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The lingering kerosene scarcity

Published by Guardian on Thu, 08 Dec 2011


THE return of acute kerosene scarcity in different parts of the country barely four months after the Nigerian National Petroleum Corporation (NNPC) promised to flood the market with the product underscores yet another systemic failure. The scarcity points again to corruption and mismanagement endemic in the system, and which has continually defied redeeming measures.There is no justification, or acceptable excuse for the recurring scarcity, considering the existence of four refineries to complement importation of kerosene. A sensitive government ought to appreciate the fact that the gross majority of its citizens unfortunately still rely almost entirely on kerosene to cook. And that the scarcity is only bound to increase their hardship in living. It is sad that this is happening even before the contemplated removal of fuel subsidy, a measure that will undoubtedly complicate the people's suffering. The NNPC should overhaul the entire structure of oil importation and distribution to save Nigerians from perpetual hardship.As a basic energy fuel, commonly used in domestic cooking, kerosene should not be scarce and unaffordable as it has been for a long time in Nigeria, a major oil producer. According to reports, the latest scarcity followed the sabotaging of the Kero-Direct Scheme (KDS), instituted by the NNPC last July, after a similar scarcity. Under the arrangement, the Pipeline and Products Marketing Company (PPMC), a subsidiary of the NNPC, would provide the product to be sold direct to the people through Capital Oil's modern dispensing trucks at the official rate of N50/litre. The aim is to stem the non-availability of the product believed to be hoarded by marketers and middlemen, which creates artificial scarcity and exorbitant price.Since the current scarcity arose about weeks ago, the price of kerosene has hovered between N170 and N200 per litre. The kero-direct sale was designed to address its artificial scarcity.The scheme recorded a bit of success, extending from Lagos to Imo, Anambra, Kaduna and the Federal Capital Territory (FCT) Abuja, with people buying kerosene at the official price of N50/litre, but only for a very short while.Unfortunately, the arrangement has not gone down well with some people who felt robbed of the billions they make illegally by hoarding the product and selling at outrageous price. Clearly the scheme is being sabotaged, and government should not permit such deliberate act against the masses.The oil and gas industry cabal has reportedly, blocked the allocation to Capital Oil (the company through which the direct sale is being carried out), thereby, making it difficult for it to receive enough kerosene to sell under the direct sale arrangement.It is lamentable that the NNPC, which has the statutory power to manage the country's oil industry, appears helpless in the face of a problem it should ordinarily handle. Who is the cabal that has become hydra-headed and so powerful that the corporation could no longer curtail' Why can't the corporation unveil the faceless cabal' Why is it difficult to curb their illegal activities'Or are Nigerians being hoodwinked, considering wide suspicion that the so-called cabal is no other than top NNPC officials working in conspiracy with their counterparts in government' If that is the case, then the problem of kerosene users is not about to end. If not, however, the onus is on the NNPC to debunk the charge and bring the artificial scarcity to an immediate end. The current official ineptitude can hardly make for a stable polity.Kerosene scarcity has been recurring for too long, and has actually become part of this energy-deficient economy, subjecting Nigerians to less than decent treatment daily. The situation usually gets worse during Yuletide. It is disgraceful that government has found no solution to it. And this can be attributed either to incompetence or connivance. Either or both ways, it is not acceptable as it signifies failure on government's part.Unfortunately again, scarcity of kerosene has forced millions of households to resort to the use of firewood and charcoal as alternative sources of energy. This has far-reaching effects on the country's badly depleted forests. Firewood merchants, who are reaping fortune out of the situation, are cutting what is left of the forests at alarming rate. The destruction of the forests has negative implications for the climate change phenomenon.Worst still, some dubious Nigerians are seizing the scarcity to adulterate the product in order to maximise profit, and in the process, causing kerosene explosions and untimely deaths and injury to hundreds of people.Ultimately, it remains shameful that Nigeria imports kerosene when it should be exporting it, being a major oil producer. The inability of the country to refine crude oil is at the root of importation, scarcity and subsidy issues. The Federal Government must explore new initiatives to build new refineries to prevent an impending social dislocation most likely to result from kerosene scarcity and oil subsidy removal. The NNPC, as the organisation charged with managing the country's oil resources, should assume full responsibility for its duties.
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