House Laments Lingering Fuel Scarcity, Issues NNPCL 7-Day Ultimatum to Return Normalcy

•Directs NMDPRA, security agencies to ensure price regulation

•Moves to include petroleum ministry in SON to fight substandard petroleum products

Udora Orizu in Abuja

The House of Representatives at plenary yesterday urged the Nigerian National Petroleum Company (NNPC) Limited to end the lingering fuel scarcity in some cities in the country within the next one week in order to ease the suffering of Nigerians.

The lawmakers also called on Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA) to collaborate with the Nigeria Police Force and the DSS to ensure that petrol was sold at the regulated price in all retail outlets.

The resolutions of the lawmakers followed the adoption of a motion of urgent national importance, ‘on the need for the government to end the current fuel scarcity’, sponsored by Hon. Saidu Musa Abdullahi.

Moving the motion, Abdullahi lamented that in the last few months, Nigerians have been subjected to untold hardship caused by the lingering petrol scarcity, affecting economic activities and making the already trying times in the country more difficult.

He expressed concerns over intelligence reports on the current scarcity gathered by securities agencies which had indicated that there was a deliberate plan by some oil marketers to derail efforts of the government in the distribution of fuel in the country by hoarding the petroleum products and thereby creating artificial scarcity all over the country.

He said: “Soon after floods/rains receded in Lokoja and the petrol scarcity continued, the President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), said the situation has continued to persist because of the supply gap created by the blockade in Lokoja.

“The IPMAN affirmed that there was enough product in the depots and that the lingering scarcity was only caused by the break in supply of the product.

“When the scarcity continued, and all the excuses advanced by the stakeholders watered down, the National Operations Controller of IPMAN advanced another reason and argued that the scarcity is because of an unsteady supply of the products.

“Worried that most of those fuel stations have resulted in selling fuel at over N300 per litre. It is observed with dismay that those who are gaining from this artificial fuel scarcity appear to be smiling home as a result of this ugly development and this has the potency to provoke innocent Nigerians against the government.

“Further worried that generally, there is a hue and cry over this ugly development and unfortunately, those that are charged with the responsibility of taking control of this situation are not doing enough to combat the ugly development. This appears to be a dangerous signal that the government must tackle without further delay to restore normalcy.”

Adopting the motion, the House mandated its Committees on Petroleum Resources (Downstream) and Legislative Compliance to ensure compliance.

Meanwhile, the House of Representatives yesterday passed through second reading a bill seeking to amend the Standards Organisation of Nigeria (SON) Act to provide for the inclusion of a representative from the Federal Ministry of Petroleum Resources in the organisation and expand its functions to include investigation and quality assurance certification of petroleum products.

The proposed legislation, tilted: “Bill for an Act to amend the Standards Organisation of Nigeria Act, 2015 and for other related matters (HB.1749),” was sponsored by Hon. Sergius Ogun and Hon. Ganiyu Abiodun Johnson.

Leading the debate on its general principles, Ogun said the bill specifically seeks to amend section 3(1)(b) of the Principal Act by inserting a new sub paragraph to help enhance the effectiveness of SON in ensuring quality of products (especially petroleum products) and improving the fight against substandard or fake products in the country.

He said, “One of the primary government agencies saddled with the responsibility of regulating product standard in Nigeria is the SON.

‘Specifically, SON is mandated to among other things, prepare standards relating to products, measurements, materials and processes among others, and their promotion at the national, regional and international levels. It is also mandated to provide capacity for local production of quality goods and certify industrial products, to mention a few.

“The SON Act makes provision for the Standards Council of Nigeria. The Council among other functions, is mandated to advise the Federal Government on the national policy on standards, standards specifications, quality control and metrology. It is also mandated to provide necessary measures for quality control of raw materials and products in conformity with the standard specification. Some of the members of the Council, are the following ministries. Namely; Rural and Agricultural Development, Defence, Trade and Investment, Finance, Works and Housing, Health, and Science and Technology.

“However, despite the centrality of the petroleum sector in the Nigerian economy, the Ministry of Petroleum Resources is/was omitted from the Standards Council of Nigeria membership, hence this amendment bill.

“The bill seeks to include a representative from the Federal ministry of Petroleum Resources in the Standards Council of Nigeria. This amendment I believe, will help in enhancing the effectiveness of the Standards Organisation of Nigeria and strengthen it in the fight against substandard products and goods which now spreads across almost all sectors of the Nigerian society.”

In a related development, Members of the House of Representatives has finally passed a bill seeking to restrict foreign vessels on Nigerian waters and allow only the carriers owned by Nigerians.

The passage followed the consideration and adoption of a report on the Bill’s clauses laid by the Chairman of the House Committee on Maritime Safety, Education & Administration, Hon. Lynda Ikpeazu.

The lawmakers had in March 2021, passed the proposed legislation which seeks amendment to the existing Cabotage Act to promote the development of indigenous tonnage and also establish a Cabotage Vessel Financing Fund, through second reading.

Ikpeazu had in her debate on its general principles said the passage would reposition the Nigerian maritime sector to achieve its potential.

According to her, the bill aims to address the challenges of the current cabotage regime by adequately and effectively developing and protecting the rights of Nigerians to dominate in the area of commercial transportation of goods and services within Nigeria’s coastal and Inland waterways.

The bill draft showed that Clause 4 introduces a new Section 3B. This new Section 3B (2) expressly provides for the delegation of the powers of the Minister to the administering agency to expedite efficient management of the day-to-day administration of the cabotage system.

Clause 7, on its part, effectively amends Section 22(5) of the Principal Act by expanding the Act’s coverage with regards to vessels that require registration. This is to ensure that specific vessels carrying out commercial activities within our maritime domain are adequately covered. Clauses 9, 10, 11 and 12 amends Sections 35, 36, 37 and 40 of the Principal Act by increasing the penalties for the contravention of specific provisions.