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Petroleum Imports Gulp N2.2trn In Nine Months, NBS Confirms

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The Federal Government spent N2.17trillion in the first nine months of 2020 on importation of petroleum products into the country.

The petroleum products, according to the latest data obtained from the National Bureau of Statistics (NBS), consists of mineral fuels like Natural gas, oil, Bituminous coal, amongst others.

A breakdown of the nation’s spending on the importation of these products shows that a total of N1.25trillion was spent in the first quarter of the year, Q1’20, represented by N662.2billion, N290.6billion and N299.8billion in January, February and March.

Apparently, due to the outbreak of the Covid-19 pandemic which led to a nationwide lockdown, the spending on the importation of petroleum products declined significantly in the second quarter of the year (April to June) to N221.3billion.

The nation’s petroleum import for Q2’20 shows an 821% decline when compared to the first quarter import statistics.

However, in the third quarter of the year, the country recorded another sharp increase in spending on petroleum products importation at N700.4billion, at the time the government relaxed the lockdown.

Europe topped Nigeria’s highest source of the imports, as a total of N593.3billion was spent in sourcing the products from the continent, while Asia came second with N61.4billion, followed by America N37.2billion.

Surprisingly Nigeria also imported petrol from African countries spending a total of N8.6billion.

Meanwhile, stakeholders across the nation have continued to lament on the state of the nation’s petroleum industry.

Available statistics show that Nigeria holds 37 billion barrels of proven oil reserves as of 2016, ranking 10th in the world and accounting for about 2.2 per cent of the world’s total oil reserves of 1.65 trillion barrels.

Nigeria has proven reserves equivalent to 237.3 times its annual consumption.

This means that, without Net Exports, there would be about 237 years of oil left (at current consumption levels and excluding unproven reserves).

Globally, Nigeria stood at 37th in oil consumption, accounting for about 0.4 percent of the world’s total consumption of 97 million barrels per day.

Nigeria consumes 0.10 gallons of oil per capita per day or 35 gallons per capita per year.   Refineries operations Nigeria also have four refineries situated at Kaduna, Warri and two in Port Harcourt, but they are all in a series of challenges plaguing the fate of its productivity, as they have failed to produce any petroleum product in the past three years.

Despite this abundance the nation’s four refineries processed no crude and combined yield efficiency is zero percent in the first nine months of 2020.

Though industry authorities have claimed that this flat output was, due, largely to on-going rehabilitation works in the refineries, records show that the output position has been less than 10 percent of installed capacity in the last 10 years.

However, the authorities are of the view that despite the deplorable operational state attributable to the ongoing revamping of the refineries, the efforts are expected to further enhance capacity utilization once completed. In its latest operational report, the Nigeria National Petroleum Corporation (NNPC), stated that, “The Corporation has been adopting a Merchant Plant Refineries Business Model since January 2017. The model takes cognizance of the Products Worth and Crude Costs.”

A cumulative of the combined value of output by the four refineries (at Import Parity Price), along with the operational expenses in the first eight month of 2020 amounted to an operating deficit of N74.8billion.

This shows a decline of 28 percent when compared to the corresponding period of 2019 which recorded N104billion.

It was gathered that there was no associated crude plus freight cost for the refineries since there was no production.

The Petroleum Product Marketing Company (PPMC), a subsidiary of NNPC, sold a total of 9.86 billion litres of petroleum products between January and August, 2020.

This is a decrease of 30 percent when compared to 14.108 billion litres sold in the corresponding period of 2019.

The decrease, according to the corporation, is as a result of low operational activities due to the outbreak of Covid-19 pandemic.

The Department of Petroleum Resources (DPR), has assured Nigerians of petroleum products’ availability and stable fuel supply in the country at all times on the strength of its import dependency.

The DPR also cautioned oil marketers against engaging in sharp practices that are capable of distorting products supply.

The DPR stated that there are sufficient petroleum products nationwide, while it also advised petroleum products marketers against hoarding and creating artificial scarcity of the commodity.

The apex petroleum industry regulator promised to intensify its monitoring and surveillance of petroleum products outlets to ensure compliance with quality, quantity and safety of operations in line with its regulatory mandate.

It also advised consumers to report any infraction, such as under dispensing of petroleum products at any filling station to any DPR office nationwide.

The DPR restated its commitment to safety and advised consumers to observe all necessary safety protocols in the handling of petroleum products especially at this season of harmattan.

It further assured Nigerians that it would continue to initiate appropriate initiatives to enable business and create opportunities for investors and stakeholders in the oil and gas industry in Nigeria.

In another development, the NNPC has advised against the precipitous relocation of tank farms from their current locations along Ijegun, Kirikiri areas in Lagos and other parts of the country, in order to avoid dislocation in the supply and distribution chain of petroleum products across the country.

The corporation made the submission at a hearing by the House of Representatives’ Ad-hoc Committee on Relocation of Tank Farms in Residential Areas of Ijegun, Kirikiri.

While presenting the position of NNPC at the hearing, Group Managing Director, Mallam Mele Kyari, stated that NNPC was not averse to the relocation of petroleum products tank farms and depots sited in residential areas but would rather that it be carried out in a planned manner so as not to cause disruption in the fuel supply and distribution chain.

According to Kyari, “Tank farms and depots were a major artery for receiving and distributing imported petroleum products to all parts of the country and that their abrupt relocation could trigger a crisis not only in the downstream sector but also in the nation’s economy in general”.

 

 

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VCDF in Partnership with LAWMA & Iru LCDA Conducts ‘Street Hygiene & Cleanliness’ Campaign in Lagos

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Living healthy lives can be enabled by embracing and maintaining cleanliness in our urban surroundings, we not only enhance the hygiene of our streets and drains but also contribute to mitigating the adverse effects of pollution and promoting a sustainable future for generations to come.

On April 6th, 2024, a community-driven initiative took to the streets of Victoria Island, Lagos, in a concerted effort to combat littering, blocked drains, thereby reducing flooding and the deteriorating cleanliness of the neighborhood. The Street Hygiene and Cleanliness Campaign, organized by the Vcare for Development Foundation (VCDF), in collaboration with Sterling Oil Exploration & Energy Production Co. Ltd. (SEEPCO), Iru-Victoria Island LCDA and Lagos State Waste Management Authority (LAWMA) saw an impressive turnout of volunteers and stakeholders determined to make a tangible difference in their environment.

The campaign aimed to promote cleanliness and environmental sustainability in Victoria Island, addressing issues like littering, improper waste disposal and consequent flooding. By providing donations of sanitation tools like rakes, pickers, brooms, and bin bags as well as personal protective equipment like coveralls and gloves, VCDF inspired volunteers and stakeholders to take proactive steps to stop the spread of disease, build community pride, and maintain a clean environment.

The dignitaries present at the event were Princess (Hon.) Rasheedat Abiodun Adu, Executive Chairperson, Iru-Victoria Island LCDA; Mrs. Ogabi Adetokunbo, Council Manager; Mr. S.O. Omoteji, Head of Human Resources, Mr. Odu Olufemi, Head of the Environment, all from Iru Victoria Island LCDA; Mrs. Aramide Olaniyan, Head of Corporate Engagement, Mr. Ebenezer Otubu, Deputy Head, Street Sanitation Services and Mr. Gbenga Adebayo Fagbola, Regional Manager, Lagos East 1, Lagos Waste Management Authority (LAWMA).

Beyond the immediate benefits of an immaculate surrounding, it has encouraged a culture of social responsibility among the workforce and promoted community unity.

Speaking at the event, Mr. Odu Olufemi said, ‘the VCDF initiative is praiseworthy, and maintaining effective sanitation practices is essential for ensuring a healthier Lagos State through recycling materials, segregating waste, desilting drainage systems, and clearing sidewalks for safety and easy access.’

Mrs. Aramide Olaniyan expressed, ‘together, we are not only cleaning streets but also spreading awareness about the value of environmental stewardship for a better tomorrow.’

VCDF is dedicated to embracing sustainability to protect healthy habitats and foster a culture of social responsibility, ensuring the welfare of current and future generations.

By coming together to tackle environmental challenges, residents and stakeholders demonstrated their commitment to creating a cleaner, safer, and more vibrant neighborhood for all.

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VCDF in Partnership with LDSVA Sensitise Women on Gender Equality, Financial Literacy & Entrepreneurship

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Women, the pillars of our society, are resilient and determined as they play essential roles in nurturing families and leading businesses. Despite facing challenges like limited financial resources and unequal opportunities, they persist, inspiring generations and driving positive change.

In honour of Women’s History Month, Vcare for Development Foundation (VCDF), in collaboration with Sterling Oil Exploration & Energy Production Co. Ltd. (SEEPCO) and the Lagos State Domestic and Sexual Violence Agency (LDSVA), embarked on a transformative journey to empower 100 community women, focusing on sexual and domestic violence prevention, financial literacy, and entrepreneurship, on March 27, 2024, in Eti-Osa LGA, Lagos State.

When women are empowered, they become catalysts for progress, influencing not only their own lives but also the lives of their families and those around them. The programme gave the women the opportunity to acquire knowledge on tools that can help their businesses grow, also providing a safe space for women to learn and connect with others, making them feel more confident and capable in making decisions for their businesses.

Distinguished guests present at the event were Mrs. Bello Oluwakemi, Head of the Field Operations Department, Lagos State Domestic and Sexual Violence Agency (LDSVA), Chief Mrs. Eletu-Odibo Wasilat, Community Development Committee Chairman of Eti-Osa LGA, Lagos State, and Mrs. Adenike Akintoye, Head of Women Affairs and Poverty Alleviation Unit, Eti Osa LGA.

While giving her feedback, Chief Mrs. Eletu-Odibo Wasilat said, “community-driven efforts like this initiative are instrumental in driving sustainable change and enabling women to realise their full potential.”

Mrs. Bello Oluwakemi noted during her closing remark, “training women in our communities will improve their livelihoods and contribute to household income, thereby leading to better standards of living.”

This collaborative initiative aligns with the Sustainable Development Goals (SDGs) – Gender Equality (SDG 5) and Reduced Inequalities (SDG 10), which aim to ensure everyone is treated equally and reduce differences between people.

VCDF will continue to educate and empower women for a greater inclusion in society, supporting their advancement and ensuring their meaningful participation in all spheres of life. Together, let us continue to champion the cause of women, celebrate their achievements, and pave the way for a brighter and more equitable future for all.

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Ibom Developers Supports 160 Women with Skill Acquisition Training in Akwa Ibom

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Empowering women with vocational skills is a vital step towards fostering gender equality and inclusive growth in society. This effort involves equipping women with practical expertise that can be applied across various aspects of life, including professional, personal, and entrepreneurial settings. Ibom Developers’ recent initiatives to provide skill acquisition training to women in its host communities aim to help them thrive in society.

On April 8, 2024, Ibom Developers commenced its ongoing skill acquisition training programme, themed ‘Virtuous Women’ in Egwenwe and Okoroinyong communities.
Dignitaries, including His Royal Highness Chief Johnson J. Osiba (Ijongo IV), the Okaama of Egwenwe Community; Mr. Warribo Isaiah, Community Development Chairman, Egwenwe Community; Pastor Johnson Christian Ubulom, Youth President, Egwenwe Community; Mrs. Catherine Monday Ogbofork, Women Leader of Egwenwe Community; Mrs. Sarah Evans Nfeija, Health Officer, Egwenwe Community; and representatives from Okoroinyong community, were present at the inaugural event.

This skill acquisition programme aims to empower 160 women in these communities with expertise in catering, packaging, hairdressing, wigging, ventilation, and styling. The program took place from April 8 to April 20, 2024, at Egwenwe Town Hall and Okoroinyong Town Hall in Eastern Obolo LGA, Akwa Ibom State, imparting essential entrepreneurial skills to the women in the communities.

During the inaugural event, Chief Johnson J. Osiba (Ijongo IV), the Okaama of Egwenwe Community, expressed, ‘‘This empowerment initiative will provide our women with the autonomy and decision-making power they need to become self-sufficient contributors to the growth and development of our community.’’

The participation of women in several economic activities makes their upliftment a potent strategy for economic growth. Their involvement expands the workforce, cultivating heightened innovation and efficiency within the community.

Mrs. Catherine Monday Ogbofork, Women Leader of Egwenwe Community, emphasised, “Access to training tailored to the needs of women allow them to develop specialised skills. I am glad that this programme has offered options that suit our women’s preferences and goals.’’

Acquiring skills for livelihood elevates family status and unlocks entrepreneurial avenues. Ibom Developers is dedicated to promoting entrepreneurship among women and supporting socio-economic empowerment in local communities.

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