NNPC may spend N201bn to clean 170.25m litres of dirty fuel
The Nigerian National Petroleum Company Limited may need an estimated N201bn worth of clean Premium Motor Spirit (petrol) to bring 170.25 million litres of adulterated products imported the country up to standard, an analysis of industry data has shown.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority had said on Tuesday that for every 200 litres of adulterated product, 800 litres of petrol with good quality would be required for the blending that would be done.
“All the off-spec material (product) will be re-blended to very good quality and it will be certified and re-certified before it goes into the market. The component that was in excess was methanol; what we agreed was that for every 200 litres of the affected volume, we need about 800 litres to blend”, the Chief Executive Officer, NMDPRA, Mr. Farouk Ahmed, had said during a visit to some depots in Lagos on Wednesday after a meeting with industry stakeholders.
The regulator, had on Tuesday, said a limited quantity of PMS with methanol quantities, above Nigeria’s specification was discovered in the supply chain.
The 201bn is a conservative estimate, as there are other costs that would be associated with the re-blending.
However, the quantity of the other two cargoes remained unknown as of the time of the filing of this report.
Meanwhile, the President Muhammadu Buhari, on Thursday in Abuja, directed service providers to fully disclose relevant information concerning the consumption of their products and compensate dissatisfied consumers.
The Senior Special Assistant to the President on Media and Publicity, Garba Shehu, disclosed this in a statement on Thursday, titled, “Providers of substandard fuel must be held accountable, directs President Buhari”.
Sylva had on Wednesday hinted that the government would look into possible compensation for Nigerians whose automobiles had been damaged by the contaminated fuel.
Shehu’s statement, however quoted the president as saying that he had ordered that producer and providers of consumable products be held accountable for substandard services and for products sold by them.
“The president has also given the directives to the relevant agencies to take every step in line with the laws of the country to ensure the respect and protections of consumers against market abuses and social injustices”.
Reacting to the petroleum product shortages, Buhari said the protection of consumer interests was his regime’s priority, adding he was ready to take all necessary measures to protect consumers from hazardous products, loss or injuries from the consumption of substandard goods.
