ABSTRACT
This study was undertaken as a result of what appears to be the attitude of petrol dealers and NNPC in the distribution of petrol. It is believed that petrol dealers and fuel pump attendants with the assistance of military personnel’s help to perpetuate the problems of petrol distribution in Enugu State.
The study aimed at finding out the problems which militate against the optimal performance of petrol distribution in Enugu State and to appraise petrol distribution in the stare.
Information used in this work were collected by oral interviews from some NNPC operations petrol attendants, petrol dealers and divers who queue for fuel. Secondary data were collected through review of some related literature, texts and from statistical division / marketing division of NNPC.
The findings from this work also indicate that continued shut down of Warri and Kadun refineries contribute to the persistent problem of petrol distribution in Enugu State and Nigeria at large.
This study also found out that the country would have suffered perpetual scarcity if not the immediate intervention of general Abdulsalam Abubakas who stopped the contract of massive import and export of refined and crude oil handled by Abaecha’s family and close relations who used Abacha’s position to gamble and toy with the within treasury and to create unnecessary scarcity.
The recommendations from, this work also indicate that federal government should turn its searchlights on the activities and contracts of the NNPC.
And it is also recommended that the Enugu State Governor should create in task force which will work quarterly and at the end of each quarter, new task force will replace the outgoing ones to avoid familiarity and to give room for effectiveness, compliance and competition. Also task force should be posted to every petrol filing station that has fuel to keep Virgil alay mighty is order to curb black market, and scarcity of petroleum in the state.
TABLE OF CONTENT
1.0 INTRODUCTION 1
2.0 LITERATURE REVIEW 12
3.0 CONCLUSION 27
CHAPTER ONE
1.0 INTRODUCTION
It is evident that whenever more than one person is involved in an activity or organization, there is bound to be friction. Since it has been established that occurrence of most retinal activities involved people there is therefore need for guidance in order to achieve that aims, goals and objectives.
Fuel shortage and their attendant distribution problems started in the latter part of 1993 and were attributed to labour and political crisis of that year. Black market for petrol his become the order of the day. The market which thieves in the suburbs and the surrounding states does not require filling stations or fuel pumps. Petrol was sold in any type of container and as a free market price. Against this background, the businessmen seeing that it is a brisk ways of carrying money, no longer had to wait for the NNPC Depot to negotiate for supply of fuel and to bribed their way through for supply.
This is why many Nigerian experts in petroleum scarcity is the result of the crushing problem at the NNPC. The NNPC, inside sources confirm is not dispersal towards refurbishing the refineries.
Another reason why local demand for petrol is easily dished is the high incidence of smuggling of the products across the borders. Most NNPC officials agreed that Nigeria loses up to 600,000 liter of petrol through smuggling.
To curb smuggling, the pipeline and product marketing company PPMC a subsidiary of the NNPC declare the volume of allocation of every state ahead of supply. The measure was to enable the government to monitor distribution of petrol in their states. At the end of the day, the governors / administrator and the marketers will account for any division of petrol in their states. Indeed NNPC’S investigation has revealed that up to 30 percent of all fuel meant for local consumption is lost through smuggling. Today various state government including Enugu State have set up task forces at stem this distributive practice but even the soldiers do not seem able to arrest the situation since whole toward loads of fuel still disappear. As government seeks to correct the smuggling of petrol, the smugglers area ingenious in discovering new ways of circumventing the law. For instance, petrol is sold to these smugglers at odd thrives and the jerry cons of petrol are stacked in bags and carved with cloths of gain to evade task force officials. They story of problem of petroleum distribution cannot be complete mentioning the industrial action (strike) embarked by the national union of petroleum and natural gas workers NUPENG and the petroleum and natural gas senior staff association of Nigeria, PENGASSON while led in their proscriptions. This strikes action by NUPENG and PENGASSAN served as a stopping store for illegal defter to rise to the top and scarcity of petroleum products nation wide. The network of the trade is so well coordinated and vast failed, military men are the elite of this illegal trade and some of them are said to have made millions of naira from it just like the man described above.
It was generally alleged that the military helped many tankers loaded with the commodity offer fire to be diverted to other places other than the officials disjunctions. The military personnel exhibit compete kills selling to their officers and collection many form people ie jump queues. The military personnel involvement is dis-established down the trade chain as most of them get their consignment in drums regularly from filling stations who sell at might rather then during the day. The activities to black marketers have remotely affected the suppliers of fuel to many filling station in Enugu and across the country, long queue are common right with motorists leaving their vehicles on queue for days and end. In view of those chromic problems and solutions to that, our interest to the study emanates.
An army servant of Enugu was overhead saying that the makes an average motif of N3000 daily form illegal sales of petrol. He gets fuel form filling stations and other privileged sources of officials rate and hands over to his boys to sell at exorbitant black market price. The army servant wished that this crisis persist because his family has been able in recent times occasional by this windfall to meet most of its long outstanding obligations. He thanks his god for his mercies because for our his 25 years in service, he had nothing to show for them. Now, thanks to fuel crisis, he has bought many household items including coloured televisions, vides recorders, for refrigeration’s etc in few weeks. This depicts that the trafficking of petroleum product has assumed the primary position of the most lucrative business an Nigeria where instant profit abound, many leave their means of livelihood to joint this illicit trade. Petrol has become liquid gold that yield dividend in leaps similar to drug trafficking. Most ports of Enugu have bean doffed with spots (blacks markets) where the business is daily transacted in broad daylight without fear of arrest by security affective. The black markets have sized the opportunity offered by he industrial actions embarked upon then by the national union of petroleum and natural gas workers and the petroleum and natural has senior staff association of Nigeria (PENGASSON which occasional).
The government produces certain indispensable public services without which community life would be unthinkable and which by their nature cannot be appropriately left to private enterprises and petrol is one of such services. In view of this, this study focuses mainly in the following objectives in an attempt to arrive at on optional distribution of petroleum in Enugu State.
Conclusion will be drawn and suggestion / recommendation made at the end of the study.
The study is very timely, especially toady that all hands are on deck to enhance the development and growth of Nigerian economy. This study will be immense benefit to public organization and the organized private sector to determine the extent of their budget effectiveness. In addition, the studying will determine the factors or problem limiting budget effectiveness of these organization it is expected that the findings will help to bridge any gap that may exist and to make these (UNPENG) and the petroleum and natural gas senior staff association of Nigeria (PENGASS).
Sub-let of contracts by contractors to incompetent unqualified engineers for Turn Around maintenance (JAM).
Poor management by the (PPMC) pipeline and product marketing company hard Alhaji – Hanna Abubaker.
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