CEM REPORT
Nigeria imported a total of 27.81bn litres of petroleum products into the country in 2019. Nigerian Bureau of Statistics stated this in the petroleum product import and consumption Statistics released Wednesday.
A breakdown of the Petroleum Products Importation Statistics for the full year 2019 reflected that 20.89bn litres of Premium Motor Spirit (PMS), 5.15bn litres of Automotive Gas Oil (AGO), 128.11m litres of Household Kerosene (HHK), 1.07bn litres of Aviation Turbine Kerosene (A TK), 45.98m litres of Low Pour Fuel Oil (LPFO) and 526.06m litres of Liquefied Petroleum Gas (LPG) were imported into the country in Full Year 2019.
According to the statistics, distribution and consumption within the six geo-polotical zones in the country is broken down as follows
- North Central – 3.68bn litres of PMS, 131.07m litres of ATK, 789.47m litres of AGO, 2.9m litres of LPFO, 42.84m litres of HHK and 119.88m litres of LPG.
- North East – 1.4bn litres of PMS, 8.79m litres of ATK, 222.82m litres of AGO, 4.08m litres of LPFO, 5.27m litres of HHK and 20.06m litres of LPG.
- North West – 3.66bn litres of PMS, 47.40m litres of ATK, 703.47m litres of AGO, 37.48m litres of LPFO, 22.12m litres of HHK and 79.27m litres of LPG.
- South West – 2.3bn litres of PMS, 22.21m litres of ATK, 342.65 m litres of AGO, 627.0 m litres of LPFO, 42.09 m litres of HHK and 120.48 m litres of LPG
- South South – 3.29 bn litres of PMS, 53.56 m litres of ATK, 987.83 m litres of AGO, 5.81m litres of LPFO, 73.67 m litres of HHK and 235.19 m litres of LPG
- South West – 6.25bn litres of PMS, 785.25m litres of ATK, 2.11bn litres of AGO, 33.63m litres of LPFO, 84.22m litres of HHK and 159,33 m litres of LPG
Data for the Petroleum Products Importation Statistics is provided by the Petroleum Products and Pricing Regulatory Agency (PPPRA) and verified and validated by the National Bureau of Statistics (NBS)
This report further stated that the United States exported 385,409.030 Metric Tonne of petrol into Nigeria within the period under review representing 73.26% of the total import.
Equatorial Guinea, Argentina and Algeria exported 75,580.495 metric tonne, 33,197.929 metric tonne and 7,358.571 metric tonne into the country respectively, while Spain and India exported into Nigeria 6,261.393 metric tonne and 4,208.111 metric tonne of petroleum respectively.
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The Executive Secretary of Petroleum Products Pricing Regulatory Agency (PPPRA), Abdulkadir Saidu had disclosed in January the volume of fuel imported to Nigeria from January to November of 2019 to be 18 billion litres, costing the nation a whopping NGN3.0trillion.
With the of 2.19 bn litres between PPPRA and NBS figures, the financial implication for the importation of petrol into Nigeria in 2019 is well above NGN3.4tn, equivalent of US$9.42bn with N361 exchange rate.
This is huge compared to the revenue benchmark of N3.73tn in the 2020 budget before review. It means that cost of import of petroleum products has almost wiped out the oil revenue to the Federal Government
The nation’s 4 refineries have been in comatose for over a decade with each administration failing to revive them.
In April, AllAfrica reported that Refineries in the country, located in Port Harcourt, Warri and Kaduna, have yet to produce a drop of petroleum in the last nine months as reported by the Nigerian National Petroleum Corporation (NNPC).
Excerpts from the latest document released by the corporation showed that the refineries with a combined installed capacity to refine 445,000 barrels per day locally, had been operating at zero consolidated capacity utilization level since July last year.
By this, the 38.2 million litres daily consumption (according to Department of Petroleum Resources), is now being wholly imported
Oil and Gas Journal reported on Apr 14th, 2020 that NNPC is planning to relinquish control of the Nigeria’s three state-run refineries (in Port Harcourt, Warri and Kaduna) following completion of a long-planned program to rehabilitate and optimize processing capacities at the sites.
A lot of such pronouncement about the refineries rehabilitation without further news or visible results have been made in the past.
It is truthful to say that Nigerians’ hope now rest on Dangote Refinery whose operation is expected to commence soon.
The refinery has a capacity of 650,000 barrels per day (bpd) under construction in the Lekki Free Zone near Lagos, Nigeria. It is expected to be the Africa’s biggest oil refinery and the world’s biggest single-train facility, upon completion.
