NNPC Promises 90% Pipeline Recovery after Repairs


Chineme Okafor in Abuja
The Nigerian National Petroleum Corporation (NNPC) has said it will maintain current efforts to revamp Nigeria’s downstream oil and gas infrastructure and ensure there is at least 90 per cent pipeline availability.

It also said it would keep up its automation of processes in product distribution system, and growth in retail market share to 30 per cent.
NNPC’s Group Managing Director, Mallam Mele Kyari, stated this recently in Abuja.

His disclosure of such commitment to revamping downstream oil infrastructure in the country coincided with the corporation’s disclosure that it spent N156,757,896,248 to repair broken parts of its pipeline between May 2018 and May 2019.

It noted that such expenditure in pipeline repairs also came along with it losing N27,487,429,826 and N4,557,736,528 worth of petroleum products and crude oil, perhaps to breakages on its pipeline systems.

In a statement from NNPC’s Group General Manager, Public Affairs, Mr. Ndu Ughamadu, Kyari, said he would leverage the corporation’s existing Direct-Sales-Direct-Purchase (DSDP) product supply arrangement to guarantee energy security for Nigeria.

NNPC’s latest operations report also indicated that within the periods of May 2018 and May 2019, a total of 20,713,070,922.24 litres of petroleum products were imported through the DSDP by the corporation with imported petrol standing at 20,402,103,495.01 while imported Dual Purpose Kerosene (DPK) was 310,967,427.23.
At the townhall meeting, Kyari, charged the workforce to support his management to deliver on all the objectives.

He also asked them to brace up for greater challenges ahead, noting that as the main enabler of the Nigerian economy, the NNPC must entrench processes to ensure steady production growth and assured profitability across all tiers of the oil industry.

He equally explained that the transparency component of the agenda was aimed at maintaining positive image, share values of integrity and transparency to all stakeholders, while the accountability aspect will ensure the corporation complies with business ethics, policies, regulations and accountability to all stakeholders.

With regards to performance excellence, he added that the idea was to entrench a high level of efficiency. He indicated this will be driven by efficient implementation of business processes as well as appropriate reward system for exceptional performance among the workforce.

According to him, the NNPC would continue to give attention to safety and security of personnel and assets while creating a business environment anchored on technology and innovation to improve efficiency.

On domestic refining of petrol, he said the NNPC will go ahead with ongoing refinery rehabilitation and successfully conclude it, as well as deliberately encourage the establishment of new private refineries to ensure that the country becomes a net exporter of refined petroleum products.

He said the corporation would sustain the ongoing exploration activities in the inland sedimentary basins to improve reserve while pursuing a program to grow its subsidiary, the Nigerian Petroleum Development Company (NPDC).