Investment needed to tackle inefficiencies in Nigeria’s petroleum supply chain, says NMDPRA director

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Ogbugo Ukoha, executive director (ED) of distribution, storage system and retail infrastructure at NMDPRA, says investment is needed to tackle inefficiencies in the country’s petroleum supply chain.

byOgbugo Ukoha, executive director of distribution, storage system and retail infrastructure at the Nigerian Midstream and Downstream Petroleum Regulatory Authority , says investment is needed to tackle inefficiencies in the country’s petroleum supply chain.

He gave an instance of a recent inspection with NMDPRA’s executive vice-president, downstream, at Tincan Island anchorage, where vessel backlogs occurred due to one vessel grounding at Escravos.“A few days ago, we were at the Tippy Sole , watching as vessels were queued up at Escravos because one vessel had gone aground. This required evacuation and took many days to resolve,” he said.

The executive director called on commercial banks to partner with investors focused on the sector, adding that with adequate funding, the industry could lower operational costs and boost efficiency.He also expressed concern over the reliance on trucking for distribution, describing it as both expensive and hazardous.

He suggested that fully automated trucks be mandated to enhance tracking of petroleum product movements from origin to destination.

 

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