Wake Up To Your Responsibilities, NMDPRA
By Adewole Kehinde
“Authority without wisdom is like a heavy axe without an edge, fitter to bruise than polish.” – Anne Bradstreet
Nigerians have continued to face fuel queues in most parts of the country, with prices ranging from 200 to 300 per liter directly from filling stations.
This reminded me of how, under the leadership of Mallam Mele Kyari, the now Nigerian National Petroleum Company Limited took complete control of fuel supply and price.
Queues and prices were never as bad under the former Nigerian National Petroleum Corporation as they are now under the Nigerian Midstream and Downstream Petroleum Regulatory Authority.
For clarity purposes, Nigerian Midstream and Downstream Petroleum Regulatory Authority are responsible for the technical and commercial regulation of the midstream and downstream operations in Nigeria.
To me, the Nigerian Midstream and Downstream Petroleum Regulatory Authority have not been living up to its responsibilities as the Authority is only known for action on paper and not in reality.
The Authority maintains on paper that “there are no plans by the Federal Government to increase the price of Premium Motor Spirit (PMS),” even though most independent marketers were selling between N170 and N200 per liter in defiance of government directives, even in the FCT. Only a few filling stations, such as NNPCL, A. A. Rano, and others, sell at set prices.
I must commend the Nigerian National Petroleum Company Limited for importing Premium Motor Spirits on time, with current stock levels sufficient for 34 days.
NNPCL has not failed in its responsibility to harness the potential of oil and gas to meet energy demand and propel the national economy.
By the NMDPRA’s responsibilities, as outlined in the Petroleum Industry Act (PIA), the Authority should go beyond simply assuring the public on paper that it will continue to monitor the supply and distribution of all petroleum products nationwide, particularly during the holiday season, and instead visit filling stations, particularly in the FCT and Lagos, to ensure that all filling stations in Nigeria sell at the regulated prices.
If this is not done, there is a real risk of fuel queues continuing into the New Year.
Many Nigerians are unaware that fuel pricing is the responsibility of the Nigerian Midstream and Downstream Petroleum Regulatory Authority rather than the Nigerian National Petroleum Company Limited, owing to the NMDPRA’s failure to educate Nigerians.
The Nigerian National Petroleum Company Limited is no longer in charge of issuing new petrol price directives.
The Nigerian National Petroleum Company Limited has already withdrawn from the process of issuing a directive on a new petrol price. The company is now run in the same manner as MTN.
On a final note, I would like to remind the Authority of its functions below;
- Regulate and monitor midstream and downstream operations in Nigeria.
- Determine appropriate tariff methodology.
- Set cost benchmarks for midstream and downstream operations.
- Advise the Government and stakeholders on commercial matters relating to tariff and pricing framework.
- Regulate the bulk storage, distribution, marketing, and transportation pipelines of petroleum products.
- Monitor and enforce compliance with the terms and conditions of licenses, permits, and authorizations issued by the authority.
- Set, define, and enforce approved standards and regulations for the design, construction, fabrication, operation, and maintenance of plants, installations, and facilities used or to be used in midstream and downstream petroleum operations.
- Ensure security of supply, development of the market, and competition in the natural gas and petroleum products market.
- Establish customer protection measures by the provisions of the enabling Act.
Promote competition and private sector participation in midstream and downstream petroleum operations.
Adewole Kehinde is the Publisher of Swift Reporters and a Public Affairs Analyst based in Abuja. E-Mail: kennyadewole@gmail.com 08166240846