Oil & Energy
Cost Of Kerosene Soars In Enugu, Edo
The cost of obtaining kerosene for domestic cooking needs is fast getting out of reach of the common man in some parts of Enugu, the coal city, and environs.
Our source in Enugu said on Saturday that the cost per litre of kerosene has increased by between 200 per cent and 250 per cent of the approved pump price of N50 per litre.
At various dispensing outlets in Enugu, reports indicate that the price now ranges from between N150 and N170 per litre.
At the C & C Filling Station, Agbani Road, the product now sells for N170 per liter while at African Petrol Filling Station, Coal Camp, Enugu, and Avis Station at Coal Camp, the product sells for N150 per liter.
Retailers sell a beer bottle of kerosene for N180.
A trader who retails the product in bottles at Umuoji Street, Mrs Ifeoma Eke, sells a beer bottle of the product at between N180 and N200.
Chief Chukwudi Ezinwa, Chairman, South East Zone of the Independent Petroleum Marketers Association of Nigeria (IPMAN) explained in an interview that kerosene has partially been deregulated.
He said the development could account for the frequent scarcity of the product.
Meanwhile, residents of Auchi, Edo State, have resorted to the use of charcoal and firewood for cooking as scarcity of kerosene persists around the country.
Investigations revealed that most filling stations in Auchi and its environs have long run out of kerosene with a few still managing to sell the product at N160 per litre.
Black marketer operators, who are found mainly around major street junctions in Auchi, sell a litre of kerosene for between N200 and N250.
Mrs Edith Elajah and Munirat Audu said the scarcity of the product and its attendant high cost had forced them into using firewood and charcoal for cooking, adding that even firewood and charcoal had become expensive because of the demand for them.
At the only filling station on Igbe Road where kerosene was being sold in Auchi on Saturday, an official who does not want to be mentioned, said that the price of the product was determined by the cost of importation.
With the scarcity of kerosene in Asaba, the Delta State capital, and its environs, firewood, which was seen as a cheaper alternative, has also become expensive.
In the Delta capital, a litre of kerosene currently sells at N150 in filling stations while costing between N200 and N500 in the various black market spots in the city.
Investigations revealed that a small bundle of eight pieces of firewood, which was sold at N350 toward the end of 2010, currently sells at between N500 and N600.
The same quantity of firewood, it was gathered, was sold at between N150 and N200 in 2009.
Apart from Asaba and Isele-Uku, the high price of firewood was also noticeable in Agbor, Ogwashi-Uku, Akwukwu-Igbo and other communities in the area.
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Delta Targets 120MW Power Boost, Moves To Cut Reliance On National Grid
The State Commissioner for Works (Rural Roads) and Public Information, Charles Aniagwu, disclosed this at a press conference in Asaba, weekend, noting that the initiative was part of wider reforms aimed at opening up the power sector to private investors.
Aniagwu, who was accompanied by the Executive Assistant to the Governor on New Media, Felix Ofou, said the state was exploring alternative sources of electricity to support businesses, households and communities while reducing pressure on the national grid.
He said the government was particularly interested in exploiting Delta’s abundant natural gas resources for power generation, pointing to the Kwale Free Trade Zone, which is part of the state’s special economic zone, as a major opportunity for investors.
According to him, prospective investors were taken to the zone during the state’s recent economic summit to enable them to assess the availability of gas as a key raw material for electricity generation. ComparePower Rates
The commissioner explained that generating more electricity locally would not only increase supply in Delta but also free up power on the national grid for use by other consumers.
Aniagwu cited the 8.5MW Independent Power Plant located behind the state secretariat in Asaba as an example of what could be achieved through alternative power sources.
He said the facility had enabled the secretariat complex to operate independently of the national grid, thereby making the electricity that would otherwise have been consumed there available to other users.
He added that the planned 120MW partnership with Supply Power would further strengthen the state’s electricity supply capacity and provide a more reliable power base for small and medium-sized enterprises.
Aniagwu said the state government was also intervening in areas traditionally regarded as the responsibility of electricity distribution companies because inadequate power supply could no longer be allowed to constrain economic development. LearnQuantum Physics
He identified the extension of the electricity grid from Abraka towards the Ndokwa axis as one of the interventions being undertaken to connect more communities to electricity.
The commissioner, however, raised concerns over the burden placed on communities that are often required to provide transformers and other electricity infrastructure, only for distribution companies to take over the facilities and subsequently collect electricity bills without adequately accounting for the investments made by the communities.
He said the state would continue to support efforts aimed at energising communities, noting that improved electricity supply would stimulate businesses, create jobs and help tackle social problems associated with unemployment and idleness.
On regulation, Aniagwu said the government was working with the Ministry of Energy and a committee set up to develop an appropriate regulatory framework for the state’s emerging power sector. SwitchEnergy Plans
He said the proposed energy commission would be responsible for regulating new electricity producers, determining appropriate tariffs and overseeing distribution networks.
The commissioner stressed that liberalising the sector required effective regulation to protect consumers and investors, adding that decisions on power distribution infrastructure, including the use of overhead or underground lines, must take into account the peculiarities and safety requirements of each location.
He warned that power expansion without adequate regulation could expose residents to electrocution and other hazards, stressing the need to protect electricity infrastructure while ensuring consumers were not subjected to unfair pricing.
Aniagwu said the state government’s broader objective was to build an efficient and sustainable electricity market driven by private investment and capable of powering businesses, households and communities across Delta State.
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