The Nigerian National Petroleum Corporation (NNPC) has been unbundled into four units in a major restructuring aimed at making the state-owned oil firm more efficient.
Minister of State for Petroleum Resources Dr. Ibe Kachikwu yesterday announced the new structure which has been approved by President Muhammadu Buhari, at a briefing in Abuja.
“The new NNPC comprises a lean headquarters and four autonomous business units,” he said. The four units are: Upstream Company, Downstream Company, Refinery Company and Gas/ Power Company.
According to him, the Upstream Company will now comprise of NPDC and the IDSL. The Downstream Company consists of Retail, NPMC and NPSC, the Refinery Company consists of WRPC, KRPC and PHRC while the Gas and Power is now made up of NGPTC, NGMC and Gas and Power Investment.
Kachikwu said the Federal Government has approved the appointment of Chief Executives for the companies: They are: Bello Rabiu as CEO of the Upstream Company; Henry Iken Obih for Downstream; Anibor Kragha for Refineries and Saidu Mohammed for Gas and Power.
He denied announcing the unbundling of the corporation into 30 companies, saying the GMD is still the Chief Executive of NNPC.
He said what was ignored in his statement about the new structure of the NNPC is that there will be “subsets. Subset is the unbundling. It is not a direct unbundling of NNPC into 30. It means that the subsets of NNPC are being unbundled into smaller numbers of companies. It is totally a different thing and the press got it wrong, please.”
The minister attributed the cause of fuel scarcity to the independent marketers that have refused to import petroleum products that now resulted in NNPC embarking on 100 percent importation and supply instead of 50 per cent.
He expressed hope that within one year, the NNPC would overcome fuel constraints and exit importation of products.
The minister said the Port Harcourt Refinery is back on stream, working at “minimal terms.”
He said the corporation has now embarked on supplying one cargo of products daily. Three refineries, he said, are configured now to produce 50% of PMS and 50% of other products.
“The hope is that at the end of the month, the three refineries would have got crude and begin to work. Hopefully, that will soften the pressure,” he added.