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Gas Dispensing: DPR Mandates Retail Outlets to upgrade Facilities



Chinazor Megbolu

The Department of Petroleum Resources, DPR has mandated petroleum products retail outlets to upgrade its facilities towards dispensing gas.

The oil and gas regulator in a statement signed and issued by the Head of Public Relations, Mr. Paul Osu, disclosed it has commenced the audit of petrol retail outlets in the country and directing 9,000 outlets to commence the upgrade of their facilities to allow them dispense gas to vehicles for transportation with immediate effect.

The Director, DPR, Mr. Auwalu Sarki in the statement, noted the initiative is connected to the Federal Government’s National Gas Expansion Programme, (NGEP), an initiative of the Ministry of Petroleum Resources seeking to encourage increased gas usage.

He added that it will also serve as a cheaper and cleaner alternative to petrol for transportation, with the introduction of autogas as well as help deepen the usage of cooking gas.

Auwalu, explained the directive was geared at deepening the utilisation of domestic Liquefied Petroleum Gas (LPG), Compressed Natural Gas (CNG), Liquefied Natural Gas, (LNG) and Autogas as alternative fuels for the citizenry.

“The DPR had carried out nationwide audit of all retail outlets in Nigeria and had categorised them into three— Categories 1, 2 and 3 and with a view to ascertain readiness for deployment of Add-On facilities for gas products,” Sarki said.

He further buttressed the 9,000 retail outlets, compromising of 27 percent of total number of retails outlets in the country, were listed in Category 1, and had been identified as suitable for immediate integration of Add-On facilities based on robust safety assessment and technical considerations by the agency.

The DPR chief executive further pointed out that DPR had charged all Category 1 retail outlet operators to resume immediate installation of modular Add-On facilities or full-scale stand-alone plants and update their DPR Operating licences accordingly.

He maintained that all operators of retail outlets in Categories 2 and 3, that there facilities do not meet the minimum requirements or do not have sufficient land area, are encouraged to apply for stand-alone LPG, CNG, LNG or Auto Gas facilities either full-scale or modular under an incentivised regulatory regime.

Sarki, however, hinted the DPR had also approved the deployment of skid-mounted modularised/containerised LPG/Autogas handling systems and other intrinsically safe systems for gas storage and handling towards promoting affordability, accessibility, and availability of the products.

“The DPR as an opportunity house and business enabler, encourages investments in auto conversion, production of composite cylinders and ancillaries (valves, hoses, among others) for domestic LPG, CNG, LNG and Autogas penetration.

“We are confident that retail outlet operators and other investors will leverage on these opportunities in the domestic gas sector to grow their wealth and create employment for Nigerians,” Sarki said

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