Abuja, May 24, 2023 – The Federal Government is to clamp down on unlicensed fuel marketers from June 1, 2023.
Ogbugo Ukoha, the Executive Director, Distribution Systems, Storage and Retailing Infrastructure of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), said this while addressing stakeholders in Abuja on Tuesday.
He stressed that unregistered fuel dealers would not be allowed to lift supplies from June 1, 2023.
He said the objectives of the engagement were to educate operators about the urgency of obtaining the necessary petroleum storage license and to encourage the switch from white products to gas.
“If there is no compliance, we can assure you that from 1st of June, there will be no licence, no loading.
“Any depot, any licensed operator, who supplies petroleum products to an unlicensed facility, we will shut down that operator.
“I want to make a special appeal that anybody who wants to handle petroleum products in excess of 500-litre storage is required to obtain a licence.
“Our licensing procedure includes going through what your equipment is, the distance, hazards, procedures and everything.”
Ukoha advised operators to position their energy demands to accept gas derivatives in order to take advantage of the changing prospects in the gas value chain.
&uci=a!6&btvi=4&fsb=1&xpc=uoNbpRfOKv&p=https%3A//www.blueprint.ng&dtd=525 He listed the derivatives as compressed natural gas, auto gas, propane, and butane and advised that investing in them would help protect against potential future uncertainties.
Okoha said that the authority’s 12 gazetted regulations, had specified the licensing framework, practices, and standards for handling petroleum products.
Farouk Ahmed, the NMDPRA Chief Executive Officer, said the Federal Government had put in place various measures and policies to deepen gas usage in Nigeria.
He said the measures included the National Gas Expansion Programme and the Decade of Gas Programme.
“It is our hope that this engagement will create the necessary awareness and make the compelling case for industry operators to foster a compliance culture, which alone guarantees safer and sustainable,” he said.
Ahmed said that the Midstream and Downstream Gas Infrastructure Fund, which is a part of the Petroleum Industry Act 2021, would henceforth catalyse investments in gas in the country.
Ahmed said more collaboration was still required to increase domestic gas usage in Nigeria, while the efforts to expand the use of gas were already showing results.
Ahmed was represented by Mustapha Lamorde, the Executive Director, Health, Safety, Environment and Community in NMDPRA.(GBN)
