NMDPRA Says Over 90 Firms Licenced to Import Petrol Despite FX Challenge

Emmanuel Addeh in Abuja

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) yesterday disclosed that over 90 oil marketing companies have so far been licensed to import petroleum products.

However, this is despite the inability of the businessmen to access foreign exchange due to the illiquidity in the FX market, a situation that has effectively returned the Nigerian National Petroleum Company (NNPC) as the sole importer of the fuels.

The Chief Executive of the NMDPRA, Farouk Ahmed, made the disclosure in Abuja when he met with oil marketers in efforts meant to resolve the challenges faced in the importation and distribution of the liquids.

“We as regulators can continue to say the market is open for everybody and all those who have applied for license, over 90 marketing companies have got (licenses).

“We have given them access to all the required support that they needed in order to ensure there is a constant supply of products in the country,” he said.

The meeting was attended by representatives of the Major Oil Marketers Association of Nigeria (MOMAN), the NNPC, Independent Petroleum Marketers Association of Nigeria (IPMAN), Depot and Petroleum Marketers Association of Nigeria (DAPPMAN), and the Nigerian Association of Road Transport Owners (NARTO), among others.

After the meeting, Ahmed stated that the oil marketers had pledged their support to the federal government in guaranteeing the availability of petroleum products to Nigerians at affordable prices.

 “We had very robust discussions and the oil marketers expressed their concerns and also areas where we can support both the marketers and transporters to ensure that there is flow of petrol products across the country.

“So, NNPC has assured of supply and also the marketers have expressed their concerns about the availability of foreign exchange in order to also import and sell at the price,” he stated.

He explained that the engagement was ongoing with the Central Bank of Nigeria (CBN) to give the marketers access to foreign exchange.

“We have been discussing with the government and you must have observed that a lot of work going on within the CBN in terms of their internal restructuring which will make available the dollar as soon as everything stabilises.

“We are also working towards improvement in crude oil production, which will bring more revenue into the country and then of course, boost our foreign reserves. These are all part of what we are all working on towards stabilising of the naira,” he stressed.

In his remarks, the Executive Vice President, Downstream, NNPC, Mr Dapo Segun assured of the commitment of the national oil company to make petroleum products available to all Nigerians, with ongoing discussions to support the marketers to be able to make imports.

“NNPC will continue to shop for supply. Yes, we’ve had discussions with other industry players on the issues affecting the industry. We are looking at ways to resolve these issues. We at NNPC will continue to make sure that supply is there and we will also support the industry,” he stated.

Also speaking, the Chairman of DAPPMAN,  Winifred Akpani, assured that there was adequate supply of the products and there was no need for Nigerians to panic.

 “I think its a good opportunity that this meeting is holding today. We know there’s adequate supply of products. We have sufficient products in the country and we have sufficient products in our depot and most of us we have products in our stations.

“The government has promised to resolve some of the issues for us, bearing in mind that we just transited from regulated market to deregulated market.

“We expect some of these issues to come but the most important thing is the willingness of all of us as stakeholders to resolve the problem.

“We assure the entire country that there is sufficient product and we will do all within our means to make sure that people never suffer for paying a higher price,” she noted.