NIPCO controls 35% Nigeria’s LPG supply market – MD
NIPCO supplied 35 per cent of Nigeria’s Liquefied Petroleum Gas (LPG) in 2020, as a depot operator and supplier to marketers.
Managing Director of NIPCO, Suresh Kumar, disclosed this on the sidelines of the firm’s 17th Annual General Meeting (AGM) of the company.
At the AGM, he explained survival strategy, which the company deployed in the year 2020, which it tagged “undoubtedly one of the most difficult years for the industry worldwide in the last few decades.”
He said: “NIPCO was able to proactively improve on its fortunes by raising stakes in the sector especially in the gas realm and AGO, both of which are largely deregulated. In the LPG sub-sector, we were able to do about 35 per cent of the nation’s supply as a depot operator and supplier to marketers while in AGO your company remains a supplier of choice by most industrial set ups.
“Against the foregoing, NIPCO is happy with the transmission of the PIB to the National Assembly in September, 2020 which is seen as one of the good intents of Federal Government to reposition the hydrocarbon industry in Nigeria.”
Looking back at year 2020, he said: “It saw COVID-19 afflict nations across the globe, necessitating lock downs borders for considerable time, thereby preventing movement of people, goods and services for months with lots of hardships on the populace.”
The shock of the pandemic had, according to Kumar, put a lot of pressure on the company’s human capital as they had to grapple on how to cope with the virus and keeping pace with work schedules.
“Management had to devise several containment measures to ensure utmost safety of the workforce by adhering strictly to all the COVID-19 protocols as enunciated by relevant government agencies.
“It is with immense pleasure that I report to you that all through the year under review we did not have any downtime due to the fear of the virus ,a feat I commend our staff ’s dedication towards their work.”
For the outlook, he said: “Notwithstanding the enormous challenges in the industry, management is still hopeful of better prospects in 2021, ever conscious of the management bid to actualise the vision of the promoters of the company.
“The setting up of the National Gas Expansion Programme [NGEP] ,headed by Dr. Mohammed Ibrahim to deepen domestic utilization of gas is one of the veritable tools that can enhance the performance of your company in the area of gas marketing.
“With the declaration of 2020 as the Year of Gas by the Federal Government, the sector is expected to witness more growth to the benefit of stakeholders by exuding more confidence in investors hoping that this will to channel more funds into the sector.”