Nigeria ranks high among the comity of oil producers both at the world level and among the OPEC eleven. It is, therefore, paradoxical that the supply of all petroleum products is erratic and has declined sharply in the recent past. This paper thus reviews the petroleum product supply and distribution systems in the country to ascertain the extent to which the system may have contributed to the present product scarcity in Nigeria and, by extension, identify the causes of the present regime of petroleum product scarcity. The paper observes that the network density and connectivity of petroleum product distribution pipelines are low and both indicators consequently show the inadequacy/deficiency of the network in ensuring an efficient distribution system. The supply mode, on the other hand, has, over the years, demonstrated its inability to guarantee adequate supply due to factors including sabotage, vandalism, banditry and poorly maintained infrastructure. Further, the federal government and the major and independent marketers could not sustain the importation of petroleum products because of the shortfall between the landed cost of imported products and their selling prices in Nigeria, which made the business unprofitable. Finally, the paper examines the withdrawal by the federal government of subsidies on the price of petroleum products consumed locally. All the above factors together occasioned increases in the cost of products. In conclusion, this paper supports the call for the privatization of refineries and the depot/pipeline system as a viable option to end the supply problems. Copyright 2006 Organization of the Petroleum Exporting Countries.
Over the time Nigeria economy is largely public sector driven, in which the seaports were not left out: managed by Nigerian Port Authority (NP A). With the seaports under the autonomous of NPA were faced with strangulating problems ranging from inefficiency of it services rendered, insecurity of ships and cargo, lack of modern infrastructures, inefficiency of the NPA staff and excess bureaucracy and sharp practice (corporate) these factors make port tariff on import and export higher than they need to be, couple with the technology trend in maritime transport which required huge capital fund. The government call for ports reforms; a reform that will liberalized and deregulate the seaport by the use of concession contract, this mandate the NPA to transfer terminals operators while NPA concentrates to play the role of landlord oversight functions. The government went further to reform the import guidelines procedures and documentation requirement, changing it form Preshipment Inspection (PSI) to Destination Inspection (DI). The Seaport reforms which government introduced in 1996 eliminated the crippling delays in the clearance of import goods in the ports. This research study will examine the dynamics of port operations, the contribution of private operator in seaport operations, and services; technological development: considering the variable attached to seaport operations. Furthermore, this research analyze private sector capital investment in port and maintenance of infrastructures, superstructures and the contract of concession with other practicing nations, while from drawn questionnaire and secondary data the research will examine how and if Nigeria will benefit in the area of capacity building, physical development and if at all there is competition among the terminal operators considering there role in the concession regime. Finally, emphasis and comparison will be laid on cargo throughout, ship tum around, clearing procedures and port charges with the involvement of private participation.
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