The Nigerian National Petroleum Corporation (NNPC) has appealed to law enforcement agencies across the country to allow free movement of petroleum products by tanker drivers during the lockdown ordered by President Muhammadu Buhari in Lagos, Ogun and the Federal Capital Territory, Abuja.
The group in a statement signed on Tuesday said the exemption granted by President Buhari to certain categories of essential workers covers the operations of petroleum products tanker drivers.
“The Federal Government counts on the support of the law enforcement agencies across the country to ensure smooth distribution of petroleum products across the nook and cranny of the country during the period of the restriction,” Kennie Obateru, NNPC Group General Manager, Public Affairs Division said in the statement.
He also advised motorists not to engage in panic buying noting that NNPC holds over 2.6billion litres of petrol enough to last through the period of the lockdown and beyond.
The Nigerian National Petroleum Corporation and 33 of its partners in the oil and gas sector have contributed $30 million, about ₦11.4 billion to curb the coronavirus pandemic and reduce its effects on the Nigerian economy and populace.
The NNPC’s Group Managing Director, Mele Kyari, disclosed this in a tweet where he announced the intervention fund on behalf of the oil firm and its partners. Kyari explained that the initiative was in line with the Federal Government’s ongoing efforts to curb the spread of the fast-spreading virus in the nation.
Kyari stated that the intervention was aimed at supporting the country’s healthcare delivery facilities and would cover three major areas. He outlined the areas as the provision of medical consumables; deployment of logistics/in-patient support system and delivery of medical infrastructure.
He said, “The three thematic support initiatives amount to a total of $30m (N11bn) and will be delivered in phases, starting today.
“To address the increasing demand of medical services, we are immediately providing medical consumables covering testing kits, medical protective suits and ambulances to the highly impacted areas across the federation.”
According to the NNPC boss, 33 partners who made the contribution were from the upstream sector, from the Oil Producers Trade Section of the Lagos Chamber of Commerce and Industry (LCCI) and the Independent Petroleum Producers Group.
They include, Shell Group of Companies, Seplat Petroleum Development Company Plc, ExxonMobil Group, Total Group, Chevron Group, Eni Group, Addax Petroleum, and Aiteo Eastern Exploration. Also included are, Niger Delta Petroleum Resources Limited, Oando Oil Limited, Oriental Energy Resources Limited, Pillar Oil Limited, Platform Petroleum Limited, Shoreline Natural Resources, Suntrust Oil Company Nigeria Limited, Vertex Energy Limited, Waltersmith Petroleum Oil Limited and Yinka Folawiyo Petroleum Limited, Amni International Petroleum Company, Dansaki Petroleum Development, Eroton Exploration, and Production Company, among many others.
The GMD, who stated that Depot and Petroleum Products Marketers Association (DAPPMA) donated N120 million for the provision of 36 ventilators and 1,500 coveralls, while MRS donated 2,000 test kits, 1,000 coveralls and N100 million for the acquisition of ambulances, added: “Matrix Energy provided N360 million for necessary medical equipment, Major Marketers Association of Nigeria (MOMAN) provided 50 ventilators and OVH Energy 200 ambulances for use.
The Nigerian National Petroleum Corporation (NNPC) has said that its retail stations will begin to sell fuel at the adjusted price of N125 per litre beginning from March 19, 2020.
This is in line with the Federal Government’s directive ordering the NNPC to adjust the price of fuel to reflect global market realities.
Speaking on the adjustment and new directives to its retail stations, the Corporation’s Group Managing Director, Mr Mele Kyari, said the NNPC has reviewed its Ex-coastal, Ex-depot and NNPC retail pump prices.
According to his statement on Wednesday, Mr Kyari said NNPC’s Ex-coastal price for PMS has been reviewed downwards from N117.6/litre to N99.44/litre while Ex-Depot price is now been reduced from N133.28/litre to N113.28/litre.
Mr Kyari stressed that despite the obvious implications of this immediate adjustment to the Corporation, the NNPC is delighted to effect the massive reduction of N20/litre for the benefit of all Nigerians.
Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, has warned Lagos residents to desist from building houses, as well as vendors, to desist from selling gas around the corporation’s pipeline right of way (ROW).
Speaking during an on-the-spot assessment of an explosion site in Abule-Ado area of Festac town in Amuwo Odofin Local Government area of Lagos State, where a blast occurred on Sunday, Mr Kyari said the explosion was aggravated by a spark that ignited fire from an extensively charged atmosphere that emanated from gas cylinder leakages.
There are problems around standard processes that are not optimum and has allowed things to happen.Explosions caused by a spark that ignited fire from an extensively charged atmosphere that emanated from gas cylinder leakages.
Our pipeline, unfortunately, is very close to this location, so the incident ignited our pipeline; we will take down the fire immediately with all the efforts of partners, but the important thing is that people should not build houses around pipelines, it is very dangerous and they should respect our right of way. It is for the safety of all and it is about ensuring people are safe.
He sympathised with the people and government of the state while appreciating the response time of other agencies.
The Nigerian National Petroleum Corporation (NNPC) says that a gas explosion caused the blast which rocked Abule Ado area of Lagos State.
In a statement by the Group General Manager, Public Affairs Division, Dr Kennie Obateru, on Sunday, the blast occurred after a truck hit some gas cylinders stacked in a gas processing plant located near the corporation’s System 2B pipeline right of way.
He added that preliminary findings indicated that the impact of the explosion was huge that it led to the collapse of nearby houses and damaged some NNPC pipelines.
Dr Obateru said when the corporation heard about the explosion, it halted ongoing pumping operation on the Atlas Cove-Mosimi pipeline which was active at the time of the incident, while efforts are being made to curtail the fire.
The NNPC spokesman appealed to members of the public and residents of the affected communities to remain calm and assured that the temporary shutdown of the petroleum products pipeline would not affect the normal supply of products to Lagos and its environs.
The Department OF Petroleum Resources (DPR) has handed over the Oil Mining Licence (OML) 98 to the Nigerian Petroleum Development Company (NPDC), the upstream unit of the Nigeria National Petroleum Corporation (NNPC).
This is coming almost one year after Pan Ocean Oil Corporation’s ownership of the asset, along with the assets of five other companies, were revoked for failing to meet up with its financial obligations to the Federal Government.
Speaking at the handover ceremony in Abuja, the Director of the Department, Mr Sarki Auwalu Said the decision to take over the asset from Pan Ocean was in the best interest of Nigerians.
“For OML 98, the decision was taken in fairness to 200 million people that they trust a company to manage their business and they trust us to ensure that the business is right and it’s optimised.
“The record we have in DPR indicated that the reserve stood at 43 million barrels for oil and we have 20 million barrels for condensate and 393 billion standard cubic feet of gas. We know that before the revocation that there is a legacy debt of oil and gas royalties, concession rentals, gas flaring penalty. This we expect to be settled by the previous venture because it’s a legacy debt.
“And that is our work getting this for the 200 million people,” he stated.
He expressed hope that every other issue involving the revocation will be solved amicably among the joint venture parties to ensure that the asset works.
The Senate on Thursday resolved to probe the Nigerian National Petroleum Corporation (NNPC) over the sum of $396 million expended on Turn-Around Maintenance of refineries in the country between 2013 and 2015.
Following the resolution, the Upper Chamber mandated its Committee on Petroleum Downstream, Upstream, and Gas to carry out a holistic investigation on the Turn-Around Maintenance expenditures and the current state of the refineries, as well as convene a stakeholders conference with the aim of finding ways to revamp them.
The decision to investigate spending on maintenance of refineries by NNPC was reached after consideration of a motion brought to the floor by Senator Yusuf Yusuf from Taraba State.
Senator Yusuf told his colleagues that the NNPC has four refineries – two in Port Harcourt (Rivers State) and one each in Kaduna and Warri, (Delta State).
According to him, the refineries were established to adequately supply and serve needs for Liquefied Petroleum Gas (LPG), Premium Motor Spirit (PMS), Dual Purpose Kerosene (DPK), Automotive Gas Oil (AGO), Low Pour Fuel Oil (LPFO), High Pour Fuel Oil (HPFO), and Aviation Turbine Kerosene (ATK) for both local consumption and exports.
“The country through NNPC has in the past 25 years spent billions of US dollars in Turn-Around Maintenance of the refineries, the latest being over $396 million spent between 2013 and 2015 without meaningful result,” the lawmaker said.
He added, “The refineries have remained in the moribund state in the last 15-20 years and are almost reaching total collapse due to lack of proposer maintenance of the facilities with a poor average capacity utilisation hovering between 15 per cent and 25 per cent per annum.
“Despite the huge spending on turn-around maintenance of refineries, NNPC recently announced a cumulative loss of N123.25 billion in 10 months (January – October 2019), putting the total revenue of facilities at N68.82 billion, while total expenses incurred was N192.1 billion within the same period.”
Senator Yusuf warned that such huge wastage and slippages amidst the nation’s tight economy, if not addressed, may lead the country back to recession.
During an on-the-spot assessment of the scene of Sunday’s pipeline explosion in the area, Mr Kyari stated that the NNPC was working with security agencies to contain the situation.
He said, “It’s unfortunate we lost five lives to this inferno, with many in critical condition in the hospitals, all due to unpatriotic acts of vandals along our Pipeline Right of Way, who make insertions into the pipelines to steal products, leading to disasters such as this.
“We’re working daily with security agencies to contain this situation which portends danger for all of us. Nigerians must know that these acts of vandals are happening within communities and if they are allowed to continue, then they will eventually kill all of us.”
The NNPC boss explained that when the explosion was reported, they shut down the flow to contain the damage.
He, however, noted that the flow of petroleum products has since resumed.
“We, therefore, need the support of every member of the community to expose the bad eggs in their midst. We are counting on Nigerians to help us resolve this as it is becoming a matter of national security concern.
“Having shut down to contain the damage yesterday, we’ve now fully restored the line. We are now back on stream.”
“Petroleum products are flowing all the way from Atlas Cove to Mosimi all the way to Ilorin Depot. We enjoin everyone to work with us in sustaining this,” Kyari said.
According to the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, while signing the Condensate refinery strategy programme Front End Engineering Design, the strategy is expected to deliver 20 million litres of Petrol when it’s completed.
Mr Kyari explained that President Muhammadu Buhari is concerned that as an oil-producing country, Nigeria is one of the highest importers of petrol in the world.
“For a country that has been producing oil for over 50 years, it is really a difficulty to explain why we are still importing petroleum products.
“We have a clear mandate of Mr. President to stop this and we believe this can be done between now and 2023; it is not a political deadline, it is a realistic, technical deadline that we can deliver on this.”
He listed strategies the corporation hopes to implement to achieve the deadline, including delivering on functional refineries, support to partners on projects that will make gasoline available in the country.
“First, we will deliver on our refineries to make them work and significant work has gone into that and we believe that we can deliver on this.
“Secondly, we will support our partners to deliver on their projects that will make gasoline and other products available which is essentially the many other refinery projects intervention that are going on that we know and we support all of them, particularly the Dangote refinery, we will help them in any way possible to support them to deliver on that.
“Thirdly, which is where we come in, in the upstream as we all know, we haven’t done well, we are busy exploring for oil-producing wells but we haven’t bothered to say what additional value we can add to this country and that’s where the condensate refinery comes in.
In 2017, the Federal Government planned to stop the importation of fuel by 2019 with the approval of a new National Oil Policy by the Federal Executive Council.
The Director of Integrated Personnel Payroll Information System (IPPIS) Mr. Olufehinti Olusegun has shed more light on why the Central Bank of Nigeria, the Federal Inland Revenue Service, the Nigerian National Petroleum Corporation, and a few other agencies are not on their platform.
Mr. Olusegun explained that they are all revenue-generating agencies of the Federal Government who don’t get their personnel cost from the consolidated revenue funds.
The IPPIS boss who was on Channels Television’s Sunrise Daily on Wednesday stated that the directive of President Muhammadu Buhari was decisive and it targeted Ministries, Department, and Agencies of Government who draw their cost from the consolidated revenue funds.
President Buhari, during the 2020 budget presentation to the joint session of the National Assembly, directed that all Federal Government workers yet to be captured in the IPPIS platform risk not being paid by the end of October 2019.
The directive generated a reaction, particularly from the Academic Staff Union of Universities (ASUU) who argued that they were not under the MDA’s and such arrangement will not fit into the university system.
“It is surprising because the President’s directive was direct and decisive that all MDA’s or institutions drawing their salaries from consolidated revenue funds which are a Federal Government account is to key into IPPIS.
“The government knows that all agencies cannot be brought in at a go, but for those who get their personnel cost from the consolidated revenue funds of the FG should be brought on board.
“For CBN, FIRS, NNPC they are revenue agencies who live on cost of collection; they are revenue-generating agencies to FG so they don’t draw from the consolidated revenue funds as of today.”
He added that, “it is left to government to know what to do because it is a journey that has just started which FG believes the best way to save Nigeria scarce resources is to ensure these monies are not wasted through other means, that is why FG restricted it to consolidated revenue funds MDAs that come to request for funds.”
Mr. Olusegun revealed that between 2017 and 2018, the Federal Government realized over N273bn from MDAs and ASUU by association with the Ministry of Education, should be captured on the platform.
However, the President of ASUU, Prof. Biodun Ogunyemi, posited that going by the IPPIS arrangement, it will be impossible to welcome university scholars who come to add some support service to the system.
He said that the original design of IPPIS is meant for accountability in the civil services and universities are not part of core civil service.
“Universities welcome scholars who come for some support services to revitalise the system, but Nigeria, going by IPPIS arrangement, would not have room for that, even if a scholar in diaspora wants to come to Nigeria for one year sabbatical leave, bringing a lot of experience, the IPPIS arrangement will not accommodate such.
“IPPIS was originally designed as a program meant for professionalism and accountability in the civil service and universities are not part of MDAs of core civil service.”
The group managing director of the NNPC, the Minister of Works and Housing, the Inspector General of Police, and others, after the meeting reeled out all the plans in place to ensure a yuletide with no scarcity of petroleum products.
“We are here today to take stock of our readiness for the festive period, particularly in terms of supplies and distribution of petroleum products across the country, so that this festive period will be enjoyed by Nigerians without any hitch, particularly during the Christmas and New Year.
“We are assuring Nigerians that the NNPC has made arrangement to make adequate supply of petroleum products. If there are any issue, we have come together with other agencies of government to ensure those issues are resolved to ensure Nigerians have a very merry Christmas this year,” NNPC GMD Mr Mele Kyari said.
Also during the meeting, security plans and palliatives by the Ministry of Works and Housing to ensure safe journeys were discussed.
Fashola revealing the palliatives for roads said, “The Ministry of Works and Housing has a supporting role to play here. While construction work is ongoing on some of the routes used for moving cargo, we have met with our contractors and directed them to provide some palliatives to ease the movement of trucks and tankers.
“Some of these routes include Benin-Auchi-Okene; Warri-Sapele-Benin; Ilorin-Jebba Road; and Calabar-Itu Road.
“This is essentially to say we are giving everybody the support we can to ease the problem of moving fuel during the period.”
On the security plans for the season, the IG said adequate personnel would be deployed to beef up security during and after the season.
“December is a festive period, a period when Nigerians in the diaspora will be coming to their homeland with their families. It is expected that every Nigerian is provided with adequate security for his life and property.
“We have increased the labour of security and dedicated some officers to make sure that products are moved freely without any attempt to divert products from where that are supposed to go.”
Other stakeholders present at the meeting were the National Association of Road Transport Owners and the Petroleum Tanker Drivers branch of the Nigeria Union of Petroleum and Natural Gas Workers.