Oil & Energy
Menace Of Fuel Tankers In PH
There was a melo
drama last week Thursday at the base of the Mile I flyover near the UTC junction. A young taxi driver was involved in a head on collision with a police hilux van.
Instead of ordinarily coming out of his taxi to sort out the issue with the occupants of the police van, he rather abandoned his cab in the middle of the road and took to his heels. One of the officers corked his rifle ready to run after the taxi driver, but was called back by one of his colleagues.
In less than three minutes, the road was totally sealed up because the abandoned rackety cab and the police van had blocked the remaining narrow pathway left for every other vehicles descending from the flyover and those coming from UTC Junction. Fuel tankers have taken over 95 per cent of both sides of the road.
Atop the flyover had been taken over by parked tankers. Not only this axis of the road, Njemanze, under the flyover, Ikwerre Road, stretching from Education bus stop to Abonnema Wharf, Azikiwe Road and indeed every available space had been besieged by chains of tankers as their drivers despraretly moved to load products from the tank farms at Eagle Island, Port Harcourt.
For over one year running, this had become the state of traffic in this axis of Port Harcourt, the capital city of Rivers State.
The issue is not merely about distributing the highly needed petroleum product by both major and independent marketers, but rather the frustration being created for other road users and the environment.
The gridlock that was the public outcry at Apapa in far away Lagos State had been resolved but it appears to have become the nightmare to residents and motorists of Port Harcourt city.
Several calls on the authorities of the Rivers State Government to find lasting solution to the problem have remained unheeded.
Recently, the former Commissioner for Energy in Rivers, State, Hon Okey Amadi, was contacted by our correspondent to comment on the issue, but he rather passed the buck to his transport and urban development counterparts. Attempts to also hear from the two commissioners could not provide the needed help.
Similarly, attempt to get the chairman, National Union of Petroleum and Natural Gas Workers, NUPENG Tanker Drivers Chapter of Rivers State, Comrade John Amajionu, also could not help as he refered the correspondent to the National President of NUPENG, Comrade Achese Igwe. Several calls and text messages placed on Igwe’s phone could not be replied leaving the helpless masses of Port Harcourt who use the roads affected to stew in their own juice.
Apart from the blockage, the activities of the tanker drivers constitute health hazards.
The tanker drivers have formed the habit of operating a black market in these areas where they are found. They sell products on the road. The effect of the products on the road in itself pose challenges as corrotions wear off parts of the roads because of the chemical nature of the products discharged on the surface of the public road.
The negative effects of the parked tankers on the aged flyover also posses extra challenge on the bridge.
Experts said parking several tankers for several hours on the flyover is dangerous as such weight was not factored when the engineers were constructing the flyover.
An engineer, Chiekezie Orlunde, who spoke on the issue said, “the flyover has been constructed for many decades and it gets weaker with passing years. So many activities take place around all corners of the flyover so parking such number of tankers on it is dangerous.
Orlunde advised authorities of the federal ministries in charge to initiate some maintenance on the bridge to avoid some unexpected occurrances occasioned by reckless usage.
“As the parts of the structure continue to wear away without fortifications or maintenance, it could collapse with time and you can imagine the danger this could pose to lives and property. The best step is to avoid such catastrophy,” he advised.
Some security experts have also viewed a situation where the convergence of many trucks for days on public roads is capable of promoting criminal activities as robbery and rape amongst others. There is also the likelihood of fire outbreak in view of the highly inflammable products the trucks carry.
Other road users whose movements are being obstructed by the activities of the tanker drivers also count their losses.
Josef Ndu, a bus driver who plies Mile III – Lagos route said, you spend hours to get to Lagos Bus stop from Mille III, a distance that should ordinarily not take you more than 30 minutes.
Ndu said, the blockage results in accidents and bad business to commercial drivers who are out to render financial account on daily basis and also make profit to take care of their families.
The coordinator of Green Safe Earth, a non-governmental organization, Kingsley Nwafor, while reacting to the development appealed to the Rivers State Government to find lasting solution to the problem.
“Let the government collaborate with owners of the tank farms in Eagle Island to provide alternative parking space for the trucks,” he said.
Nwafor said, it is true the tanker drivers play vital roles in the distribution chain of petroleum products in the country, but they should operate according to laws governing the society as well as avoid activities capable of endangering other persons in the society.
Government can do well by providing spaces even outside the vicinity from where the tanker drivers can be coming to load products instead of besieging the centre of the city.
He further urged the NUPENG authorities to compel the tanker drivers to be of responsible manner, “because the way and manner they use the road is bad. Atimes, they drive across opposite lanes not minding the destruction done to the demarcation at the middle of the road.
Another resident who spoke on the issue, Peter Udoh, wondered why government remained insensitive to the cries of the people.
“May be, the tank farms are owned by the government people such that they don’t mind what risk the tanker drivers pose to the lives of other persons”. Udoh particularly called on the new governor, Chief Nyesom Wike, to come to the rescue of the innocent masses who suffer from the recklessness of the tanker drivers.
He urged non-governmental organizations to lend their voices to the call for order since the authorities concerned appear to be indifferent to the plight of the masses who suffer as a result of the excesses of the tanker drivers.
“You remember the case in Lagos. Inspite of several calls, the big men who were benefitting from the Apapa tank farm refused to do the right thing until, the media, NGOs and even international organizations mounted strong campaign against it. Today, the gridlocks on Apapa road have eased off and ordinary people there are free from the hazard,” he stated.
Chris Oluoh
Queue at a filling station occasioned by fuel scarcity
The Bill for an act to prohibit gas flaring, encourage commodity utilisation, and provide for penalties and remedies for gas flaring violations has passed its second reading in the House of Representatives.
Sponsored by the Member representing Ikorodu Federal Constituency (APC, Lagos), Babajimi Adegoke Benson, the bill seeks to prohibit the flaring and venting of natural gas, except in strictly regulated circumstances, while encouraging the utilisation of gas resources to foster economic growth and energy generation.
The proposed legislation aims to mitigate the environmental, health, and economic impacts of gas flaring, aligning Nigeria’s oil and gas operations with international climate change commitments.
Offenders, who violate the provisions of the proposed law, would face stringent penalties, including fines of $5 per 1,000 standard cubic feet of gas flared and potential suspension of operations for repeat violations.
Leading debate on the general principles of the bill, Benson said gas flaring has plagued Nigeria for decades, resulting to severe environmental degradation, public health crises, and economic losses while it environmentally, contributes to greenhouse gas emissions, global warming, and acid rain, exacerbating climate challenges.
The lawmaker said public health impacts of the practice are equally dire, as pollutants from gas flaring cause respiratory and cardiovascular diseases, particularly among residents of communities close to flaring sites.
According to him, economically, flaring results in the waste of a valuable resource that could otherwise be harnessed for energy generation or exported to generate revenue.
Benson insisted that the bill was designed to address those issues while bringing Nigeria in line with global standards such as the Paris Agreement on climate change.
“The bill provides for a comprehensive prohibition of gas flaring except in emergencies or when explicitly authorised by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
“Operators are required to submit and implement Gas Utilisation Plans, detailing how gas that would otherwise be flared will be captured, processed, or commercialised.
“Offenders, who violate these provisions, face stringent penalties, including fines of $5 per 1,000 standard cubic feet of gas flared and potential suspension of operations for repeat violations. Furthermore, the Bill ensures that communities affected by gas flaring are entitled to compensation and environmental restoration, creating a mechanism for redress.
“Transparency and accountability are integral to the enforcement framework of this Bill. Operators must submit regular reports on gas flaring incidents, which will be audited and made publicly available by the NUPRC. This approach ensures public oversight and stakeholder engagement, fostering trust and compliance.
“Nigeria’s adoption of this Bill positions the country to emulate such success, ensuring a balance between environmental stewardship and economic development.
“The implementation of this Bill will be overseen by the Nigerian Upstream Petroleum Regulatory Commission, which will monitor compliance through regular audits, enforce penalties, and facilitate gas utilisation projects in collaboration with operators and development partners.
“The Anti-Gas Flaring (Prohibition and Enforcement) Bill, 2024, is a timely and necessary response to one of Nigeria’s most pressing environmental challenges. Its provisions are both practical and forward-looking, addressing immediate concerns while laying the groundwork for a sustainable future.
“I urge all Honourable Members to support the Second Reading of this Bill as a demonstration of our collective commitment to environmental protection, public health and economic progress”, he added.
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Oil major, Shell, has restated its commitment to the development of Nigerian companies through contract awards and scaling up of expertise.
Managing Director, Shell Nigeria Exploration and Production Company ((SNEPCO) Limited, Ron Adams, made the remark while speaking at the Opening Ceremony of the 13th edition of the Practical Nigerian Content forum held in Yenagoa, Bayelsa State, with the theme “Deepening the Next Frontier for Nigerian Content Implementation”.
Represented by the Manager, Business Opportunity, SNEPCO’s Bonga South-West Aparo Project, Olaposi Fadahunsi, he said several benefitting companies had taken advantage of the patronage to expand their operations and improve their expertise and financial strength.
Adams said, “Shell companies execute a large proportion of their activities through contracts with third parties, and Nigeria-registered companies have been key beneficiaries of this policy aimed at powering Nigeria’s progress”.
He emphasized that Shell companies in Nigeria also continued to develop indigenous manpower through scholarship programmes with over 3,772 undergraduate and 109 Niger Delta post graduate scholarships since 2016.
“As we speak, beneficiaries of the 13th edition of the Niger Delta Post Graduate Scholarship awards are pursuing their studies in the United Kingdom. The employability rate of the scheme is high with over 98% of the graduates who won the awards securing employment in the oil and gas industry, academia and Information Technology, among other sectors, within one year of completing their studies”.
He commended the Nigeria Content Development and Monitoring Board (NCDMB) for ensuring compliance with the Nigerian Content Act saying “Nigerian content will continue to be an important part of Shell operations”.
The four-day conference hosted by the Nigerian Content Development and Monitoring Board (NCDMB) and participating companies reviewed progress on the development of Nigerian content pertaining to the implementation of the Nigerian Oil and Gas Industry Development (NOGICD) Act since it was enacted in 2010.
Shell companies in Nigeria are among the more than 700 oil and gas entities that participated in the forum with a strong message of support for Nigerian companies, having awarded contracts worth $1.98 billion to the businesses in 2023 in continuing effort to develop Nigerian content in the oil and gas industry.
The Nigerian National Petroleum Company Limited (NNPCL) has sold the first cargo of Port-Harcourt low sulfur straight run fuel oil (LSSR) to Dubai-based Gulf Transport & Trading Limited (GTT).
The company is expected to load the cargo in the coming days onboard the Wonder Star MR1 ship, signalling the commencement of operations at the plant and the exportation of petroleum products.
The ship would load 15,000 metric tons of the product, which translates to about 13.6 million litres.
Although the volume coming from the NNPC into the global market is still small, the development has the potential to impact the Very Low Sulphur Fuel Oil (VLSFO) benchmarks in the future, while changing the market realities for Atlantic Basin exporters into Nigeria and other regions.
The sulfur content of the export by NNPC stands at 0.26 per cent per wt and a 0.918 g/ml density at 15°C, according to Kpler, a data and analysis company.
The cargo was reportedly sold at an $8.50/t discount to the NWE 0.5 per cent benchmark on a Free on Board (FOB) basis.
Kpler reported that the development would help displace imports from traditional suppliers in Africa and Europe, as Nigeria’s falling clean product (CPP) imports are already decreasing, dragging imports into the wider West Africa region lower as well.
