• Monday, December 23, 2024
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Dangote refinery to get full operating license soon — FG

Explainer: Separating fact from fiction in NMDPRA’s claims against Dangote refinery

Farouk Ahmed, Authority Chief Executive Officer, NMDPRA

The federal government has announced plans to commission and grant full operating license to Dangote refinery.

Farouk Ahmed, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority disclosed this in Abuja on Tuesday, stating that only three refineries currently have valid licenses to operate in the country.

Read also:Dangote refinery dismisses claims a 2-million crude vessel delayed by shortage of dollars

Ahmed who was represented by Ogbugo Ukoha, the Executive Director, Distribution Systems Storage Retailing Infrastructure, at the ‘Stakeholders’ Consultation Forum on Midstream and Petroleum Host Community Development Trust Regulations’ said, “we have issued three refineries with valid licenses. We awarded to Dangote Refinery even in their pre- commissioning and sooner than later they will have full commission and a valid license to also operate.

He explained that only about 15 gas facilities in the country have valid licenses and 1,199 facilities with valid licenses in the downstream.

Also, there are about 130 depots with valid licenses and 69 valid coastal vessels licenses, adding that there were a total of 9,464 licensed retail outlets in the country as at Tuesday.

“In the gas processing facility, within the midstream, there are about 15 of them with valid licenses. And much are under processing.

“If you go to the downstream, in the gas state of the downstream, there are facilities more that 1,199 facilities are with NMDPRA valid licenses.

“More than 176 operators hold gas import permits. In the liquid licensing side of the downstream, there are 130 depots with valid licenses, coastal vessels of more than 69 valid licenses as at today. And in the retail outlets, we have 9,464 licensed retail outlets as at 10:00am today 30th April.”

Read also:NMDPRA increases gas price for strategic sectors

In his remarks, Dumnamene Dekor, chairman, House Committee on Host Community, stressed on the need for industry players to implement the regulationas it affect hist communities, adding that defaulters will be punished.

“As we review the draft regulation, the objectives which includes the need to transmit sense of ownership and inclusion to the people who live in and around the house communities.

“There is the essential need to repeal and strengthen the trust between the companies and the community and between the community and the government,” he said.

Read also:NMDPRA maintains current natural gas prices for domestic market

For Benjamin Tamaranel, the National President of host communities of Nigeria, the inclusion and representation of host communities in the PIA, can be harnessed as a tool to address insecurity in the oil producing regions of the country.

“We are happy that this is happening today, because we have fought for this inclusion, the social inclusion of host communities, which for over 60 years, has been deprived. But for the advent of this PIA 2021, the host communities has been captured.

“Even though this is long awaited, we are happy that the communities will be considered and this will lead to shared prosperity and sustainability. Also, with this, the issue of pipeline vandalization will also be drastically minimise because they have been considered and there is something coming to the community,” he said.

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