Illegal
refining of crude oil in the Niger Delta region may continue longer than
anticipated due to the failure of the Federal Government to unveil solutions it
earlier promised to stop the menace.
Experts
and leaders from the region have raised an alarm of looming hostility that
could upset oil output, frustrate budget implementation, and international
investments even as oil communities in the Niger Delta flay elusive promises by
the current administration.
The
Government had said it would build modular refineries in the region in order to
engage jobless youths, who resort to unruly operations and militancy activities
to push out 1,000 barrels of refined petroleum products daily from each of the
refineries to meet supply shortfall in Nigeria.
Modular
refineries are the smallest form of refineries, although expandable. Although
the move would douse tension, and create a sense of ownership, however, the
Ministry of Petroleum Resources could not ascertain when the projects would
become a reality, but said about three licences could be issued soon. Apart
from the three, four other applicants have also been identified especially in
Edo State, Spokesperson for the Ministry, Idang
Alibi said.
“There are three serious requests that stand a chance of getting a
licence and taking off. There are requests, particularly from Edo State. Three
are close to meeting the requirements and go offshore. The project requires so
much capital up to about $100million; that is a lot of money. So individuals
are required to come together and get foreign partnership. Then they apply and
are shortlisted, and interviewed. The Ministry is very eager to get people on
and they are working on it,”
he said.
But
some of the stakeholders, especially leaders from the region, including the
National Leader, Pan Niger Delta Forum (PANDEF), Chief Edwin Clark; National Coordinator, Pan Niger Delta People’s
Congress (PNDPC), Mike Loyibo; and
Ijaw Youth Council (IYC), led by Eric
Omare, told newsmen that they are unaware of these moves.
President,
South-South Chamber of Commerce, Industry, Mines and Agriculture (FOSSCCIMA), Billy Hillary, said: “We are not seeing any discussion going forward in that
direction. Illegal refineries are not beneficial to the country’s economy. These
refineries are springing up daily out of the need for these young men to be
engaged and economically empowered.”
Harry
said chambers of commerce across the region were directed to work with
government in achieving lasting solutions to the challenges in the region. While
Nigeria is faced with perennial fuel scarcity, record huge capital flight, and
increasing subsidy to import refined products, expectations were that efforts
to build local refineries and rectify dangers of illegal refineries would be prioritized.
Indeed,
with brimming environmental challenges, heightened security crisis, and
agitations backed by demand to make the creeks dwellers benefit from oil money,
experts are worried that lawlessness may escalate in the oil producing region
unless government acted responsibly, and honour the promise to convert illegal
refineries to modular refineries.
Past
President, Nigerian Association of Petroleum Explorationists (NAPE), Abiodun Adesanya, is optimistic that
sustainable plans on refinery in the country would go a long way to address
products supply challenges. “Strategically, modular
refinery will slow down illegality. But those things don’t happen in a day. The
problem is that government sometimes make pronouncement without the details. The
Federal Government needs to get to work with technocrats to make the plan
work,” he added.
Besides,
the operation remained a top concern for the Nigerian Navy, as it destroyed no
fewer than 1,000 illegal refineries, and arrested many suspected oil thieves in
the region between January and September of last year.
Expectations
were that government would organise the youths now engaged in illegal refining
of crude into consortia, and assist each consortium refine about 1,000 barrels
of crude daily, but government’s inability fulfill it promises has forced some
militant groups to threaten pulling out of the ceasefire agreement. Describing
illegal refinery as the highest employer of labour in the region, some of the
leaders who spoke with newsmen were very cynical of government’s commitment to
its pledge, noting requirements for establishing the refineries were too
stringent, and would deprive beneficiaries the opportunity of owning a stake in
the business.
For
instance, Clark insisted that the Government has not been transparent nor shown
needed concern on the issue. “At the moment, we don’t
know the plans of the federal government. Sometimes they will say they are
inviting people for interview, sometimes they say some people have applied. We
don’t know where they are going. You cannot say you don’t want illegal
refinery, and at the same time you have no plans connecting to modular
refinery, that’s why we are having problems in the area.”
Like
Harry, the PANDEF leader believes prioritising the plan would address the
agitations from the region. “If modular refinery has
been established with the local people fully participating in it, it will
reduce stealing and illegal refining; it will also reduce environmental
degradation. The people in the area will have something to do,” he said.
He
wants the legalisation of the illegal refineries with proper condition and
regulatory framework. PNDPC’s Labiyo recalled that the region had presented a
seven- point agenda on sustaining peace in the region, especially building
modular refineries, which has not been considered.
“This is a scam. Our people came together, some contributed money,
some formed cooperatives, but as I speak to you, nothing has happened. We are
no longer interested. It is glaring that this administration does not keep
their words. The Niger Delta is key to the economy of this country. But
government has failed to recognise this fact. Building modular refineries in
the Niger Delta will end the agitations from the region. We feel that we own
the oil, and there is need for government to allow us to benefit and
participate in management,”
Labiyo said.
IYC’s
Omare noted that the government’s promise to create modular refineries is a
mere political statement. He said: “What we advocated
for the Federal Government is to give legal access to the local refiners to get
crude oil, and secondly, help them to acquire some technological know-how so
that their activities will not be hazardous on the environment.”(Guardian)
Hmmm!!! Folks, have you ever
imagined how the financial status of your firm will be when more than 20,000
CEOs and other key decision makers of blue-chip corporations pay for your
products and services or even give you very juicy deals. The link below will
tell you more: http://www.tectono-business.com/2015/07/tectono-business-review-in-conjunction_21.html
Have you heard this? Many
Nigerian exporters have been defrauded of huge amount of money in the process
of exporting commodities to foreign countries. Do you know why? They were not
trained on export operations, management, documentations and the best methods
of payment in export trade. This is terrible!!! Nigerians cannot continue to
lose money to foreigners in the course of export business. Exporters, why don’t
you get a practical manual that teaches the stages of export trade from
processing and packaging of commodities to receipt of payment by the foreign
buyers. It teaches export operations, export management, export documentations
and methods of payment in export trade? It is a contemporary step-by-step guide
to export trade. It tells all the contemporary dynamics in export trade. To get
it, click on the link below:
No comments:
Post a Comment