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Nigeria : Marketers petition N'Assembly Over Oil Concession to Oando

Print E-mail
Friday, 02 October 2009
The concession the Department of Petroleum Resources (DPR) granted Oando Plc to sell both petrol and liquefied petroleum gas, otherwise known as cooking gas, in its outlets is causing ripples in the industry, as the National Association of LPG Marketers has petitioned the National Assembly and the Nigerian National Petroleum Corporation (NNPC) over the matter.

The association contended that the concession contradicted the existing regulation, which forbids petrol outlets from selling both products at the same retail centre. The petition, made available to journalists in Abuja yesterday, was also copied to the NNPC, the Senate President, David Mark, Speaker of the House of Representatives, Dimeji Bankole, and Oando Plc.

The association said there was need for it to bring the uneven playing field to the attention of major stakeholders in the industry, stating that not only could the act jeopardise the health of Nigerians but it also shows that some of the firms are given preferential treatment. It stated that it is the duty of the DPR and other appropriate authorities to ensure that no retail outlet is allowed to sell both petrol and domestic gas within the same premises.

Leonard Ebie, who is a consultant to the National Association of Liquefied Petroleum Gas Marketers (NAPLGAM), alleged that "it is now common practice by Oando Plc, particularly in Abuja and Kaduna, to dispense these two very volatile products at their various petrol stations."

The body added: "And while it may be of financial benefit to them as a corporate institution, we are obliged to inform you that by the existing rules of engagement in this oil and gas business we all operate under, as regularly insisted upon by your officials/staff, no individual or corporate body shall operate at the same venue/premise the sale and or dispensing of these two products."

NAPLGAM queried why its members scattered all over the country were regularly directed to uphold the law while Oando was allowed to flout it in the FCT. It added: "The obvious fire consequences of the combination of these two products are better imagined and the risk factor that one petrol station brings to bear on the environment is enormous, not speaking of when it is added with an LPG dispensing plant."

However, it clarified that it would seek a solution through other appropriate authorities, including civil court, for a legal interpretation of the issue if it was not satisfied with the response of DPR.

PetrolWorld 300909

 

 
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