FG To Legitimise Oil Bunkering

The federal government through the Department of Petroleum Resources (DPR), regulator of the oil and gas sector has indicated its readiness to issue licences to vessels in a bid to legitimise bunkering business in the country.

Bunkering is the act or process of supplying a ship with fuel.

In Nigeria, oil theft is commonly referred to as bunkering which involves siphoning crude from pipelines into makeshift vessels.

The agency also disclosed that the licencing renewals and registration of vessels for the exercise would yield  about N250million annually.

The development came as the federal government on Wednesday began move to revive  the operation of bunkering businesses in the nation’s coastal waters.

Director of the agency, George Osahon, who spoke at the sensitisation forum to mark beginning of  the exercise in Lagos, said operators of bunkering in the country would be licensed by the DPR beginning from this January.

He said President Goodluck Jonathan had approved the issuance of license to bunkers as part of his economic agenda, adding that  resuscitation  of bunkering activities would create employment activities for Nigerians, as well as act as stimulus for growth in other sectors of the economy, including inland ports and waterways.

The exercise will further boost  Nigeria’s  marine activities which may make the country a hub of bunkering operations in West Africa if bunkering is successfully resuscitated.

Osahon told the participants that his agency was committed to making the resuscitation of bunkering a huge success for the country.

He said his agency had prepared all guidelines to regulate the business of bunkering in accordance with the provision of the Petroleum Act.

Among petroleum products recognised  by the Act for bunkering activities are automative gas oil, low pour fuel oil and recently liquefied natural gas,” he said.

Assistant Director, Safety of NIMASA, Ubong Abasi, said for operators of bunkering to pass his agency’s test they must let NIMASA know if they wanted to construct their vessels for the operation.


Source: Leadership