The Nigerian Federal Government has announced that effective from June 1, 2023, unlicensed dealers of petroleum products will no longer be allowed to load products.

The government emphasized that obtaining a license is mandatory for anyone involved in the petroleum product trade, stating that “no licence, no loading of any petroleum product” will be permitted.

This warning was issued during a stakeholders’ engagement on gas utilization in Abuja, organized by the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

The objective of the engagement was to raise awareness among operators about the urgent need to obtain the required petroleum storage license and promote the transition from white products to gas.

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The Executive Director of Distribution Systems, Storage and Retailing Infrastructure at the NMDPRA, Ogbugo Ukoha, emphasized the importance of compliance, urging operators to obtain licenses before the deadline.

Failure to comply will result in the shutdown of operators supplying petroleum products to unlicensed facilities.

Ukoha also encouraged operators to explore opportunities in the gas value chain, highlighting various derivatives such as Liquefied Natural Gas, Liquefied Petroleum Gas, Compressed Natural Gas, Autogas, propane, and butane.

Investing in these alternatives will help mitigate future uncertainties in the global supply of petrol and diesel.

The NMDPRA has established 12 regulations defining the licensing regime, procedures, and standards for handling petroleum products. Compliance with these regulations is crucial to mitigate risks associated with the handling of petroleum products.