Oversight Function: Privatizing Kaduna Refinery not best option, KRPC’s MD tells Committee

0
127

 

By: Kate Obi/Kaduna

Managing Director, Kaduna Refining and Petrochemical Company (KPRC), Mr. Adewale Ladenegan has told the House of Representatives Committee on Petroleum Resources (Downstream) that privatizing the facility is not the best option of maximizing its potential.

Mr. Ladenegan made stated this while speaking with members of the House of Representatives Committee on Petroleum Resources (Downstream) who paid an oversight visit to the refinery in Kaduna, North-West, Nigeria on Tuesday, 12th of Novembers, 2018.

Responding to a question posed by Chairman of the Committee, Hon. Joseph Akinlaja, on whether privatization of the plant, which has been grounded for almost a year is a viable option, Mr. Ladenegan said the National Electric Power Authority (NEPA) and Nigerian Telecommunication Company (NITEL), which had been privatized, have not yielded the desired results.

He lamented that the decision only made the country poorer and rendered many Nigerians jobless. Stressing that the plant only needed adequate financing as upgrading its obsolete equipment to electronic operations and robust management would ensure its optimal operation.

“I will say no to privatization, because we have not seen the positive results of all the nation’s assets that have been privatized. If you give the refinery to those who have the money, they will still use the same people to run it.

“I will rather prefer the Nigeria Liquefied Natural Gas (NLNG) option where everybody will contribute and there will not be a single person controlling the refinery as we manage it. It is only then that we will get better results as and when due.

“This will take care of the country’s investment because Nigerians will be managing the refinery and not that people will be brought from India to replace Nigerians,” he said.

The MD KRPC, who argued that the plant has not been upgraded since it was established in 1982, said the Turn Around Maintenance (TAM) was last carried out in 2008 and that the KRPC needed the kind of funds invested in the NLNG to enable it perform optimally.

Responding, Hon. Akinlaja said they visited the plant on oversight function and promised that the Committee would ensure that adequate measures were taken to revive the plant.

He said the National Assembly needed to know the current status and production capacity of the plant and the plant’s labour force, as well as how it was being maintained to enable the Committee identify areas that need intervention.

He, however, expressed concern that in spite of the refineries in the country, Nigeria was still producing crude but importing fuel for local consumption and assured of the Committee’s preparedness to provide adequate funds to the plant in the 2019 budget.

LEAVE A REPLY

Please enter your comment!
Please enter your name here