The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has paid a complete of N22.7 billion bridging fund, a component of petrol subsidy, to transporters of petroleum merchandise since its institution.
The Chief Government Officer of NMDPRA, Mr. Farouk Ahmed, disclosed this yesterday in Lagos, on the finish of the quarterly assembly of the oil and gasoline midstream and downstream stakeholders for the dialogue of related points affecting the sector.
Apart the N22.7 billion already paid from December until date, Ahmed stated further N30 billion could be paid to the transporters this week.
He stated the bridging fund declare was one of many main points that had been mentioned and addressed on the assembly, including that the cash paid up to now by the company had surpassed the entire cost made in 2021 earlier than it took over.
Ahmed defined: “One other space of concern is the transporters and cost of their bridging funds and for the reason that final assembly of December, we now have paid about N12.7 billion to the transporters.
“Final week Monday, we paid one other N10 billion and this week, we’re paying one other N30 billion to transporters in a bid to provide them respite due to the difficulties they’re dealing with with the financial realities.
“Once we got here in, we wished to make sure that we do our due diligence earlier than cost was completed. What we paid in December has surpassed the entire of the cost made in 2021.”
We needed to do our due diligence to make sure that those that are owing, we should reconcile earlier than we make the cost.”
He stated reconciliation was nonetheless ongoing, including that the company would proceed to gather and pay to allow it meet up with the backlog it inherited.
The fund was managed by the defunct Petroleum Equalisation Fund (PEF) earlier than it was scrapped by the Petroleum Business Act (PIA) and its tasks subsumed into the NMDPRA.
Relating to the PIA, Ahmed stated rules had been being put in place by the Presidential Steering Committee chaired by the Minister of State for Petroleum Assets.
He stated about 37 to 38 rules from the PIA relate to the midstream and downstream authority and that the company had acquired about eight draft rules that had been forwarded to the authority for assessment.
He defined that a part of the intention of the yesterday’s assembly was to, “assessment these rules and invite all of the stakeholders to get enter as a result of we don’t intend to do that alone. We have to invite stakeholders to assessment the rules earlier than they’re put in place.”
Talking on behalf of the Nigerian Nationwide Petroleum Firm Restricted (NNPC), the Group Government Director, Downstream, Mr. Adeyemi Adetunji, stated NNPC would proceed to make sure regular stream of petroleum merchandise throughout the nation as an power provider of final resort.
Adetunji, who stated the deliberation on the stakeholders’ assembly was fruitful, vowed that the state oil firm will proceed to play within the sector with utmost accountability and excessive customary as a totally business firm ruled by the Corporations and Allied Issues Act (CAMA) and the PIA.
“We are going to proceed to make sure that all petroleum merchandise can be found…NNPC will proceed to place in place and provide the market with enough petroleum merchandise at the same time as we at the moment are NNPC Ltd., a totally business firm ruled by each the PIA and CAMA.
“We can even proceed to play our position as a accountable participant and subscribe to the very best requirements of all of the rules within the business. We are going to proceed to collaborate with all to make sure that Nigerians have enough and high quality stream of petroleum merchandise always”, he stated.
The Chairman of Main Oil Entrepreneurs Affiliation of Nigeria (MOMAN) and Chief Government Officer of Ardova Plc, Mr. Olumide Adeosun, stated a variety of the important thing considerations they tabled earlier than the assembly had been addressed, noting that some remained to be addressed and a few had been work in progress.
“A working example over the work in progress is that we have to have in place a post- announcement of the postponement of the subsidy removing with the PIA,” Adeosun stated. Supply: ThisDay