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.
The association said the significance of deregulation was beyond price determination, noting that the handling of petroleum products have far reaching effects on the health of the general public and environmental sustainability.
The Chairman of DAPPMAN and Managing Director of Northwest Petroleum and Gas Company Limited, Mrs Winifred Akpani, stated this in a statement, noting that the critical role of DAPPMAN member companies in storage, distribution and supply infrastructure investment had 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,” she said.
Akpani added that the entry of private warehousing and logistics operators under the aegis of DAPPMAN had 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.
“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.
According to industry experts, over the last three decades, through their investments in major warehousing and logistics terminals totalling almost 1.029 million metric tonnes of products nationwide, 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.
DAPPMAN’s huge infrastructure development has helped to improve the supply chain management of the downstream sector, which has led to increased efficiencies in the distribution and retailing of petroleum products.
However, Akpani said deregulation would 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.
“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,” Akpani noted.