“The key issue is a price war. The marketers have made representation to the Federal Government and the Minister of State for Petroleum Resources, Dr. Emmanuel Ibe Kachikwu, to allow price hike of petroleum products and leave the sector to market forces,” the report noted.
“The project will be delivered through a Build and Transfer PPP model with 100 per cent Contractor Financing. The AKK Gas Pipeline Project constitutes Phase 1 of the Trans-Nigeria Gas Pipeline (TNGP) Project.”
“Gas which is classified as clean energy will, in addition to the promise of energy security, provides efficient fuel for power generation and reduces air pollution leading to improved quality of life.”
The Minister of State further highlighted the vast opportunities that will be occasioned by the Gas Sale and Aggregation Agreement while encouraging deepened collaboration in the entire chain of the oil and gas sector.
“What I wrote to the President in my memo, which was presented to FEC, was to remind him that these were some of the contracts he had already approved. What I complained about was about due process not being followed in the initial approvals, obtained without seeking my concurrence or input.”
“Under the Deep Offshore Act, there was a provision in 1993 that says once the price of crude exceeds $20 a barrel, the government will take steps to ensure that the premium element is then distributed under an agreed formula so that we can get more from our oil. But over the last 20 years, nothing really was done.”
“I am pleased to say that this vision is complementary to NNPC’s mandate to ensure products availability and seamless transportation across Nigeria. It is a bold stride at complementing Government’s effort,” Baru noted.
Kachikwu explained that Nigeria and Libya, which had enjoyed exemption from the cap were technically allowed to maintain their status quo. However, with pledges, they would watch the volumes of oil they will bring to the market in 2018 so as not to disrupt the market rebalancing efforts.
The association said it is unhappy with the Federal government for not addressing its grievances as regards unfair labour practices by the management of some indigenous oil and gas companies.
“The situation in Lagos is improving and is expected to get better by Friday (today). In Abuja, the queues are expected to thin out completely by the weekend. We also expect the Kaduna area to be served by the Kaduna refinery and other reserves,” he observed.
