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Marketers want cheaper, cleaner alternatives to PMS, diesel amidst deregulation fallout

There must be cheaper and cleaner alternatives to petrol and diesel made available to the public especially now that full deregulation of the Nigerian Petroleum downstream sector commenced, Major Oil Marketers Association of Nigeria (MOMAN) has said.

The group also added that Nigeria could develop into the refining hub for West and Central Africa becoming a net exporter of refined products following Federal Government’s new policies on alternative energy, total deregulation, liberalization of the petroleum downstream sector and the coming on stream of new modular refineries.

The association, in a statement by its chairman, Mr Tunji Oyebanji, also said Nigeria has an opportunity to go big on alternative energies such as gas and solar energy, adding that the country must gird its loins to ensure that these green alternative energy sources were strategically developed and their usage deepened across the country for the benefit of Nigerians.

He said there must be cheaper and cleaner alternatives to petrol and diesel made available to the public especially as full deregulation of the Nigerian Petroleum downstream sector commences.

He hinted that association is also supporting the gas initiatives of the Federal Government of Nigeria and keying into the auto gas space to give Nigerians across the country a cleaner and greener alternative to power their automobiles, homes and other equipment.

He said: “The idea of deepening the use of gas comes at a very auspicious time as we grapple with increasing PMS prices due to the deregulation of the petroleum downstream sector.”

The marketers said in total support of the government’s new energy strategy, they organized the Nigerian Compressed Natural Gas Webinar on the 2nd of September, 2020 in collaboration with Oil Trading and Logistics (OTL) Africa Downstream and ARS Conference Services with key stakeholders in the country’s oil and gas sector in attendance.

The event unveiled gas as a cheaper and greener replacement fuel for automobiles in Nigeria and dissected the spectrum of its untapped potential across the downstream energy valuechain, spellingoutopportunities for government, investors, and consumers.

They also said the webinar reinforced the government’s commitment to the gas deployment strategy, addressed issues around policy framework, infrastructure, sustainability, and usability.

According to the marketers, it is imperative to develop CNG, LPG andLNG as an alternative to petrol and other fuels has never been more critical, especially with the recovering crude oil prices and the rising demand of refined products as we approach the winter months in Europe.

The statement said: “Using other countries where Gas has been adopted and integrated as an alternative auto fuel as case studies, Gas requires government support and interventions to take root.

The Gas value chain is awash with opportunities for new investment, skills development, and enhancement of our local public transportation infrastructure.

“Clear policy directives and legislative framework aimed at generating demand, as well as Customs duty and tax waivers will be required and fast tracked to jumpstart the sector and attract investment into the gas space.

The statement said the National Gas Expansion Program (NGEP), has further engaged stakeholders across the energy value chain to push the government’s gas agenda following its recent stakeholders consultative webinar meeting in association with MOMAN and DAPPMAN.

It added:” In essence, the NGEP is bringing together all relevant government agencies to ensure that the gas space is business friendly and conducive enough to encourage new investors into the sector. Nigeria, being a gas country must be able to benefit locally from its abundant gas reserves and transfer the advantages to the Nigerian consumer” At the webinar, Dr. Mohammed Ibrahim, Chairman, National Gas Expansion Programme (NGEP), also said the promotion of gas as replacement fuel will save Nigeria the much-needed foreign exchange expended on importation of refined petroleum products.