Worried by continuous delays and frequent timeline misses on the completion of the ongoing rehabilitation of the three national refineries, namely the new Port Harcourt refinery, and the Warri and Kaduna refineries, the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has urged the federal government to establish timeliness on the project.
The association, which expressed concerns over the persistent delays in the completion of the projects by the Nigerian National Petroleum Company Limited (NNPC) and its contractors, called on President Bola Tinubu to intervene and set up a high-level facilitating panel.
PETROAN made the call on Monday in a statement signed by its National Public Relations Officer, Dr. Joseph Obele.
The group said that despite numerous assurances from the NNPC and its officials, the projects have suffered repeated setbacks, with completion deadlines being missed multiple times.
While the group acknowledged and applauded the commencement of the Old Port Harcourt refinery with the capacity of 60,000 barrels per day, it stressed the urgent need for commissioning, transparency, and accountability of the second Port Harcourt Refinery with the capacity of 210,000 barrels per day, the Warri refinery and the Kaduna Refinery.
PETROAN therefore demanded that the NNPC provide a specific and realistic timeline for the completion and commissioning of the refineries, especially the second Port Harcourt Refinery rehabilitation project.
The association argued that when completed, the second Port Harcourt refinery would serve the whole of system 2E, comprising about 13 states, adding that this will reduce the cost of logistics/transportation of petroleum products from Lagos to the system 2E areas.
It said the current cost of transportation was highly exorbitant and affects the affordability of petroleum products in System 2E areas, adding that Nigerians and stakeholders want to know the exact date of delivery of the revamp project.
The statement further read, “The Nigerian people deserve clarity on when they can expect the refineries to commence operations and contribute to alleviating the nation’s fuel scarcity challenges.
“We call on the relevant authorities to ensure that the NNPC adheres strictly to the contract timeline, once provided, and maintains regular communication with stakeholders on the project’s progress.
“Given the worrisome nature of these delays and their far-reaching implications for the nation’s economy and welfare, PETROAN calls on President Bola Tinubu to intervene by setting up a high-level facilitating panel.”
To identify bottlenecks, provide solutions, and ensure the project’s timely completion, the Billy Grillis Harry-led body also suggested that the panel should comprise relevant stakeholders, including representatives from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Nigerian Upstream Petroleum Regulatory Commission (NUPRC), NNPC, Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).
Others suggested included the Major Energies Marketers Association of Nigeria (MEMAN), Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), PETROAN, and other industry experts.
According to the statement, the National President of PETROAN, Harry, stated in Abuja while addressing newsmen that the commencement of operations at the 210,000 barrels per day capacity refinery at Alesa Eleme, the 125,000 barrels Warri refinery, and the 110,000 barrels per day Kaduna Refinery will improve Nigeria’s petroleum sufficiency and positively impact price stability.
However, he lamented that the project was running behind schedule.
“The continuous delay in the completion of the Port Harcourt Refinery rehabilitation project and other refinery projects is unacceptable, and Nigerians deserve to know when the projects will be completed. The huge amount borrowed for the projects should be a serious concern to all citizens, and we will demand accountability for every naira spent on this project,” the PETROAN president stated.
PETROAN commended Tinubu for appointing Bayo Ojulari as the Group Chief Executive Officer of NNPC, describing him as a round peg in a round hole.
The association called on the GCEO to see this glorious appointment as a call to national duty and put in his best to save the industry.
PETROAN noted that the current vacancy in the office of the Managing Director of the Port Harcourt Refinery could be a significant barrier to the project’s progress.
It recommended that the Group Chief Executive Officer of NNPC should appoint a substantive managing director for the Port Harcourt Refinery in the shortest possible time.
“This appointment would provide the necessary leadership and direction to drive the project forward and ensure its timely completion.
“The prolonged delay in the refinery’s completion not only undermines the nation’s efforts to achieve self-sufficiency in petroleum products but also exacerbates the economic hardship millions of Nigerians face.
“It is imperative that decisive action is taken to bring this project to fruition without further delay,” the statement concluded.
Meanwhile, the National President of PETROAN, Dr.Billy Gillis Harry, while speaking with journalists, stated that the commencement of operations at the 210,000 barrels capacity refinery at Alesa Eleme would improve Nigeria’s petroleum sufficiency and impact positively, price stability.
Harry lamented that the project was delaying beyond schedule, stressing that, “The continuous delay in the completion of the Port Harcourt Refinery rehabilitation project is unacceptable, and Nigerians deserve to know when the project will be completed.”
He said: “The huge amount borrowed for the project should be a serious concern to all citizens, and we will demand accountability for every naira spent on this project.”