Opinion
NNPC And The Road Task Scheme
What do we call the recent story about the federal executive council (FEC) approving N621.2 billion for the Nigerian National Petroleum Corporation (NNPC) to take over the reconstruction of 21 federal roads across the six geopolitical zones of the country? Misplaced priority? Another drain pipe? Or what? As usual, a beautiful story was coined and sold to Nigerians to make them see reasons with the plan. The interesting tale is that the National Union of Petroleum and Natural Gas Workers (NUPENG) had decried the loss of its members and property to dilapidated roads — but NNPC appealed to the union to shelve the planned strike and accepted to rebuild some roads.
The Executive Order No. 007 signed by President Muhammadu Buhari in 2019, was latched on by the NNPC to embark on the construction of 21 roads across the country. E07 of 2019 or “the scheme”, according to records is a strategic intervention under the Federal Government Road Infrastructure and Refreshment Tax Credit Scheme which allows the private sector to deploy in advance the taxes they would pay for infrastructure development. While some people criticised the initiative, others have applauded it, saying it will bring about speedy infrastructural development in the country.
But the purpose of this article is not to examine the pros and cons of Executive Order No. 007. My concern is rather why the national oil company should dabble into road construction when it has not delivered on its primary responsibility of ensuring energy security in the country. Currently, none of the nation’s four refineries is working. Sometime last year, the government announced for the umpteenth time that the refineries would soon come back to life. The Minister of State for Petroleum, Timipre Sylva, specifically told the nation that the Port Harcourt refinery would become operational again before the end of the year.
That was never to be. Some days back, yet another promise was made. This time around the Group Chief Executive Officer of the Nigerian National Petroleum Company (NNPC) Limited, Mele Kyari, stated that the facility had been completed and that operations at the 60,000 barrels per day refinery would commence in the first quarter of 2023. No thanks to the Russian/Ukrainian war, many oil producing countries have become richer as the war has resulted in the increased price of oil in the international market. But here, in Nigeria, we have gained nothing. Instead, we are suffering even more than those that are not blessed with crude oil because our refineries are not working. We have to export our crude oil and import the refined product at a very high
Fuel scarcity has become almost a permanent thing in many parts of the country. In the Federal Capital Territory for instance, there has not been a whole month of lack of fuel since February last year. Currently, the situation in the FCT is very precarious. People spend hours/days at petrol stations struggling to get the product for their daily uses. Even in the states where there is no scarcity, the price of the commodity is way above the approved pump price. In some places, it is sold for as high as N300.00 per liter at the filling stations. Owners of filling stations now seem to be at liberty to fix whatever prices they like for the product.
The big question is, since NNPC is so buoyant, why don’t they fix the refineries so that importation of fuel will stop and Nigerians can have petrol in their cars without hassles? Meanwhile, the same NNPC, now a limited liability company, is reported not to have made any remittances into the federation account from revenues generated for several months now, blaming it on billions paid as a shortfall for the importation of petrol (subsidy). Again, since under the watch of the NNPC, even with the president as the Minister for Petroleum, the nation’s refineries have remained non-functional for many years, what is the assurance that the roads they will construct will work?
What will be the quality of these roads? Will this not go the way of other government projects in the country where one project is budgeted for almost every year with outrageous sums of money released, yet there will be little or nothing to show for it? Who will monitor these projects to ensure compliance with the best standard? As some people have also rightly asked, is the NNPC now so free to dip its hands into the nation’s oil revenue and use funds generated for the nation and expend the funds to build roads rather than paying it into the nation’s account and allowing the Federal Ministry of Works to perform its constitutional role?
Some valid concerns have also been raised about the spread of the projects across the various geopolitical zones in the country. According to the Minister of Works and Housing, Babatunde Fashola, nine of the selected projects will be in north-central, three in north-east, two in north-west, two in south-east, three in south-south, and two in south-west. Is there any reason why one zone will have nine of its roads constructed while another zone will get only two? What is the rationale behind it? Those that should know have always posited that the cost of road construction in the Southern part of the country far outweighs that of the north because of the topography of the regions and other environmental factors. The same goes with the durability of the roads.
It therefore should have been expected that the southern part of the country, particularly the South- South should have been considered more in the allocation of the project or better still, let every zone get equal attention. Yes, almost every part of the country has some death traps called roads but some are worse than the others. For instance the Enugu/Makurdi/Abuja road is in a very sorry state and it is shocking not to see it among the roads to be handled by the benevolent NNPC. Any reasonable person that plies this road would wonder how an important road that links the South-East with the North and vice versa should be allowed to deteriorate so much.
From Otukpa, Benue State down to Obollo Afor Enugu State, the road is a no, no. The worst spots are Inyi and Amala Egashi, Enugu State. The coal tar on these portions of the road had since been completely washed out and the road had turned deep gullies. You ply the road with your heart in your mouth, seeing heavy duty vehicles and trailers drive through the gullies with their loads. Nigeria is in dire need of unity and those in authority both now and in the future should be seen to be championing the course of a united country through appointment of people into government offices, allocation of projects and many more.
All this lopsidedness in the affairs of government, favouring one particular region or tribe at the detriment of others can only fuel the cry for marginalization and deny the country the much needed peace and unity. Most importantly, NNPC should first of all tackle the issue of the crisis in the energy sector in the country – oil theft, non-functional refineries, fuel scarcity, corruption and many more, before talking of constructing roads. Again, the Road Infrastructure and Refreshment Tax Credit Scheme of the federal government may be a good idea but considering the level of corruption and insincerity in the country, will it yield the best result?
By; Calista Ezeaku
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