Yemie Adeoye and Charles Kumolu
14 October 2008
AN operator in the downstream sector of the oil and gas industry in Nigeria and the Chairman of Selins Oil, Senator Levi Nwokeafor has called on the Federal Government to find a quick solution to the almost moribund Nigerian National Petroleum Corporation (NNPC) floating stations meant to be deployed to the riverine areas of the oil- producing states in the country.
Nwokeafor noted that allowing the stations to be non-functional, leaving them redundant as they are presently, is actually defeating the original reasons why they were constructed.
But in a swift reaction, the Group General Manager, Public Affairs of the corporation, Dr. Levi Ajuonuma told Vanguard over the telephone that the state of the mega stations could not be said to be moribund as it was constructed in an attempt to alleviate the high cost of buying fuel in the riverine areas of the country.
Ajuonuma further noted that the major challenge being faced now is the high level of unrest in the region where they are expected to be operating.
"The only challenge that we have now is that the environment is not peaceful enough for them to be functional considering the fact that the FG has expended a huge sum of money on the project."
However, Nwokeafor also used the opportunity to blame the governors of the oil-producing states for not taking the wonderful initiative of the project serious.
According to him, the government should quickly find a solution to how these floating stations could be utilised by Niger-Deltans in whose area these stations were meant to be deployed. "Let it be done quickly; as an independent petroleum marketer, I believe the benefits will go to men and women in the villages.
It is very sad to see a project that people are yearning for lying fallow, It hurts me each time I see it, people are still seeing Canaan that they will never get to. Some of the people who had wished to buy gas to power their boats in the creeks, are being denied the opportunity. And the general idea behind it is being defeated.
And people are buying these products at exhorbitant prices, whereas these floating stations were built to alleviate the sufferings of the people, especially in the Niger-Delta. And three years after completion of this project, it is still lying idle."
He, however, lamented that the NNPC seems to be doing nothing on making the stations functional adding that independent marketers should be involved in managing the stations.
"It is sad that the NNPC appears to be doing nothing about it. I also blame the governors for not speaking out because this laudable project was constructed in their states. I blame them for not propelling the Federal Government on it with particular reference to NNPC.
We all know that there is concession in the oil and gas industry and we call that the subsidy. And it is for the Nigerian market. Why can't this subsidy be given to the people of the Niger-Delta whose resources have been degraded? We can get independent marketers to be involved. I think that will make the project to be productive," Nwokeafor stated.
Continuing, he said, "maybe some players in the industry may not be interested because it is more of a charity work. The big seven may not be interested in this because they are particularly about profit. If our people are allowed to be involved in managing these float stations, it will meet the desired target. The government should empower these floating stations in order to help the host communities.
"The communities there use AGO(gas) to ferry their products. So you can see how important the stations are. Imagine when they buy petrol to power their boats and pay twice as those on the road. If these stations had been opened to these communities, they will pay whatever rate that the government puts the price.
The project is becoming a total waste to the Federal Government and everybody involved. The government should also complete the uncompleted ones and hand them over for the use of the people, I am sure it will have great impact in the industry."It would be recalled that Julius Berger Nigeria Plc was awarded the contract to build the first six floating stations, which are expected to be completed in 2008.
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