The Chairman, Conoil Plc, Dr Mike Adenuga Jr, has said the lack of deregulation in the downstream sector of the nation’s oil and gas sector is taking a toll on Conoil Plc’s business and hampering investment.

He said that full deregulation of the sector would help to stabilise the fuel market and boost local refining. Dr Mike Adenuga Jr, said the much-anticipated review of the current policy framework for the downstream petroleum segment, which could have eased marketers’ credit portfolio burden, especially as it related to the issue of pricing of Petroleum Motor Spirit, did not materialise last year.

“Obviously, this was a disincentive to private investment in the downstream sector, especially in fuel importation,” he said in the company’s 2017 annual report and accounts. He added, “While we note the Federal Government’s untiring efforts to resolve the bottlenecks hanging on the otherwise, vibrant downstream sector, it is pertinent to reiterate that deregulation remains very key to solving the problems bedevilling the sector, and ensuring rapid growth.”

Source: The Punch

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