Doyin Okupe, former senior special assistant on Public Affairs to former president of Nigeria, Goodluck Jonathan has backed Nigeria’s junior minister of petroleum, Ibe Kachikwu and the policy of NNPC under his leadership.
Okupe who stated that he has no inter-personal relationship with Kachikwu, analysed why there is lingering fuel scarcity and how it can be curbed.
In a statement issued on Facebook, Okupe made a case for Kachikwu while urging Nigerians to face the reality.
Read Doyin Okupe’s position below:
The minister of state for Petroleum is a Nigerian I know by reputation only. When he was appointed I actually wondered why on earth will a man in his exalted international position and pedigree come into the murky arena of the Nigerian oil business. It can only be patriotism.
Since he assumed office I have noticed a high level of professionalism and candour.
But Nigerians abhor the truth. The minister said a few weeks ago that it is cheaper to import fuel than process our crude locally. I thought that should be obvious to all discerning minds. Our newest refinery is 35years old.
The capacity of the refinery to fractionate
Crude reduces drastically with age. In its best form you get about 51% PMS per barrel of crude refined. But at the current ages of our refineries we hardly can do more than 35-40%.
Therefore our policy of setting aside crude for local refining is outdated and counter-productive and should be stopped.
Secondly the minister said this present fuel crisis will tarry till May and all hell was let loose. The Hon Minister is right.
He quietly informed the nation that NNPC is now responsible for 100% of our fuel imports. The reason for this anomaly is not farfetched.
We consume 40m liters of PMS daily. At about $645/tonne that comes to about 55cents per liter is $22m/day. Which importer and which bank in Nigeria of today can open $22m daily?!!!!
Not even the Almighty NNPC! So that is the real cause of the scarcity. The truth is what the minister said, its not going away soonest.
The only reasonable, cost effective and efficient way of ensuring Nigerians get petroleum products regularly and continuously, without further complicating the unavailability of the dollar and its continued stagnation of the national economy, is by:
1. Scrapping the PPPRA.
2. Stopping the allocation of crude daily for local refining.
3. Allocating appropriate volume of crude to the oil majors under a transparent oil swap arrangement.
4. Invest in and improve the facilities of discharging PMS in all our Ports.
5. Completely deregulate the downstream.
Sector of the petroleum and stop the federal government from selling petrol. Previous Nigerian governments have sustained this practice to their detriment. We need not continue it especially in the face prevailing economic hardship.
It is not done anywhere and citizens are the ultimate beneficiaries.
It is shameful and embarrassing that small countries like Benin Republic, Togo and even land locked countries like Botswana and Swaziland do not have fuel queues. Click to signup for FREE news updates, latest information and hottest gists everyday
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This is a typical Yoruba hypocrise.... And that is why most people like him talks from both sides of their mouth.such are easy sell outs..Is he now a special assistant to Kachikwu?
ReplyDeleteShut up Aboki Garba d hypocrise!
DeleteMost people criticise without offering possible solution. Okupe has offered opinion.....who is the sell out???
DeleteWhat is he saying? Just shut your trap. While in Government, what policy thrust did your administratiin has on fuel othervthan the exposed subsidy scam
ReplyDeleteIt is also a shame that a former PDP governor, according to reports, used looted Nigerian money to build a refinery in Niger Republic during Goodluck Jonathan's (your boss') days!
ReplyDeleteGarba, the problem with you and Nigerians is that you don't want to hear the truth. The Government should leave politics now and govern. Electioneering is over! Time to think and work!
ReplyDeleteLet the truth be told irrespective of political; religious or ethnic association. ..
ReplyDeleteI have never liked Doyin Okukpe because I believe he sacrifices his deepest convictions on the altar of politics. However, this is one issue on which I know he is spot-on. Every point he made here is correct - and I speak as an industry insider. Nigerians should look at diesel fuel. It is available everywhere. Why? Because since Yar'adua completely deregulated diesel fuel, and anyone could bring diesel into the country and sell at any price people are prepared to pay, there has been no reason for scarcity. No one can hoard diesel. We must do same with petrol. Scrap PPPRA, let whoever wants to import it do so and sell at any price. In any case, in these times of acute scarcity, people are paying up to N150/litre. So, why deceive ourselves?
ReplyDeleteSomeone would ask why Buhari is against deregulation of PMS. It is simple: The moment you deregulate it, the product would sell for a higher price in the north than in the south, because of bridging costs. So Buhari believes his people would suffer from the deregulation.
What to do with the refineries? Give them free-of-charge to PENGASSAN and NUPENG and let them earn their living by making them work and producing fuels for Nigerians.
Does it mean that Doyin brain was malfunctioning during his 16 years in office?
ReplyDeleteIt will have been better if he has done this while in office rather than saying Nigeria can not afford a new rail.
Association and environment corrupt Mentality and Thinking. Or they tell people to do what they can not do.