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Lawmakers Task Coys, Nigerians On Solutions To Adulterated Fuel

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Following the influx of adulterated fuel products into Nigeria, the House of Representatives’ Joint Committee on Petroleum Resources (Midstream and Downstream) has called on oil companies and stakeholders in the nation’s oil and gas sector to among other things submit proposals highlighting how to address and combat the menace.
The proposals are needed ahead of the lawmakers’ public hearing, following the committee’s forensic investigation into the challenges affecting the midstream and downstream petroleum sectors in Nigeria.
The call was made in a Press Release signed by the Spokesman of the committee, Rep. Akin Rotimi, and published on the Committee’s Facebook page on Thursday, August 1.
According to the release, Chairman of the Joint Committee of the House, Ikenga Imo Ugochinyere, disclosed that the joint committee was investigating allegations of production and importation of substandard fuel products and non-supply of crude to domestic refineries.
He said the initiative was empowered by Sections 88 and 89 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended), which authorizes the National Assembly to conduct investigations.
Ugochinyere also stated that the investigation followed a resolution of the House on July 9, 2024, mandating the inquiry to address issues within these critical sectors.
“In view of this, the Joint Committee (Midstream and Downstream) invites stakeholders, petroleum industry experts, private oil companies, and the general public to submit memoranda to assist in this comprehensive investigation”, the statement partly reads.
It continued that “Issues each proposal should address include: Resurgence of fuel queues at petrol stations; unavailability of fuel stock for downstream domestic refineries; disruption of the distribution of PMS products; unfair subsidization of PMS and other petroleum products, racketeering, and favoritism in the Pro Forma Invoice (PFI) system; Indiscriminate issuance of licenses and importation of refined petroleum products.
“Alleged return of PMS price intervention; Allegation of product unavailability to marketers from NNPC Retail, endless shifting of timelines for refinery rehabilitation, and nefarious activities at petrol depots; unavailability of laboratories to check adulterated products; influx of adulterated products into the country; allegation of non-domestication of profits realized from crude marketing sales in local banks, and abuse of the PFI regime.
“Importation of products already being produced in Nigeria; use of international trading companies to resell fuel stock to local refineries.
“Also is the allegation of the return of subsidy on downstream PMS products; Unclarity about the exact landing cost of PMS reduction in retail price and its impact on downstream operations; Allegation of importation of substandard products and high-sulphur diesel into Nigeria; sale of petroleum products below fair market value impacting downstream and local refineries, and sources of funds for price interventions; Lack of support for local crude refiners”.

It also included “high cost of Premium Motor Spirit (PMS) and lack of clarity on PMS landing costs; Allegations of unfair subsidization, racketeering, favoritism in the Pro Forma Invoice (PFI) system, and abuse of the PFI regime.

“Presence of middlemen in trading; Importation of locally produced products like jet fuel and AGO; alleged return of PMS subsidy and issues surrounding the subsidy regime; Importation of substandard/high-sulphur diesel; failure of regulators like the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Nigerian Upstream Petroleum Regulatory Commission (NUPRC) to enforce compliance and standards; forward sales, revenue from it, and its impact on domestic crude availability; sustainability of the ongoing endless turnaround maintenance of refineries.

“Alleged non-completion of the merger of OVH and NNPCL retail, and other challenges in the merger; Allegation of introduction of monopoly in petroleum products production; Sharp practices at depots and non-availability of petroleum products after payment; main causes of fuel availability crises, high costs, and alleged racketeering by marketers; demand for a ban on the importation of PMS and other petroleum products”.

The lawmakers stressed that the memoranda should highlight concerns, challenges, and proposed solutions to the issues.

“Submissions must be delivered in 10 hard copies, accompanied by two flash drives, to the office of the Clerk, Committee on Petroleum Resources (Downstream), Room HB. 44, White House, National Assembly, Abuja, by Wednesday, August 14, 2024.

By: Lady Godknows Ogbulu

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Oil & Energy

MIND Slams PENGASSAN, Urges Senate Probe Over Alleged Maltreatment Of Nigerians At TotalEnergies

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The Movement of Intellectuals for National Development (MIND) has  criticized the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) over what it describes as an evasive response to allegations concerning the treatment of Nigerian employees at TotalEnergies.
In a statement issued by its Western Coordinator, Ebi Warekromo, MIND expressed disappointment at PENGASSAN’s attempt to distance itself from a petition submitted to the President of the Nigerian Senate, maintaining that its petition is grounded in verified evidence and first hand accounts from affected workers.
Warekromo noted that the submission draws extensively from documented correspondence originating from PENGASSAN’s local branch communications that previously raised concerns about unfair labour practices and managerial misconduct within TotalEnergies.
Among the critical issues highlighted are allegations of workplace bullying and intimidation allegedly perpetrated by certain expatriate staff.
The petition also cites serious security concerns and alleged violations of the Nigerian oil and gas industry content development (NOGICD) act, particularly claims that expatriate positions have been unlawfully extended beyond their approved tenures.
Warekromo who dismissed PENGASSAN’s characterization of the documents as merely ‘internal correspondence’ as weak and disingenuous, insisted that workers’ rights violations and systemic oppression cease to be internal matters once they begin to harm Nigerian employees.
The group argued that confidentiality must not be used as a shield for injustice, stressing that internal dispute resolution mechanisms must deliver measurable outcomes.
Where such mechanisms fail, MIND insists that public and legislative oversight becomes necessary
beyond the immediate allegations, questioning PENGASSAN’s independence and effectiveness in representing its members.
The group urged the union to welcome a Senate hearing, describing it as an opportunity to clarify its position, restore credibility, and rebuild trust among workers.
“We are not attacking PENGASSAN. We are responding to the absence of effective representation that has allowed these oppressive practices to persist unchecked”,
MIND emphasised its belief that when unions appear reluctant to act decisively, civil society organizations have a responsibility to intervene in pursuit of justice and equitable labour relations.
Calling for a collaborative response, the group urged workers, unions, regulatory authorities and industry stakeholders to work together toward fostering a healthier and more accountable environment within Nigeria’s oil and gas sector.
It further reiterated its unwavering commitment to defending the rights of Nigerian workers and urged PENGASSAN to take concrete and transparent steps to fulfill its mandate as a labour union.
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Elumelu Tasks FG On Power Sector Debt Payment 

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Chairman of Heirs Holdings, Transcorp and United Bank for Africa (UBA), Tony Elumelu, has urged the Federal Government to fast-track the settlement of debts owed to electricity generation companies (GenCos).
Elumelu said that the timely payment was imperative to boosting power supply and accelerating economic growth.
Speaking to State House correspondents, shortly after the meeting with President Bola Tinubu, at the Presidential Villa, Abuja, Weekend, Elumelu insisted that the debt payment would aid in revitalising the power sector and stabilising the economy while strengthening the Small and Medium-scale Enterprises (SMEs).
He said “All of us who are in the power sector are owed significantly, but in spite of that, we continue to generate electricity. We want to see the payments made so that there will be more provision of electricity to the country. Access to electricity is critical for the development of our economy.”
Elumelu, whose conglomerate has major investments in Nigeria’s power industry, stressed that improving electricity supply remains one of the most important enablers of economic expansion, job creation and industrial productivity.
According to him, President Tinubu recognised the urgency of resolving the liquidity challenges in the power sector and is committed to addressing legacy debts to ensure generation companies can scale operations.
“The President realises it, embraces it and is committed to doing more, especially helping to fast-track the payment of the power sector debt so that power generators can do more for the country. That is very, very critical,” he added.
In his assessment of the outlook for 2026, he said growing macroeconomic stability, improved foreign exchange management and sustained reforms in the power sector could position Nigeria for stronger growth — provided implementation remains consistent and structural bottlenecks are addressed.
Elumelu posited that one priority stands out, which is: resolving power sector liquidity challenges to unlock increased electricity generation and energise the Nigerian economy.
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Oil & Energy

‘Over 86 Million Nigerians Without Electricity’ 

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Nigeria has been said to have more than 86 million of its population still without access to electricity.
The Deputy Secretary-General of the United Nations, Amina J. Mohammed, stated this at the Award Ceremony of the Leadership Newspaper, in Abuja, last Thursday.
Mohammed noted that sixty per cent of the world’s best solar resources are on this continent adding that by 2040, Africa could generate ten times more electricity than it needs, and entirely from renewables.
Mohammad regretted that Africa now receives just two per cent of global clean energy investment saying, “And here in Nigeria, more than 86 million people still have no access to electricity at all.”
Expressing concerns over the large population of Nigerians living without access to electricity, the deputy scribe, said however, that Nigeria is responding to this challenge the right way insisting that under President Tinubu’s leadership, Nigeria has developed a best-in-class action plan for climate, one that treats climate not as a constraint but as an engine for growth.
According to her, by placing energy access, climate-smart agriculture, clean cooking, and water management at the heart of its development agenda, Nigeria is showing what serious climate leadership looks like but Nigeria cannot close the climate action gap alone.
 “Developed countries must the triple adaptation financing, we need for serious contributions to the Loss and Damage Fund, and mobilize 300 billion dollars per year by 2035 for developing countries to succeed. Early warning systems need to reach everyone, so that communities have the means to prepare for climate shocks before they hit.
“And as Africa drives the global renewables revolution, including through its critical minerals, Africans must be the first and primary beneficiaries of the wealth that they generate”, Mohammed stated.
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