MOMAN calls for restructuring of the downstream sector

The Major Oil Marketers Association of Nigeria ( MOMAN) has said that, the restructuring of the downstream sector should be put in the front burner.

Addressing selected journalists in Lagos, the Chairman, MOMAN, Mr Adetunji Oyebanji condemned the delay in the passage of the Petroleum Industry Bill (PIB), saying the speedy passage bill will eliminate oil theft and leakages in the system, optimize supply chain, lead to introduction of alternative energies and also ensure regular and consistent maintenance of the distribution infrastructure.

“All these are paramount aspects of the downstream sector, which the Petroleum Industry Bill (PIB) will help the country to resolve once and for all”, he stated.

The MOMAN boss disclosed that, the association recently attended a working session under the direction of the Group Managing Director, Nigerian National Petroleum Corporation, Mallam Mele Kyari, designed to curb and eliminate fuel theft in the downstream sector.

He said, the association in no way condones fuel theft, adulteration and illegal refining of petroleum products by unlicensed entities.

Oyebanji stressed that they are in full support of the federal government drive for the full exploitation of the country gas reserves, including deepening the use of Liquefied Petroleum Gas (LPG) and Compressed Natural Gas( CNG), he added that ” to develop CNG as a cleaner and more affordable alternative to Premium Motor Spirit (PMS) is a key objective of this policy”

He revealed that, the association is prepared to invest in the safe installation of LPG and when the time is right CNG facilities in its stations across the country, which will in turn eliminate the unsafe practice of dispensing LPG through unlicensed roadside vendors.

He reiterated that, with respect to CNG , MOMAN would encourage immediate engagement with the private sector in order to identify policy measures that will make the Petroleum deployment of CNG at retail outlets a reality in the shortest time and also collaborate with government and other stakeholders in implementing the initiative.

Oyebanji said, one of the major challenges facing the sector has been the age of the truck fleet , averaging 30years.

He emphasised that, the absence of modern safety measures feature such as antiskid, antirollover, onboard cameras in trucks are major reasons for the truck accident but the association in partnership with NNPC and other stakeholders are developing an initiative to engage finance industry on the funding of truck fleet renewal scheme , which they believed would contribute significantly to the reduction of loss of lives and property engendered by the distribution of petroleum products.