Baru
Oil & GasTop Story

NNPC concerned about porous borders, says petrol smuggling on the rise

350

The Nigerian National Petroleum Corporation (NNPC) on Wednesday expressed concerns about Nigeria’s porous borders and urged stepped-up efforts to beat back sustained nefarious activities of some cross-border fuel smuggling syndicates and hoarders. 

Baru recently said that the nation lost about 148,533000 million litres of fuel to diversion during the December fuel crisis.

In a detailed presentation to the Joint Committee National Assembly on Petroleum Downstream, Dr. Maikanti Baru, NNPC GMD said that smugglers have so far impeded efforts by the Corporation to sanitize the fuel supply and distribution matrix across the country.

Baru said that if the activities of the fuel truck diverters and smugglers were left unchecked, it would be absolutely difficult to guarantee round-the-clock availability of petrol throughout the country due to the massive leakages wrought on the fuel supply and distribution network by the smugglers.

He informed that the sudden and unnatural shock in fuel consumption to record levels has over-stretched the Direct-Sale-Direct-Supply (DSDP) crude for product supply arrangement which was originally based on 35 million per day petrol consumption pattern.

He lamented that with the current unprecedented average daily fuel evacuation of 55 million litres since 1st December 2017 to date, it was imperative for the security agencies to close-in on the smuggling syndicates who were cashing in on the obvious petrol price differentials between Nigeria and neighboring countries to make illicit profit.

Dr. Baru explained that apart from straining the ability of NNPC to sustain the prevailing 100 percent PMS importation in the face of increasing cost, the current situation was impacting negatively on NNPC’s resources for servicing Joint Venture Cash-Call and other obligations.

He said to sustain adequate supply of petroleum products and national energy security, there was the need for the Federal Government to provide flush volumes in January & March, 2018, as well as create enabling environment for other oil marketing companies to participate in the importation of petroleum products.

He also noted the need to double supply in order to raise the fuel sufficiency template back to the 30 days threshold from the current 15 days by bringing in at least two vessels per day for 20 days.

The NNPC GMD, however, explained that the Corporation would require additional funding outside the DSDP regime to achieve this.

The GMD listed the measures put in place to tackle the prevailing challenges to include: Engagement of the Nigerian Navy, Federal Road Safety Corps and Civil Defence to improve truck movement; engagement of the Nigerian Army Engineers to remove failed trucks on the Jebbba/Mokwa Road which had hitherto slowed down truck movement to the northern part of the country; repairs of about 10km stretch of bad roads and sustained assistance to tankers among others.

In addition the NNPC has deployed several tug boats to help pull out grounded DPK vessel at Escravos bar which had made it difficult for PMS laden vessels to access the strategic Oghara products reception facilities and jetty among other palliatives.

He said in addition to the regular DSDP monthly programmed deliveries, the Corporation had imported 12 cargoes (nine in December, 2017, and three in January, 2018).

Responding, Chairman of the NASS Joint Committee, Senator Kabiru Marafa, charged NNPC to resolve the situation within the next seven days.

 

Leave a comment

Related Articles

NNPC Ltd. signs partnership deal with China Engineering Corporation for power project funding

The Nigerian National Petroleum Company Ltd. (NNPC Ltd.) has signed a deal...

FG plans blood donation centres in 774 LGAs

The Federal Government has announced plans to create a network of blood...

Breaking: Ajuri Ngelale, Pres. Tinubu’s spokesman, resigns

Ajuri Ngelale, the Special Adviser to President Bola Tinubu on Media and...

Fuel price hike: Hard economic decisions aimed at improving living standards – Tinubu

President Bola Tinubu has assured Nigerians that his administration’s recent fuel price...

Canadian police receive 53 vehicles, $180,300 stolen funds from EFCC

The Economic and Financial Crimes Commission (EFCC) handed over 53 recovered vehicles...

PMS Prices are Determined by Free Market Forces – NNPC Ltd.

The Nigerian National Petroleum Company Limited (NNPC Ltd) has explained that unrestricted...

Tinubu to Chinese Premier: Africa holds vast opportunities for investment, growth

President Bola Tinubu says Africa, with its vibrant population, productive economy, and...

NNPC Ltd’s $6bln debt confirms Tinubu’s truthfulness about fuel subsidy removal – Presidency

The Special Adviser to the President on Information and Strategy, Mr. Bayo...

Just in: Pres. Tinubu meets with Xi Jinping at China’s Great Hall

President Bola Tinubu kicked off his official visit to China with a...

Dangote Refinery set to flood Nigeria with 25m litres of petrol daily

The Dangote Oil Refinery will supply a total of 25 million litres...

Breaking: Dangote refinery commences petrol production

Alhaji Aliko Dangote has officially announced the commencement of petrol production at...

Wanted Briton Wynne to Nigeria Police: I’m not a fugitive, no plot against Tinubu

Mr. Andrew Wynne, a British national who was declared wanted by the...

NCAA clarifies US flight restrictions for Nigerian carriers

The Nigeria Civil Aviation Authority (NCAA) has issued a clarification in response...

Police declare British national Wynne wanted over August protests, regime change plot

The Nigeria Police have declared Andrew Wynne, a British citizen, wanted over...

#EndBadGovernance protesters face treasonable felony, plot to destabilize Nigeria in court

The Federal Government arraigned 10 protesters in Abuja court on Monday on...

NNPC Ltd. Faces Financial Strain Due to PMS Supply Costs, Impacting Supply Sustainability

The Nigerian National Petroleum Company Ltd. (NNPC Ltd.) has acknowledged recent reports...

In Ogun, abducted teenage schoolgirl wasted after N1m ransom

Two days after she was kidnapped, a 17-year-old girl and student of...

Warri, Kaduna Refinery: NNPC Ltd. targets sustained production with new maintenance, compliance measures

The Nigeria National Petroleum Company Limited (NNPC Ltd.) says it is set...

Just in: NLC Pres. Ajaero, Secretary get fresh police invitations

Joe Ajaero, the Nigeria Labour Congress (NLC) President, and the General Secretary,...

Newly appointed DSS DG assumes office, pledges covertness, studied silence

The newly appointed Director General of the Department of State Services, Mr....