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PIA Implementation Extension: Major Oil Marketers Worry Over Sustainability Of Products Supply

The Major Oil Marketers Association of Nigeria (MOMAN), is worried over petroleum products supply and is asking for better understanding of measures being taking by government to guarantee stability of the market  following extension of Petroleum Industry Act,  PIA implementation.

Oriental News Nigeria reports that last week, the federal government, through the Minister of Finance, Budget and National Planning, Zainab Ahmed, announced the  suspension of planned petrol subsidy removal for another 18 months.

Corroborating that position, the Minister of State for Petroleum, Timipre Sylva, said President, Muhammadu Buhari is not in support of removal of petroleum subsidy. 

However, worried over supply assurances the Marketers said they are engaging widely with the Minister of State for Petroleum Resources, the Nigerian Midstream and Downstream Petroleum Regularly Authority (NMDPRA), to understand how suspension of subsidy removal would impact it’s market operations as well as provision in the Petroleum Industry Act.

Speaking in Lagos on Monday, Chairman of the Association, Olumide Adelodun, said though the decision has been taken, the direction of consultation would focus on understanding of what market philosophy and regulations should be in place during the 18-months period to ensure uninterrupted fuel supply and transparency in the country.

“Recall, that the reforms contained in the PIA are a combination of several decades of engagement with internal and external stakeholders, capturing local and international best practices to encourage investments in the petroleum downstream sector, optimize costs, ensure transparency, and upgrade industry assets and infrastructure (refineries, depots, pipelines, trucks, and filling stations).

“The decision having been taken to suspend subsidy removal, the direction of our consultation necessarily would be towards understanding and contributing towards what market philosophy and regulations should be in place during the 18-month period to ensure uninterrupted supply, transparency.

This will be in line with long-term objectives for the administration and growth of the industry”, he noted.

SOURCE: orientalnewsng.com

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