerry cans

    The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) says it will clamp down and withdraw the licence of erring marketers aiding peddling of petroleum products particularly Premium Motor Spirit in jerry cans.

    The NMDPRA made this known on Friday after an indoor stakeholders’ meeting involving major retail outlet managers in the Federal Capital Territory (FCT).

    The meeting was aimed at reiterating the authority’s standing regulations against illegal peddling of petroleum products particularly PMS in jerry cans.

    Mr Ogbugo Ukoha, Executive Director, Distribution Systems, Storage and Retailing Infrastructure, NMDPRA, said marketers were warned that henceforth the authority would ensure strict compliance.

    Ukoha said it would increase its surveillance monitoring routine and clampdown on erring marketers found aiding and abetting this practice by suspending their retail licences.

    “The authority is taking this decisive step to safeguard lives and properties of Nigerians that are usually at risk of fire outbreaks through improper handling of the volatile and highly flammable product.

    “The authority is also mindful of the nefarious practices of cross border smuggling of the products with the use of jerry cans and must tackle such,’’ he said.

    A team led by the executive directors of NMDPRA, Ukoha and Dr Mustapha Larmode in collaboration with security agencies also conducted surveillance to some outlets around the metropolis.

    In the process, the team discovered a couple of illegal fuel dumps and depots around the FCT.

    The perpetrators were arrested and subsequently handed over to the Department of State Security for prosecution.

  • Group backs Agbese on NNPC, NMDPRA probe

    Group backs Agbese on NNPC, NMDPRA probe

    The Energy Transparency Initiative (ETI) has refuted claims that Rep. Philip Agbase, the Deputy Spokesperson of the House of Representatives, has assumed the role of an advocate for the Dangote Refinery.

    The allegation was made in a statement by one Mr Ganzallo Gbenga, said to be the convener of ETI, and the programme officer, Mr Chinelo Ochiaga, on July 27.

    However, Mr Francis Nedu, the group’s president, and Mr. Ismaila Bello, the secretary, ETI, said in a joint statement in Abuja on Monday that the persons were expelled long ago.

    This, according to Bello, was due to fraudulent activities and other abuses that contravened the group’s objectives.

    “We are shocked and dismayed that these individuals would continue to impersonate ETI and make statements that do not reflect our values and mission.

    “Their actions are a clear attempt to blackmail and take advantage of innocent parties, and we condemn their behavior in the strongest terms.”

    He said that the leadership of ETI was aware that some government agencies had allegedly released as much as $500,000 to the impostors.

    This, according to him, is to blackmail Agbese and other National Assembly members who want sanity in the oil and gas sector.

    He therefore expressed support for Agbese’s claims of deliberate attempts by the Nigerian Petroleum Company Limited (NNPCL) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to discredit Dangote Refinery Company.

    The group said Agbese demonstrated exceptional leadership and courage in “exposing the truth” and applauded his efforts to protect Nigerian entrepreneurs and promote indigenous businesses.

    He added that Agbese’s dedication to serve the people and uphold the principles of fairness and transparency had been exemplary.

    He said that the Deputy Spokesperson has shown that he is a true representative of the people, and his actions have earned him the respect and admiration of many.

    The group said that NNPCL and NMDPRA have shown a clear bias towards international oil companies (IOCs) and have consistently frustrated the efforts of Nigerian entrepreneurs.

    “Their actions are a disservice to the nation and undermine the government’s efforts to promote indigenous businesses.”

    The ETI, therefore, expressed support for the House of Representatives call for the Chief Executive Officer of NMDPRA, Farouk Ahmed, to resign.

    The group said that Agbese’s reiteration of the House’s earlier call for the NMDPRA boss to be sacked is the position of many Nigerians who meant well for President Bola Tinubu.

    “We believe that the dismissal of the NNPC Group CEO, Mele Kyari, is long overdue as well.”

    The group therefore called on President Tinubu to take immediate action to address this issue and ensure that the regulatory agencies served the interests of the nation, not just a select few.

    ETI, however, said that it had taken legal action against the imposters and already involved law enforcement agencies to ensure that they were brought to justice.

    “We will not tolerate any attempts to impersonate our organization or make false statements that damage our reputation,” the statement noted.

    The group urged all stakeholders to remain vigilant and uphold the principles of fairness and transparency, adding that it would continue to monitor developments.

    The group said it would ensure that all actions and policies are aligned with the national interest, free from undue influence or partisan agendas.

    NAN reports NMDPRA had denied any wrong doing.

    In a BBC Hausa Service, interview, Farouk Ahmed the Chief Executive Officer of NMDPRA said the agency was working according to its mandates.

    “Dangote himself said that we are helping him.

    “We have more than 10 workers who are working 24/7 to make sure everything goes as planned and he personally came to say, thank you. So saying that we are undermining or sabotaging him is incorrect.

    “People don’t want to be guided by laws; maybe they want to be allowed to do as they please”, he said.

  • Reps to investigate Dangote refinery, NMDPRA, NNPC rift

    Reps to investigate Dangote refinery, NMDPRA, NNPC rift

    The House of Representatives has said that it would investigate the ongoing spat between Dangote Petroleum Refinery and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

    The investigation would also include the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian National Petroleum Company Ltd (NNPCL).

    Rep. Philip Agbese, the deputy spokesperson of the House, said this while speaking with newsmen in Abuja on Saturday.

    Tthe investigation is coming amid the biting fuel crisis across the country and the allegations that Dangote’s fuel is of low in quality.

    Agbese said the investigation conformed to the House commitment to protect all national assets and critical economic infrastructure like the Dangote Petroleum Refinery.

    He said: “We have been seeing a lot by way of demarketing campaigns to discredit the Dangote Petroleum Refinery and given the negative impact of this, which has caused panic in the country.

    This, according to him, has resulted to uncertainties that had led to fuel queue resurfacing, adding that is totally condemnable.

    “Unfortunately, what we have learnt is that the NNPC and NMDPRA play major role in these plots to discredit the refinery, which is unacceptable.

    “The bigger aspect of our concern is that there are concerns that false narratives are being peddled by certain interests that are bent on importing dirty fuels into the country’’, he said.

    “As a proactive institution, committed to the wellbeing of the nation and Nigerians, the position of the House is to investigate the allegations’’, he told newsmen

    Agbese said the House would bring closure to the matter so that there would be a direction towards economic stability.

    “It is on record that the House had directed the President to sack NMDPRA, so the House will also not hesitate to call for the sack of Mr Mele Kyari, the Group Chief executive officer of NNPCL if need be’’, he said.

    He added that the demand for Kyari ‘s sack would happen if there was evidence of an attempt to destroy Dangote refinery.

    He added that the leadership of NMDPRA must be sacked, adding that both agencies had confirmed they were interested in destroying the Dangote Refinery.

    According to him, many Nigerians have called off the proposed hardship protest, but they want to see Kyari’s sack if that will guarantee that the country will function smoothly.

    It would be recalled that the Speaker of the House of Representatives, Rep. Tajudeen Abbas, had earlier led a delegation of the House on a visit to the Dangote refinery and Petrochemicals Company in Lagos

    This was part of the ongoing efforts to understand and support the nation’s key industries.

    Abbas said the visit provided valuable insights that would guide the House’s legislative measures and decisions.

    He said the House was working to create a more business-friendly environment to make Nigeria an attractive destination for local and international investors.

  • Civil society coalition condemns Dangote, NMDPRA, rift

    Civil society coalition condemns Dangote, NMDPRA, rift

    The Centre for Credible Leadership and Citizens Awareness (CCLCA) has condemned the rift between the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Dangote Refinery, saying it is regrettable.

    The coalition comprising no fewer than 100 civil rights organisations made this known in a statement signed by its Director-General, Dr Gabriel Nwambu, on Wednesday in Abuja.

    “We hereby condemn the actions of the alleged fifth columnists who are determined to destroy the Nigerian State.

    “We, therefore, express our concern over the disquiet caused by the outbursts of the Chief Executive of NMDPRA, Farouk Ahmed, regarding the quality of products and allegations of monopolistic tendencies against Aliko Dangote’’, he said.

    He said it would be in the interest of the nation’s economy if all impediments to the smooth operation of oil and gas sector were addressed.

    “In light of these concerning developments, the coalition in collaboration with selected civil society organisations, plans to visit the Dangote Refinery next week.

    “This delegation, comprised of seven members, aims to assess the situation firsthand and stand in solidarity with Aliko Dangote against the unfair and damaging actions of the cabal.

    “We urge the media and the public to pay close attention to this matter. The coalition is committed to promoting accountability, transparency, and fairness in the Nigerian oil sector.

    “Our delegation’s visit to the Dangote Refinery aims to highlight the importance of supporting progressive initiatives that have the potential to drive positive change in our nation,” Nwambu said.

    He called for peaceful resolution of the conflict in a manner that it would be a win-win- for all parties involved.

    NAN recalls that while conducting media executives round the facility, Dangote complained of institutional obstacles to seamless operation of the refinery located in Lekki, Lagos State.

  • NMDPRA refutes dirty fuel importation

    NMDPRA refutes dirty fuel importation

    The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) says there is no imported dirty fuel in the country.

    The Authority said it would never encourage importation of dirty fuel into the country and ensured that only quality protroleum products are consumed by Nigerians.

    Mr Ogbugo Ukoha, Executive Director, Distribution Systems, Storage and Retailing Infrastructure, NMDPRA, made this known while speaking with newsmen after a meeting with the oil marketers and local refiners on Tuesday in Abuja.

    Dangote Oil Refinery and Petrochemicals had accused the Authority of granting licenses to oil marketers to import dirty fuel into the country.

    The Vice President, Oil and Gas, at Dangote Industries Limited (DIL), Devakumar Edwin, had accused International Oil Companies (IOCs) in Nigeria of doing everything to frustrate the survival of Dangote Refinery.

    Ukoha, while addressing newsmen said the sulphur content in the fuel even in this June was not above the lawful limit.

    “There is no dirty fuel being brought in and I have given you the statistics for June.

    “What we have on the average from the imports have continued to go down from 200 Parts Per Million (PPM) on the average and now we have it far below the 50 PPM that is provided under the law,” he said.

    He recalled that the ECOWAS), Heads of States in 2020 endorsed a declaration, adopting the African Fuel Roadmap that requires that certain products have as a minimum 50PPT per a million litres of sulphur.

    The Executive Director said while it encouraged almost an immediate enforcement, on import to comply with that standard, the same treaty deferred enforcement for local refiners up to Dec. 31, 2024.

    According to him, though the time for enforcement on local refineries is not due, the plants are complying on their own.

    “And with the refineries there is no need to enforce that until the end of this year. But they themselves are already taking steps to see that is also guaranteed,” he said.

    Ukoha noted that the Petroleum Industry Act (PIA) in 2021, Section 318 also captured and upheld the ECOWAS treaty.

    “So as an Authority what have we done since we came into being? We started by engendering compliance. We saw a downward trend up to 2022-2023 December,” he said.

    The Executive Director admitted there was a spike in the sulphur content of imported products between December 2023 and January 2024, which resulted in a vigorous enforcement in February.

    “In December and in January 2024, we noticed a spike in the sulphur content of products being imported. And again now began strong enforcement from Feb. 1,

    “I am happy to tell Nigerians that up until as we speak in June, the average sulphur content in every Automotive Gas Oil (AGO) that is brought into Nigeria is far below what the 50 PPM provision is in the law,’’ he said.

    According to him, the new refineries are even built with plant sulphurisation limit which will reduce it to 10PPM.

    “But we are not very anxious about that because even the new refineries that are coming on have within their design of the plants the sulphurisation limit that we will see in the nearest future going down as low as 10PPM.

    “So, I will like to assure Nigeria that this is a mandate that the Authority takes very seriously and that we are here to guarantee the wellbeing and health of Nigeria and there is no dirty fuel we will encourage to come into Nigeria,” he said.

    Ukoha further said that the meeting with the oil marketers and refiners was aimed at promoting collaboration in a manner that would guarantees energy security within the country.

    “Our discussions covered considerable issues, very significant and profound. Issues of pricing, competition have been raised and we will continue to engage with every operator to see that we land at a place that is ultimately beneficial to Nigeria and Nigerians,” he added.

    Also, Gabriel Ogbechie, the Group Managing Director of Rain Oil Limited said the meeting agreed on level playing field for efficient collaboration in the sector.

  • Fuel scarcity: NMDPRA warns marketers against hoarding

    Fuel scarcity: NMDPRA warns marketers against hoarding

    The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) in Osun has warned petroleum marketers in the state against hoarding of the products.

    The agency also warned residents of the state against panic buying, hoarding and storing of petroleum products at home.

    Mr Adekunle Adeyemo, the State Coordinator of NMDPRA, gave the warning while speaking with journalists on Monday in Osogbo.

    Adeyemo said that the surveillance team of the agency would be all out to ensure that no filling stations hoard the product.

    He said that any marketers caught hoarding the fuel or engage in any form of sharp practices would be dealt with in accordance with the dictates of the law.

    Adeyemo promised that the agency would intensify its monitoring and surveillance of outlets in line with its regulatory mandate to ensure compliance with quality, quantity and safety of operations.

    According to him, government is doing everything possible to ensure adequate availability of the product, and it will be unfair for independent marketers who have the product in stock to be hoarding it.

    “We want to appeal to independent marketers who have petroleum products in stock to stop hoarding.

    “It will be inhuman for those who have the product to be hoarding and inflating the pump price.

    “The surveillance team of the agency is already out to ensure that those who have the product are dispensing it to motorists at reasonable price.

    “However, any filling station caught hoarding the product with the view of inflicting pains on the masses will not be spared.

    “Yes, there might be a little challenge in the supply process, but relevant government agencies are doing everything possible to ensure that the situation is normalise.

    “We will not fold our hands while some few individuals will inflicting undue pain on the residents of the state by hoarding the products,’’ he said.

    Adeyemo appealed to petroleum marketers to always adhere strictly to standard safety practices in their filling stations.

    He warned that any marketer that violates the standard procedure would be dealt with according to the law.

    Adeyemo also appealed to consumers to report sharp practices such as under-dispensing, to the agency for appropriate action.

    The NMDPRA boss also warned against storing petroleum products at homes, adding that such can cause a fire outbreak.

    He said that people needed to be very careful with how they handle petroleum products.

    “Storing of petroleum product at home can result in a fire outbreak, which can lead to the destruction of lives and property.

    “We have to be wise, there’s no reason for panic buying or hoarding of the product because government is doing everything possible towards adequate supply of the product,’’ he said.