Fuel scarcity: Reps mandate NNPC Ltd. to establish more petrol depots
Oredola Adeola
As part of measures to address incessant fuel scarcity across the country, the House of Representatives has urged the Nigerian National Petroleum Company Limited,NNPC Ltd, to open more petrol depots across the country to urgently curb the crisis caused by the products unavailability.
This was the resolution of the House during the plenary session held on Thursday, when an order was later given to the Committee on Petroleum Resources (Downstream) to ensure compliance of the legislative rule.
EnergyDay’s check revealed that there are about 5,120 kilometres of pipeline network, 21 storage depots, nine (9) LPG depots, booster pump stations and jetties specifically established by NNPC originally linked to the now abandoned four refineries, two in Port Harcourt (PHRC), and one each in Kaduna (KRPC) and Warri (WRPC) that have not been processing crude oil since February 2021.
The Legislature also called for proper regulation of the operations of private depots that received supplies from the NNPC only to resale at exorbitant prices to pump stations.The House passed the resolution during plenary in Abuja after considering a motion on “Need to Establish More Petrol Depots in Nigeria” It was moved by Rep. Uju Kingsley.
The motion reads, “The House notes that there are insufficient depots to store petroleum products in Nigeria.
“Also notes that an estimated 100 million litres of bad petrol imported in Nigeria have caused fuel scarcity in Nigeria with the consequent effect of adulteration of the product by roadside black market vendors;
“Concerned that proliferation of adulterated petrol has caused severe damage to vehicle engines & inflicted more pains on people & despite seeming efforts to address the fuel scarcity, long queues & shortage of the product still persist at fueling stations across the country.
“Aware that according to media reports, in a rare admission of responsibility, the Nigerian Petroleum Company Limited NNPCgroup accepted that there had been a lapse in its supply chain.
“Also aware that according to information available on the official website of the NNPC, Nigeria has 5,000 kilometres of pipeline network, twenty-one (21) storage depots and nine (9) LPG depots which are grossly inadequate to effectively serve the 36 States of the country as well as the Federal Capital Territory, hence the recurrent fuel scarcity.
“Disturbed that many other depots are owned by private individuals who receive fuel from the NNPCgroup and then sell at exorbitant prices, causing unnecessary irregularities in the price of the product across the country.
“Cognisant that if more fuel depots are established, fuel scarcity will be curbed while more employment opportunities will be created as a result, thus improving the country’s economy.
“Resolves to urge the Nigerian National Petroleum Company Limited NNPCgroup to establish and equip more depots across the country and strictly regulate the operations of private depot owners.
The House of Representatives therefore gave the mandate instructing the Committee on Petroleum Resources (Downstream) to ensure compliance.
EnergyDay’s check showed that most of the depots have been abandoned due to negligence and vandalism. They have been in disuse for some time, while only a few of the depots in the Southwest are active, others have gone moribund and inactive.
Petrol tankers and trucks are used instead for the bridging of products to other states of the federation from the few functional depots, while NNPC has continued to distribute most of its product especially PMS through private storage depots.
Further investigations by EnergyDay show that most of the abandoned Government owned depot systems with mainline and booster pump stations are managed by the Petroleum Products Marketing Companies(PPMC), and are administered under five zones known as operations areas.
The five administrative area offices are: Port Harcourt, Warri, Mosimi, Kaduna and Gombe are managed by Area Managers.
Port Harcourt depot are include; Okirika jetty; Aba, Enugu, Markudi Calabar depots as well as Bonny export terminal.
The Warri depot, Warri Jetty, Benin depot, Abudu, Auchi and Lokoja pump stations, and Escravos terminal.
The Mosimi area office has Mosimi depot, Atlas Cove Jetty and depot, Satellite (Ejigbo Lagos), Ibadan depot, Ore, and Ilorin depots. At the moment only the Ejigbo Lagos depot is active, while efforts are made to load others.
Kaduna depot, Abaji, Izom pump stations, Minna, Suleja depots and Sarkin Pawa, and Zaria pump stations, Kano and Gusau depots.
The Gombe area office has Jos, Gombe, Yola depots, Biu pump station and Maiduguri depot.
However, EnergyDay gathered that if the monitoring and compliance measures by the House of Representative Committee are enforced, operational performance of some of the depots can be improved upon.
