Experts Urge Investment In Refineries, Petrochemicals

The two-day international conference organised by the Centre for Gas, Refining & Petrochemicals of the University of Port Harcourt, ended recently, with a strident call on the federal and state governments to provide appropriate incentives and enabling environment for massive investments in refineries and petrochemical industries in the country.
In a communiqué read at the end of the conference by Prof. Vincent Idemyor of UNIPORT and signed by 14 VIPs representing the organisers and participants, the conference noted that the potential of the nation’s refineries and petrochemical’ sector remained largely untapped as a result of policy summersaults.
The conference specifically called for government to encourage a vibrant and robust petrochemicals industry which, it said,was critical to the nation’s economic growth; adding that Nigeria should create a progressive petrochemicals’ policy with a clear roadmap for the development of the sector.
The conference noted the great progress being made by Indorama Eleme Petrochemicals, and recommended that its business model should be emulated by all.
Other recommendations of the conference include: “there is urgent need for massive investment in the Nigerian refining and petrochemicals industry. Development in this sector will not only diversify and transform the Nigerian economy; it will provide an alternative market for the country’s crude oil and natural gas resources and make the country less susceptible to the vagaries of the international oil and gas market.
“There is need to create a national focal point for developing industries beyond fuels. Public-Private Partnership has worked at Indorama Eleme Petrochemicals. This model should be extended to all public industries in Nigeria for sustainable development.
“A necessary fiscal system that is supportive of high value hydrocarbon spin-off industries, but not dependent on cost recovery from upstream oil activities is advocated. The conference calls on government to provide various incentives to enable the sector to operate optimally.
“In Nigeria, diversification should involve varying the energy mix (from oil to gas) and from fuels to non-fuels. Diversification will result in wealth creation through employment generation, import substitution, and GDP growth.
“There is need for greater connection between university researchers, government policy makers, and the industry. The Federal Government needs to invest in research and knowledge generation for innovation and development, and to ensure continuous integration and collaboration.
“As the downstream sector continues to attract massive investments, it is very imperative that Strategic Communication should be vigorously applied at all levels and across all stakeholder groups to achieve set objectives and desired results.
“There is an urgent need for the passage of the Petroleum Industry Bill (PIB) in order to realise the full potential of the Nigerian oil and gas industry.
“There is need for government to deal with the issue of pipeline vandalisation without which the new investments in the industry cannot thrive.
“Finally, Conference called for improved political will, continued dialogue and participation at all levels for domestication policy and improved legal framework.
on indigenous technology development.”

L-R: Commissioner for Engineering, Safety and Standards, Nigerian Electricity Regulatory Commission, Mrs Mary Awolokun, Chief Executive Officer, Mr Sam Amadi and Commissioner for Legal, Licence and Enforcement, Mr Steven Andzenge, at a workshop on Nigerian Electricity Health and Safety Code in Abuja, Wednesday