TheCable

Farouk Ahmed, chief executive officer (CEO) of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has urged petroleum products dealers to operate within the regulatory space.

Ahmed made the call on Wednesday at a stakeholders’ engagement on gas utilization in Enugu state.

Represented by Ogbugo Ukoha, NMDPRA’s executive director of distribution systems, storage, and retailing infrastructure, Ahmed said the engagement was necessary for the growth of the sector.

“This epoch-making engagement seeks to encourage large operators of petroleum products to not only operate within the regulatory space but also to become aware of the comparative advantages among the different fuels,” he said.

Ahmed expressed hope that the stakeholders’ engagement would create the necessary awareness among the industry stakeholders.

“This is to make the compelling case for industry operators to foster a compliance culture which alone guarantees safer and sustainable facilities,” he said.

The NMDPRA boss also urged industry operators and businesses to take advantage of the evolving business opportunities in the gas value chain.

He said the objective of the engagement was to enlighten the end user category to “urgently obtain the requisite petroleum storage licence and to engender the transition from white products to gas at the last mile”.

Ahmed said the authority’s regulations defined the licensing regimes, procedures, and standards for handling petroleum products, which when breached, lose increased risks.

“In addition, gas as the transition fuel, represents a cleaner and cost-effective energy source,” he said.

“We encourage operators and businesses to take advantage of the evolving opportunities in the gas value chain for sustainable business growth by positioning their energy needs to embrace gas derivatives.”

He also enjoined all petroleum handlers to fully comply with the provisions of the Petroleum Industry Act (PIA) and NMDPRA regulations to avoid strict regulatory enforcement.