Oil
Ijegun oil spill to blame for fuel scarcity in Lagos
LAGOS – Petroleum industry officials yesterday blamed the worsening fuel scarcity across the Lagos metropolis on the recent oil spill at the Ijegun area of the state .
The spill had flooded over 300 houses in the area, forcing the officials of the Pipelines and Product Marketing Company (PPMC) to lock the valve so as to forestall further spill.
The arising shortfall in the supply of the product had triggered a wave of scarcity, making many to embark on panic buying of the product.
The spill was as a result of a ruptured Nigerian National Petroleum Corporation (NNPC) pipeline which released many litres of petrol into the streets of Ijegun Imore behind Navy Town and Statellite Town, Lagos.
The spokesperson, National Emergency Management Agency (NEMA), South-west zone, Mr. Ibrahim Farinloye, said the incident would have been a huge disaster if the residents had gone to scoop the free-flowing fuel.
Although immediate repairs on the pipelines were carried out by two teams of NNPC personnel who were deployed to the area, the petrol had already seeped deep into the ground.
But government officials, who spoke on the condition of anonymity, told THISDAY that the scarcity of fuel could be attributed to the aftermath of the spill.
He said: “When the community alerted NNPC of the spill. They were forced to shut down production in order to carry out repairs. They stopped pumping products.
“The products that are in the market were those already in the pipeline. Once the valves were shut off, repairs began in order to restore the pipeline back to order.
“When the marketers discovered what has happened, they started hoarding products because they are not sure when or where they would get products to buy.
“That hoarding of products is what is manifesting today as fuel scarcity. But that would soon end because once NNPC starts pumping again, we can assure you that products would be back to the market.”
Some of the officials of the National Oil Spill Detection and Response Agency (NOSDRA), met at the site of the spill and confirmed that massive clean up has begun, adding that the oil sheen was merely the residue that had seeped into the ground.
It was gathered that initially, the PPMC, a subsidiary of the NNPC, had visited and scooped some of the spilled products into their tankers.
Many Lagosians were jolted when they suddenly could not find petrol to buy easily, since last week
THISDAY checks at different filling stations in Lagos, saw motorists in their large numbers queuing up to purchase fuel with all the confusion that go with it.
Checks also revealed that the ripple effect of the scarcity is already being felt by Lagosians as large number of stranded passengers were seen at the various bus stops in the metropolis.
As is often the case, the few stations which dispensed the product sought for extra gratification from the desperate buyers.
For commercial bus drivers who were forced to buy fuel from the black marketers at exorbitant prices, they simply recuperated their extra expenses from passengers by hiking the fares.
Speaking to THISDAY, Mr. Chubuike Onuigbo, a motorist found at one of the filling stations at Okota, a suburb of Lagos said he had queued for over an hour before he could fill his tank.
He called on the regulatory agencies like the Petroleum Products Pricing Regulatory Agency (PPPRA) saddled with responsibility of ensuring that fuel is dispensed and sold at the appropriate price to rise up to the challenge and check the illegalities perpetrated in the filling stations.
– THIS DAY
In a strategic move to revitalize Nigeria’s oil and gas sector, the Federal Government has unveiled two key fiscal incentives aimed at attracting investment and enhancing energy security.
The announcement was made by Mr. Wale Edun, the Minister of Finance and Coordinating Minister of the Economy on Wednesday.
The first initiative, the Value Added Tax (VAT) Modification Order 2024, introduces critical exemptions for essential energy products and infrastructure, including Diesel, Feed Gas, Liquefied Petroleum Gas (LPG), Compressed Natural Gas (CNG), Electric Vehicles, Liquefied Natural Gas (LNG) infrastructure, and Clean Cooking Equipment.
Read Also: Atiku Calls For Rotational Presidency Across Nigeria’s Geopolitical Zones
These exemptions are designed to reduce living costs for Nigerians, promote energy security, and accelerate the transition to cleaner energy alternatives.
The second initiative, the Notice of Tax Incentives for Deep Offshore Oil & Gas Production, offers new tax relief options for deep offshore exploration projects.
This measure aims to position Nigeria’s deep offshore basin as a premier destination for international oil and gas investments, boosting the country’s appeal to foreign investors.
These reforms are part of a broader set of policy initiatives, known as Policy Directives 40-42, endorsed by President Bola Ahmed Tinubu.
The directives reflect the administration’s commitment to fostering sustainable development in the energy sector and enhancing Nigeria’s competitive edge in the global oil and gas market.
By Yemie Adeoye
NIGERIA’s President Bola Tinubu has announced that the protracted ExxonMobil-Seplat upstream oil divestment will be formally approved by the Minister of petroleum within a matter of days, just as he announced his government’s intention to expand the Compress natural Gas, CNG buses initiative.
The President who stated this during his Independence day nationwide broadcast stated that the move is in line with his administration’s commitment to free enterprise, free entry and free exit in investments which is the hallmark of his administration investment policy.
“Fellow compatriots, our administration is committed to free enterprise, free entry, and free exit in investments while maintaining the sanctity and efficacy of our regulatory processes. This principle guides the divestment transactions in our upstream petroleum sector, where we are committed to changing the fortune positively. As such, the ExxonMobil Seplat divestment will receive ministerial approval in a matter of days, having been concluded by the regulator, NUPRC, in line with the Petroleum Industry Act, PIA. This was done in the same manner as other qualified divestments approved in the sector.”
The President also seized the opportunity to plead with Nigerians to be patient with his administration’s reform policies. “As your President, I assure you that we are committed to finding sustainable solutions to alleviate the suffering of our citizens. Once again, I plead for your patience as the reforms we are implementing show positive signs, and we are beginning to see light at the end of the tunnel”.
“Our energy transition programme is on course. We are expanding the adoption of the Presidential Initiative on Compressed Natural Gas for mass transit with private sector players. The Federal Government is ready to assist the thirty-six States and FCT in acquiring CNG buses for cheaper public transportation.
Fellow Nigerians, while we are working to stabilise the economy and secure the country, we also seek to foster national unity and build social harmony and cohesion. Our economy can only thrive when there is peace”. he enthused.
As part of the administration’s push to improve Ease of Doing Business (EoDB), Nigeria’s Vice President Kashim Shettima has expressed support for ExxonMobil’s plan to invest $10 billion in the country’s deep-water oil sector.
Speaking on Wednesday, September 25, 2024, during a meeting with ExxonMobil executives at the 79th United Nations General Assembly (UNGA) in New York, Shettima called the investment “a clear testament to the administration’s economic reforms and investor-friendly policies.”
Read Also: Offset Accuses Cardi B Of Cheating During Pregnancy
This announcement follows news that international maritime company DP World intends to develop a multibillion-dollar port project in Nigeria.
Stanley Nkwocha, Senior Special Assistant to the President on Media and Communications, shared the development in a statement on Wednesday. He quoted Shettima as saying: “ExxonMobil’s potential investment aligns with the vision of President Bola Ahmed Tinubu’s administration for a more investment-friendly Nigeria.
We are committed to fostering an environment that supports such transformative projects.”Shettima also discussed the administration’s broader efforts to improve the ease of doing business, highlighting the “Renewed Hope Agenda,” which aims to simplify bureaucratic processes, enhance transparency, and offer fiscal incentives to attract global investors.
“Our administration has taken bold steps to unify the exchange rate, remove fuel subsidies, and implement tax reforms. These measures, though challenging in the short term, are intended to create a stable and predictable business environment in the long term,” he added.
On the oil and gas sector, Shettima mentioned that the government is revising the fiscal framework for deep-water operations to attract investment while ensuring fair returns for the Nigerian people.
JUST IN: Minors Freed By Nigerian Govt Arrive Presidential Villa
Nollywood Star, Charles Okocha Announces Upcoming Wedding
Don’t Ignore These Hidden Health Clues In Your Urine
JUST IN: Equatorial Guinea Blocks WhatsApp Multimedia Amid Engonga Sex Scandal
U.S. Election: Historic Decision Looms As Kamala Harris, Trump Enter Dead-Heat Contest
US Election: Cardi B Expresses Nerves
OSSG Raises Alarm Over Murder Plot By APC Chieftain
NCC, SMEDAN, NAICOM, SEC, Others Set for SUPERNEWS SMEs Conf June 13
Sahara’s Tonye Cole resigns from GPHCDA
Oando opens ultra-modern petrol station in Lagos
Niger Delta Avengers: President Buhari Reads riot Act …considers the carrot and stick option
