Nigerian refineries damaged beyond turnaround maintenance – NNPC   – Newstrends
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Nigerian refineries damaged beyond turnaround maintenance – NNPC  

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The Nigerian National Petroleum Corporation (NNPC) says the nation’s refineries have been damaged beyond the usual turnaround maintenance (TAM).

It said this accounted for the prolonged neglect of their overhauling.

However, to revamp them,

The national oil, however, said it was embarking upon total rehabilitation of the plants, which despite currently being non-functional, gulp about N10bn monthly in payment of salaries and other in-built costs.

The Managing Director of the Kaduna Refining and Petrochemical Company (KRPC), Mr Ezekiel Osarolube, stated that the corporation had begun the rehabilitation of all the facilities.

He spoke on Wednesday, the third day of the virtual Oil Trading and Logistics (OTL) Africa Downstream Expo 2020, with the theme ‘Petroleum Refining Trends and Outlook for Tomorrow’s Energy Supply’.

He explained that there was now a private/public arrangement in the revamping of the refineries, adding that getting them back on stream remained a priority of the NNPC.

Osarolube said, “The first phase of this project is to raise capacity and second phase is to upgrade and modernise to meet current trends; so, we need time to get there.

“There’s a difference between turnaround maintenance and what we are doing now. The traditional TAM, which the whole world knows is usually statutory, which is done two to three years, is to open and clean the system.

“But because of the long neglect, we have gone beyond that level of turnaround. What we are talking about now is comprehensive rehabilitation, which will involve replacing very obsolete equipment that can bring the plants back to optimum performance,” he stated.

He also said the journey to make the plants resume production was ongoing, adding that the corporation had a road map being followed religiously to ensure all the slippages were rectified.

“These steps are going on in Warri, Kaduna and Port Harcourt and we have a roadmap we follow religiously.

“Every month, we have a stakeholders’ meeting to review where we are and if there is any slippages and how to recover because top management is focused on this project as the number one project of the NNPC.

“We are dealing with people who are good in the business and they also want to recoup their money. All the fears will be taken care of and everyone will be proud of the NNPC.”

The Executive Secretary of the African Refiners and Distributors Association (ARA), a pan-African organisation for the African downstream oil sector, Mr Anibor Kragha, said while the NNPC was on the right path, it should focus on combining rehabilitation and upgrade to cleaner fuel specs to sell across Africa since there’s a huge market for it.

He said, “We are going to have a population explosion in the next two decades and we are going to need an increased amount of energy to meet their demands.

“Renewables are going to grow during that period. Notwithstanding what happens, we are going to need a lot of crude oil but we need to focus on cleaner fuels. That’s why we are calling for Africa specific fuels by 2030.”

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Tinubu orders creation of single-digit tax system

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Tinubu orders creation of single-digit tax system

President Bola Tinubu has directed a creation of a single-digit tax system with a maximum of nine taxes for a company or an individual.

Executive Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, disclosed this in Abuja while speaking with the management team of Guinness Nigeria who paid him a visit.

A statement on Wednesday by Dare Adekanmbi, Special Adviser on Media to the FIRS chairman, quoted Adedeji as saying, “The President gave a directive that he wants a single-digit tax in the country, meaning that the maximum number of taxes we will have after the work of the Presidential Committee on Fiscal Policy and Tax Reforms will be nine taxes.”

The statement added that the plan was aimed at having a conducive environment “created for businesses to flourish and grow the economy.”

 

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Naira gains further against dollar

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Naira gains further against dollar

The Naira rose further in the official market on Tuesday, trading at N1,382.95 to the dollar.

According to data from the FMDQ’s official trading portal, the Naira rose by N25.09, or 1.78 percent, from the previous day’s rate of N1,408 versus the dollar.

On Tuesday, total turnover was $245.58 million, up from $222.15 million on Monday.

Meanwhile, at the Investor’s and Exporters (I&E) window, the Naira traded between N1,486 and N1,300 against the dollar.

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The News Agency of Nigeria (NAN) reports that the Central Bank of Nigeria (CBN) had, earlier on Tuesday at its 294th Monetary Policy Committee (MPC), raised Monetary Policy Rate (MPR) by 200 basis points from 22.75 per cent to 24.75 per cent.

CBN governor Yemi Cardoso said that was meant to tackle the nation’s rising inflation.

Naira gains further against dollar

(NAN)

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CBN jacks up interest rate amid soaring inflation

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CBN jacks up interest rate amid soaring inflation

The Central Bank of Nigeria (CBN) on Tuesday raised the interest rate from 22.75 per cent to 24.75 per cent amid soaring inflation.

Governor of the central bank, Olayemi Cardoso, made this known after the two-day Monetary Policy Committee (MPC) meeting held on Monday and Tuesday.

The country’s latest annual inflation rate jumped to 31.70 per cent from 29.90 per cent for last month, fueled by a continuous rise in food prices.

Cardoso disclosed that the MPC voted to adjust the asymmetric corridor around the MPR at +100 to -300 basis points.

He said the committee voted to retain the Cash Reserve Ratio (CRR) at 45 per cent for commercial banks and adjust the CRR of merchant banks from 10 per cent to 14 per cent.

The committee also voted to retain the liquidity at 30 per cent.

He said, “Members noted the continued rise in headline inflation driven largely by food prices, because of supply shortages, and high cost of Logistics and Distribution.

“The committee, therefore, was of the view that addressing food insecurity is key to containing current inflationary pressures.”

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