With the continued drive by the Federal Government to fully deregulate the downstream sector of the Oil and Gas industry in Nigeria, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), has reiterated its commitment to ensuring seamsless storage and distribution of products across the nation.
DAPPMAN said the significance of deregulation goes beyond price determination, noting that the handling of petroleum products have far reaching effects on the health of the general public and environmental sustainability.
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“The critical role of DAPPMAN member companies in storage, distribution and supply infrastructure investment has been instrumental to the growth of the sector. As deregulation opens up the market, all stakeholders can rest assured that DAPPMAN’s role in promoting global standards gives the buying public value for money with a huge premium on transparency and professionalism,” said
DAPPMAN Chairman, Mrs. Winifred Akpani said the entry of private warehousing and logistics operators under the aegis of DAPPMAN has over the past two decades made the downstream sector more robust, competitive and efficient.
“DAPPMAN notes that a major part of the success of the oil and gas industry rests with investors in the warehousing and logistics aspect of the value chain as they enable producers, refineries, marketers and distributors to warehouse and transport their products in the short and long-term.
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“This continues to enhance local capacity in the management of strategic and essential storage operations as well as distribution through investments in new and additional pipeline networks. This will certainly position the sector for increased growth upon full deregulation and translate to more value for consumers,” she added.
Industry experts say as has been the case over the last three decades, through their investments in major warehousing and logistics terminals totalling almost 1.029 million metric tonnes of products across the nation, DAPPMAN has been instrumental to efficient management of growing increase in the supply and demand of petroleum products, resulting in a higher level of reliability, security and transparency across the country.
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DAPPMAN’s huge infrastructure development has helped improve the Supply Chain Management of the downstream sector, which has led to increased efficiencies in the distribution and retailing of petroleum products.
Mrs. Akpani said deregulation will also open up opportunities for other ancillary industries, while deepening economic activities and driving stable demand and supply mechanisms such as product blending facilities, necessary for the continued growth of the industry.
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“DAPPMAN sees a future of opportunities for all stakeholders through full deregulation of the downstream sector of the industry and believes that Nigeria is moving in the right direction towards becoming a major hub for warehousing and logistics management across the continent that would compete with major terminals across Europe, America, Asia and the Middle East.”