Business
High Petrol Price: Regulators Shut Seven Defaulting Depots, To Revoke Licences
The Nigerian Midstream and Downstream Regulatory Authority (NMDPRA) has shut seven defaulting depots and vowed to revoke the licences of petrol marketers selling above the controlled prices, and those hoarding the product in their depots.
Chief Executive officer of the NMDPRA, Mr. Farouk Ahmed, made this vow while speaking in Abuja, weekend.
He explained that in the last few days several depots had been shut down for selling above the regulated prices.
According to Ahmed, the nation still had at least 30-day sufficiency, noting that the global crisis caused by the Russian and Ukrainian war in addition to the fluctuation in the value of the naira had affected the even distribution of petroleum products, particularly from the waterways to the depots through truck-ins to the retail stations.
He stated that several meetings had been held with petrol marketing companies, independent marketers, transporters, the suppliers – Nigerian National Petroleum Company Limited (NNPC) – and other interested parties to see how the distribution bottlenecks could be addressed.
“Now, the market is not deregulated. So, we are still in a regulated environment as far as petrol is concerned,” he stated.
Ahmed continued that President Muhammadu Buhari had approved an additional N10 for transporters to cover the transportation costs as a result of the high costs of diesel, which, he said, is the main source of transporting other products within the country.
He noted further that one of the constraints within the distribution system had been the increase in the bunkers’ freight rate from between $16,000 to $19,000 per day to about $35,000 to $40,000 per day within Lagos and even more to Calabar.
“We sat down with the marketing companies and agreed to give them some palliatives through the NNPC, as well as through our regulatory control areas. But the market has continued to increase the cost of ex-depot prices.
outlet owner, he will say this is how much he bought it from the depot owner. But NNPC Limited is the sole importer. And they sell these products to the marketing companies within acceptable import parity pricing benchmarks.
“So, even with the additional cost of transportation, by trucking or by sea, the acceleration or the increase in the ex-depot price was completely outrageous,” Ahmed explained.
He noted that as a responsible regulator, the organisation was concerned about the yearnings and sufferings of innocent Nigerians who have no voices and had therefore decided to take action, not necessarily to destabilise the market but to strengthen it.
“We had intelligence from other relevant law enforcement agents, in addition to the intelligence information we had within our own system, so we corroborated all the information that we gathered.
“We had to take action, and the first action we took a couple of days ago was to shut down some of the depots where they have products.
“A lot of them have breached that trust or regulatory requirement, but we’ll have to start from somewhere. So we shut down about seven depots in Lagos and other parts. We have shut down Aldova.
“Aldova is under maintenance; so, we shut down where they had their products and they were selling beyond the controlled price and Aldova is a major marketing company. You know, they are getting their products directly from NNPC.
“And they’re also getting it with some level of comfort because it’s not like cash and carry, so they had no reason to increase their price beyond reason. Then, of course, Rainoil in Lagos and all their facilities,” he said.
In Warri, Oghara, Port Harcourt and Calabar, Ahmed added that some depots had also been closed for breaching the rules.
“The next level is the continuation of what we are doing. We have got to a level where marketers understand their responsibility to the consumers. What do you do next? We can revoke any licence.
“We don’t need to shut their depots. We don’t need to shut down their facility or retail outlet. We just have the mandate as a regulator to withdraw or revoke their licence.
“And once we revoke your licence, we notify all the relevant stakeholders that deal with you in the business to also know that if you do not have a licence, if they deal with you, they’re also breaching the regulation and they’re breaching the process and that’s exactly what we are going to do because we cannot continue like this. Nigerians have suffered,” he added.
According to him, the board of directors of NMDPRA had met and agreed and had given the go-ahead to shut down any defaulting facilities.
“We have enough products in the country. As of last night, we had about 30 days sufficiency and I will tell you that about 10 days of that sufficiency is on land and there has been even distribution by trucking,” he added.
MoniePoint Inc. a digital financial firm in Nigeria, has said it is empowering community pharmacists across the country with innovative payment solutions to improve access to drugs.
The financial firm said it had also provided loans for pharmacists under the aegis of the Association of Community Pharmacists of Nigeria (ACPN) to drive healthcare delivery in the country.
MoniePoint in a release titled, “Inside Nigeria’s community pharmacies: How Moniepoint drives healthcare access with payments and funding”, has reaffirmed its commitment to providing digital payment solutions to improve health outcomes in Nigeria.
The release examined how community pharmacies play a crucial role as vital access points for medical care in Nigeria, especially in areas with limited hospital or clinic access.
According to the release, the ACPN National Chairman, Ambrose Igwekwam, highlighted the critical role played by community pharmacies in Nigeria’s healthcare system over the years.
Igwekwam, however, expressed concerns over the challenges confronting the nation’s pharmaceutical industry which he said was hindering access to affordable medicines.
The pharmacist listed poor infrastructural systems, power, transportation, regulatory bottlenecks, importation dependency, and limited research opportunities as major challenges facing the pharmaceutical sector.
He also stressed the need for robust collaborative efforts with institutions like Moniepoint to strengthen the sector.
“As Nigeria continues to grow, improving local pharma manufacturing to meet the demands of this growth presents a key opportunity for us all.
“There is also the African Continental Free Trade Area Agreement, which is expected to boost our industry, especially when we start producing our drugs locally, which will provide the much needed foreign exchange from exports.
“We are also seeing advancements in digital health and technology which would hopefully deepen the practice of e-prescription in Nigeria”, the ACPN boss said.
Corlins Walter
In order to enhance customer service and streamline operations, the Chartered Insurance Institute of Nigeria (CIIN) has called on stakeholders in the insurance industry to embrace Artificial Intelligence (AI).
The President of the institute, Yetunde Ilori, made this call at the 2024 Office Representatives Committee (ORC) Workshop, organised by the institute, with the theme “AI and the Future of the Insurance Industry”, in Lagos.
Ilori at the event, emphasised the importance of AI adoption, noting that it was not a threat to jobs but rather a tool to improve efficiency across the insurance sector.
“It is not about AI taking over our jobs, but about us using AI to simplify processes and give maximum satisfaction to all the customers we serve whether as underwriters, brokers, loss adjusters, or in educating our members”, she said.
The workshop, which brought players in the insurance sector together, aimed to address how AI could be leveraged to transform business processes and improve customer interactions.
The Chairman of the ORC, Monica Nwachukwu, underscored the role of AI in modernising the industry, adding, “AI can automate customer and claims processes, allowing insurers to provide faster and more efficient services to their customers”.
She explained how AI could help extract data from legacy systems, enhancing decision-making processes.
“By integrating AI with APIs, insurers can feed valuable data into AI solutions to improve operations and customer service”, she added.
In his address, the Managing Partner of A4S and Training Heights, Orlando Odejide, stressed the need for companies to align their strategies with future technologies like AI, especially as they prepare for 2025.
“Any organisation that wants to grow into the future must have its strategic plan in place. If your strategy for 2025 is not ready, it should be done by October”, he advised.
He encouraged participants to think critically about how AI could be integrated into their business models to ensure they remain competitive.
“The idea is for you to use this workshop as a platform to think about your organization and how AI can help streamline your processes and improve growth”, Odejide noted.
In order to gain global respect and recognition, the National Space Research and Development Agency (NASRDA) has reaffirmed its determination to pursue its goal in ensuring that Nigeria’s space capabilities are recognised on the world stage.
The agency also reaffirmed its commitment to positioning Nigeria as a key player in the global space economy.
In a statement by the Director of Media and Corporate Communications, Dr. Felix Ale, NASRDA revealed that the Director-General of the agency, Matthew Adepoju, emphasised this during recent engagements at the 79th United Nations General Assembly and the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) and Global Alliance Business Association international conference in Michigan, United States.
The statement noted that Adepoju outlined a forward-thinking agenda, stressing the importance of Nigeria’s space programme as a leader in research, exploration, and technological innovation.
“Our goal is to ensure that Nigeria’s space capabilities are recognised on the world stage.
“We must foster collaborations with global space agencies to enhance our satellite capabilities and technological infrastructure”, he stated.
The NASRDA boss said the agency is focusing on enhancing satellite capabilities, expanding international collaborations, and leveraging space science for national development.
He said NASRDA will have no stone unturned in pursuit of excellence, ensuring the agency secures the necessary resources and recognition to propel it forward.
“The relationships we build today will pave the way for tomorrow’s advancements in space science.
“Innovation and progress thrive in an environment built on collaboration and inclusivity”, he stated.
He emphasised that with the support of the government, international partners, and a dedicated team, NASRDA is poised to make significant strides in the evolving global space landscape.
“We are on the brink of a new era for Nigeria’s space agency. Together, we will ensure our nation stands out in the global space economy”, he said.
Corlins Walter
