News

NNPCL Refutes Reports Of Ending Fuel Importation

Published

11 hours ago

Nov 15, 2024.

The Nigerian National Petroleum Company Limited (NNPCL) has firmly dismissed claims that it has ceased the importation of refined petroleum products, calling recent reports a “misrepresentation and misinterpretation of facts.”

The reports, which circulated widely online on Tuesday, suggested that NNPCL’s Group Chief Executive Officer, Mele Kyari, had announced an end to fuel importation, citing plans to rely solely on supplies from the Dangote Refinery and other domestic refineries.

EDITOR’S PICKS

EKO HOT BLOG reports that according to these reports, Kyari made the comments at the Nigerian Association of Petroleum Explorationists (NAPE) conference in Lagos, themed “Resolving the Nigerian Energy Trilemma: Energy Security, Sustainable Growth, and Affordability.”

In a clarifying statement, NNPCL’s Chief Corporate Communications Officer, Femi Soneye, explained that while some quotes from Kyari’s speech were accurate, the interpretation and context in the reports were distorted. Soneye noted, “While your report quotes the GCEO’s exact words in several instances, you have inserted interpretations that misrepresent the context and meaning of the statement. This misrepresentation has created a false narrative that deviates significantly from the facts.”

Soneye described the inaccurate assertions as unfortunate, urging media organizations to ensure due diligence when reporting on sensitive national matters. He requested a right of reply, pointing to inaccuracies in the headline, which claimed, “NNPCL Ends N24tn Fuel Import, Buys from Dangote Refinery.”

Soneye clarified, “The GCEO’s statement, ‘Today, NNPC does not import any product; we are only taking from domestic refineries,’ does not imply that NNPC Ltd. is mandated to solely source from local refineries or cease imports entirely.

NNPC’s priority is sourcing from domestic refineries when economically viable, a principle that applies equally to other marketers, who will base their sourcing decisions on total cost factors, whether domestic or imported.”

Economic viability, Soneye explained, will drive NNPCL’s decisions on whether to source refined petroleum products domestically or internationally. Nowhere in Kyari’s statement, he emphasized, was there any mention of halting imports or the N24 trillion figure cited in the reports.

Soneye further highlighted that the authority to grant fuel import licenses is vested in the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), as mandated by the Petroleum Industry Act (PIA).

“NNPC Ltd. does not control more than 30% of the market, as stipulated by the PIA, which aims to prevent monopolies,” he added, pointing out that the law promotes a free-market system designed to foster competition, drive efficiency, and reduce costs, ultimately benefiting consumers. Domestic refineries must compete on price and value since patronage cannot be mandated in a deregulated sector.

NNPCL Fuel Importation

Soneye commended the newspaper for accurately reporting NNPCL’s investments in Compressed Natural Gas (CNG) infrastructure, which aligns with the company’s broader energy security and affordability goals. However, he voiced concern over recent “deliberate distortions and mischaracterizations” in coverage of NNPCL’s operations, calling for greater care and accuracy in reporting on national energy security issues.

He concluded, “While we understand that errors can happen, it is essential that your reporters seek clarification when in doubt, especially on issues of national significance.

“Misleading narratives erode public trust and affect the integrity of your reputable newspaper. I urge you to prioritize accuracy and educate your team on the importance of seeking clarity before publishing sensitive content. A cautious approach will benefit both your readership and your publication’s reputation.”