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NNPC to hand over refineries to private companies

The Nigerian National Petroleum Corporation (NNPC) says it would no longer be involved in managing the refineries after the rehabilitation exercise.

Mele Kyari, the corporation’s group managing director, said it would engage the services of a company that would manage the refineries on an operations and maintenance basis.

“We are going to get an O&M contract, NNPC won’t run it. We are going to get a firm that will guarantee that this plant would run for some time,” Kennie Obateru, NNPC spokesman, quoted him to have said in an interview with Arise TV.

We want to try a different model of getting this refinery to run. And we are going to apply this process for the running of the other two refineries, he said.

Kyari also explained that the ultimate goal is to adopt the Nigeria Liquefied Natural Gas Limited (NLNG) model where private partners would decide the fate of the refineries.

Also speaking on Channels TV, the NNPC boss said eliminating the petrol subsidy would free up funds to develop basic infrastructure in the education, health, transport, and other sectors for the benefit of the citizenry.

“Subsidy is elitist because it is the elites that benefit from it. They are the ones that have SUVs, four, five cars in their garages. The masses should be the ones to benefit,” he said.

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