NNPC plans PPP model for pipeline infrastructure


The Nigerian National Petroleum Corporation (NNPC) will leverage public private partnership to address the gap in pipeline infrastructure in the country, Group Managing Director of the company, Maikanti Baru, has said.

Speaking while inaugurating a new board for one of its downstream subsidiaries- the Nigerian Pipeline Storage Company (NPSC), in Abuja, Baru was optimistic that the private sector could help the industry build more pipelines parallel to the corporation’s existing ones.

“Your work also is to look at refurbishing these pipelines and storage along a Public Private Partnership (PPP) arrangement by getting willing private companies to invest in these pipelines. NNPC Management is very much disposed to supporting your efforts in this regard,” he said.Baru, who insisted that such partnership would enhance the company’s profitabilit, urged the company to double its pipeline network in the next 10 years, stressing that such a target was “absolutely necessary.”

According to him, pipelines are the arteries of the nation’s oil and gas Industry, saying that part of the reform process embarked upon by the corporation was to birth an NPSC with clear focus that regards pipeline storage and distribution as real business.“I have a passion for this company and I believe this firm will be a leader in that segment of our operations. That is why we focused our energy on refurbishing, repairing and re-streaming of our storage facilities and pipelines over the last few months,” Baru noted.

He charged them to also integrate, through their pipelines resources, the various butanisation depots which are used as reception points for Liquefied Petroleum Gas (LPG).“We have a lot of LPG that is being exported. This could be utilized domestically in line with our vision of providing alternative energy sources for domestic and industrial use nationwide,” he stressed.

Baru tasked the NPSC management to engage the various host state governments towards the restoration of the Products Right of Way (PRoW) to ensure the safety of the citizens and products.He added that most of the state governments were ever-willing to support the corporation in preventing infringements on its PRoW.
He expressed NNPC Management’s readiness to engage security agencies against any act of economic sabotage towards the pipelines.

Responding, the Chairman of the NPSC Board and Chief Operating Officer, Corporate Services, NNPC, Isa Inuwa, pledged the readiness of the Board to support the NPSC Management towards achieving its set targets.“It is our vision to transit NPSC to a market-phasing, competitive and profit-making organisation. We are committed as a board to deliver on this mandate,” Inuwa stated.

Also speaking, the Managing Director of the company, Luke Anele thanked the NNPC Management, saying that although the task before his team was huge, it would nonetheless leave up to expectations.Aside Inuwa, who is the Chairman, the new board also has Henry Ikem-Obi, Luke Anele, Mr. Umar Ajiya, Mr. Ahmadu Sambo, Mr. Abdullahi Gunda, Mr. Ahmed Danladi, Mrs. Betty A. Ugonna as members and Mr. Victor Omoluabi as Secretary.

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