Mele Kyari, group managing director of the Nigerian National Petroleum Corporation (NNPC), said the corporation had deliberately shut down the country’s refineries because they no longer make sense to operate.
The GMD made the revelation while appearing before the House of Representatives Committee on Petroleum Upstream on Thursday in Abuja on Thursday.
He said that NNPC was unable to supply crude oil to the refineries, which was only excravos pipeline, and that NNPC was able to sustain it through the contracting process.
According to him, it is practically impossible to run the pipeline at their optimum capacity.
“For example, to run a Kaduna and Warri refinery, you have to deliver 170,000 barrels of oil per day so that both operate at 70 per cent capacity,” he said.
At present, there are only more than 5,000 kilometers of pipelines with 13 fuel depots, adding that they should be rescued to curb acts of sabotage.
“Today I tell you, none of these pipelines are in service except the Atlas Cove to Ibadan line and the Port Court to Aba line.
“We can’t flow the product along these lines, the cheapest is to say they are aging, but the real reason is that the level of vandalism in these ways is gross, monumental and deep.
“We address 80 vandal points at each stage in a month, the option of closing them and having a depot is what we saw in Lagos,” he said.
The GMD said the operation of the vandals made it impossible to maintain the pipelines, which from January to June lost close to N43 billion worth of petroleum products.
He said NNPC engaged the service of security agencies to protect pipelines and reduce destructive activities.
He, however, urged the House of Representatives to urgently pass the Petroleum Industry Bill (PIB), saying the passage would encourage investors in the sector.
‘’There are hopes for the petroleum sector by the end of December when NNPC would announce a dividend to the Nigerian people’’, he added
He promised to run the corporation with transparency and accountability, with NNPC publishing its audited 2018 and 2019 reports, which he said had never happened before.
Committee Chairman Musa Adar said the house had previously tried to get the NNPC budget but to no avail.
He said this was the first time the NNPC budget had been submitted to the National Assembly.