By Hector Igbikiowubo

LAGOS — THE Petroleum Products Pricing and Regulatory Agency, PPPRA, has been accused of manipulation and lack of transparency in the administration of the newly introduced Sovereign Debt Instrument (SDI) and the allocation of petroleum products importation to entities without any known facilities. 

Some marketers also alleged that in the last few months, government had paid billions of Naira to these “portfolio marketers” as imports subsidy on the recommendations of the PPPRA. 

A ranking official of the Ministry of Petroleum Resources who did not want her name in print said since the allocations were allegedly made “secretly,” both the presidency and the ministry have been inundated with a plethora of verbal complaints and written petitions.

“In the 2nd and 3rd quarters specifically, some companies were allocated petroleum products import permit above their request and/or installed capacity, some got allocation below their request and installed capacity while others with well established structures for supply and distribution got nothing at all.

“In the interest of fair-play and transparency, we demand from PPPRA a publication of the full list of those companies which got petroleum products allocation in the 2nd and 3rd quarters along with their installed capacities, quantity applied for, quantity approved, date of importation, port of discharge, vessel name, quantity imported, Naval/DPR clearance of such vessel, country of origin as well as names of the promoters of such companies.

“We also demand that the current 3rd quarter allocation which the PPPRA and its cohorts have secretly carried out be reviewed, the agency should equally give reason for not making the 3rd quarter allocation public, otherwise, we shall be compelled to resort to other measures to seek redress,” one of the petitions at the disposal of the Vanguard read.

Contacted, an official of the presidency admitted that some marketers had sent in petitions protesting the 3rd quarter allocations, but declined further comments, noting that further comments may only serve to heat up the polity.

 Petroleum Minister distances self

Also recently, Mrs. Diezani Allison-Madueke had to distance herself following allegations of her interference in the daily operations of the PPPRA.

Dr. Levi Ajuonuma who spoke on her behalf explained that this was not possible since the agency was not administratively within her direct supervision, adding that the PPPRA was under the presidency and does not report to her.

“Any insinuation to the effect that the Minister interferes with the day-to-day running of either PPMC or the PPPRA is not only unfair, but a blackmail which will not be tolerated,” Dr. Levi enthused.

The ministers’ alleged interference only became rife following the 3rd quarter allocations which continues to generate angst among some industry stakeholders. 

It would be recalled that last week, the minister of petroleum resources gave approval for importation of 3.2 million metric tonnes of PMS to the NNPC and about 30 other importers. Meanwhile, the estimated optimum volume requirement in the country in metric tonnes for 120 days is 3,131,991.05.

While there is an excess of about 69,000 metric tones, investigations, revealed that some petroleum marketers have not exhausted their 2nd quarter allocation.