/strong%20has%20a%20href=https://www.nnpcgroup.com/News-and-Media/newsupdate/Lists/Posts/Post.aspx?List=d8d8e47d%2D1cc5%2D4cdc%2Db2a8%2D218bc32ae0d1&ID=51&ContentTypeId=0x011000C86A3BFE3D96264CBDF4977450D06D82announced/a%20it%20will%20be%20unveiling%20the%20list%20of%20successful%20bidders%20for%20the%20rehabilitation%20of%20its%20critical%20downstream%20pipelines,%20associated%20depots%20and%20terminal%20infrastructure.The%20release%20signed%20by%20the%20Group%20General%20Manager,%20Group%20Public%20Affairs%20Division,%20Dr%20Kennie%20Obateru,%20disclosed%20that%20seventy-eight%20(78)%20companies%20submitted%20virtual%20bids%20to%20rehabilitate%20the%20infrastructure%20of%20the%20National%20Oil%20Company%20through%20the%20Finance,%20Build,%20Operate%20and%20Transfer%20(BOT)%20model.Engineer%20Chidi%20Izuwah,%20the%20Director-General%20of%20the%20Infrastructure%20Concession%20Regulatory%20Commission%20(ICRC)%20commended%20the%20process%20of%20the%20submission%20and%20described%20it%20as%20a%20transparent%20bid%20opening%20process%20that%20shows%20the%20strongNNPC/strong%20is%20doing%20things%20correctly%20and%20has%20the%20interest%20of%20Nigerians%20at%20heart.He%20stated,em%20You%20showed%20to%20the%20world%20that%20you're%20driving%20a%20totally%20transparent%20Public%20Private%20Partnership%20process%20in%20line%20with%20the%20infrastructure%20revolution%20of%20President%20Muhammadu%20Buhari.%20Today's%20public%20bid%20opening%20for%20the%20rehabilitation%20of%20NNPC%20pipelines,%20depots/terminal%20infrastructure%20is%20quite%20commendable.%20I%20commend%20the%20GMD%20Mallam%20Mele%20Kyari,%20his%20team%20and%20the%20NNPC%20Group%20for%20showing%20to%20the%20world%20that%20things%20can%20be%20done%20properly%20and%20in%20the%20best%20interest%20of%20the%20shareholders./emThe%20Managing%20Director,%20Petroleum%20Products%20Marketing%20Company,%20Musa%20Lawan,%20who%20was%20representing%20the%20Chief%20Operation%20Officer,%20Downstream,%20Ms%20Lawrencia%20Ndupu,%20said%20the%20Nigerian%20Pipelines%20and%20Storage%20Company%20(NPSC)%20operates%205,120%20length%20of%20pipelines%20which%20traverses%20the%20entire%20country%20with%20two%20coastal%20depots%20in%20Lagos%20and%20Calabar.Also,%20in%20attendance%20was%20the%20General%20Manager,%20Supply%20Chain%20Management%20(SCM),%20NNPC,%20Mrs%20Sophia%20Mbakwe.%20External%20observers%20in%20attendance%20were%20the%20Bureau%20of%20Public%20Procurement,%20the%20Nigeria%20Extractive%20Industries%20Transparency%20Initiative%20(NEITI),%20Civil%20Liberty%20Organization%20and%20the%20Centre%20for%20Transparency%20Watch.In%20his%20opening%20remarks,%20the%20Group%20Managing%20Director%20of%20the%20NNPC,%20Mele%20Kyari,%20said%20the%20process%20showed%20the%20commitment%20of%20the%20NNPC%20as%20a%20transparent%20and%20accountable%20partner%20company%20of%20the%20Extractive%20Industries%20Transparency%20Initiative%20(EITI).He%20said%20the%20NNPC%20is%20completely%20transparent%20and%20will%20always%20disclose%20all%20transaction,%20contracting%20processes,%20partner%20selection,%20partner%20identities%20and%20beneficial%20owners%20of%20the%20partners.%20He%20said%20the%20BOT%20model%20became%20necessary%20to%20revive%20the%20integrity%20of%20the%20Oil%20Company%20and%20to%20make%20it%20a%20world-class%20standard%20as%20most%20of%20its%20infrastructure%20are%20old%20and%20have%20been%20subject%20to%20vandalism%20over%20the%20years.He%20said%20by%20the%20end%20of%20the%20first%20quarter%20of%202021,%20the%20final%20partners%20of%20the%20big%20opening%20would%20be%20selected.%20He%20assured%20the%20bidders%20that%20the%20NIPEX%20portal%20which%20was%20deployed%20for%20the%20pre-qualification%20exercise%20was%20a%20time-tested%20technology%20that%20would%20not%20give%20room%20for%20any%20human%20indiscretion.Excerpts%20from%20the%20GMD's%20remark:em“This%20is%20not%20possible%20to%20achieve%20if%20we%20do%20not%20have%20the%20leadership%20disposition%20that%20is%20in%20support%20of%20transparency.%20I%20can%20confirm%20to%20all%20of%20you%20that%20it%20is%20the%20clear%20directive%20of%20Mr.%20President%20that%20this%20company%20must%20be%20accountable%20and%20must%20be%20transparent%20to%20its%20shareholders.%20We%20must%20take%20all%20necessary%20steps%20to%20make%20sure%20that%20our%20transactions%20are%20known%20to%20the%20citizens%20of%20this%20country,%20that%20we%20do%20things%20for%20the%20common%20good%20of%20all%20of%20us%20and%20that%20in%20doing%20our%20business,%20we%20must%20ensure%20integrity./emem“Nobody%20will%20cut%20corners,%20nobody%20will%20cheat%20the%20shareholders%20of%20this%20company%20and%20also%20this%20company%20will%20ultimately%20deliver%20value%20to%20its%20shareholders./emem“Some%20of%20these%20assets%20are%20as%20old%20as%20forty%20years%20(40)%20years%20and%20they%20are%20due%20for%20replacement%20and%20when%20you%20want%20to%20do%20a%20replacement%20of%20this%20scale,%20you%20do%20need%20a%20lot%20of%20resources.%20And%20we%20know%20that%20we%20require%20these%20assets%20so%20we%20decided%20that%20we%20bring%20in%20private%20partners%20who%20will%20fund%20these%20pipelines,%20they%20will%20construct%20it,%20they%20will%20operate%20it%20with%20us%20and%20then%20ultimately%20they%20will%20fully%20recover%20their%20investment%20from%20the%20tariff%20which%20we%20will%20pay%20for%20using%20these%20pipelines%20and%20as%20soon%20as%20they%20recover%20their%20cost%20and%20their%20margin,%20they%20will%20hand%20over%20these%20assets%20back%20to%20us./em){kind=link}
The Nigerian National Petroleum Corporation (NNPC) has announced it will be unveiling the list of successful bidders for the rehabilitation of its critical downstream pipelines, associated depots and terminal infrastructure.
The release signed by the Group General Manager, Group Public Affairs Division, Dr Kennie Obateru, disclosed that seventy-eight (78) companies submitted virtual bids to rehabilitate the infrastructure of the National Oil Company through the Finance, Build, Operate and Transfer (BOT) model.
Engineer Chidi Izuwah, the Director-General of the Infrastructure Concession Regulatory Commission (ICRC) commended the process of the submission and described it as a transparent bid opening process that shows the NNPC is doing things correctly and has the interest of Nigerians at heart.
He stated, “You showed to the world that you’re driving a totally transparent Public Private Partnership process in line with the infrastructure revolution of President Muhammadu Buhari. Today’s public bid opening for the rehabilitation of NNPC pipelines, depots/terminal infrastructure is quite commendable. “I commend the GMD Mallam Mele Kyari, his team and the NNPC Group for showing to the world that things can be done properly and in the best interest of the shareholders.”
The Managing Director, Petroleum Products Marketing Company, Musa Lawan, who was representing the Chief Operation Officer, Downstream, Ms Lawrencia Ndupu, said the Nigerian Pipelines and Storage Company (NPSC) operates 5,120 length of pipelines which traverses the entire country with two coastal depots in Lagos and Calabar.
Also, in attendance was the General Manager, Supply Chain Management (SCM), NNPC, Mrs Sophia Mbakwe. External observers in attendance were the Bureau of Public Procurement, the Nigeria Extractive Industries Transparency Initiative (NEITI), Civil Liberty Organization and the Centre for Transparency Watch.
In his opening remarks, the Group Managing Director of the NNPC, Mele Kyari, said the process showed the commitment of the NNPC as a transparent and accountable partner company of the Extractive Industries Transparency Initiative (EITI).
He said the NNPC is completely transparent and will always disclose all transaction, contracting processes, partner selection, partner identities and beneficial owners of the partners. He said the BOT model became necessary to revive the integrity of the Oil Company and to make it a world-class standard as most of its infrastructure are old and have been subject to vandalism over the years.
He said by the end of the first quarter of 2021, the final partners of the big opening would be selected. He assured the bidders that the NIPEX portal which was deployed for the pre-qualification exercise was a time-tested technology that would not give room for any human indiscretion.
Excerpts from the GMD’s remark:
“This is not possible to achieve if we do not have the leadership disposition that is in support of transparency. I can confirm to all of you that it is the clear directive of Mr. President that this company must be accountable and must be transparent to its shareholders. We must take all necessary steps to make sure that our transactions are known to the citizens of this country, that we do things for the common good of all of us and that in doing our business, we must ensure integrity.”
“Nobody will cut corners, nobody will cheat the shareholders of this company and also this company will ultimately deliver value to its shareholders.”
“Some of these assets are as old as forty years (40) years and they are due for replacement and when you want to do a replacement of this scale, you do need a lot of resources. And we know that we require these assets so we decided that we bring in private partners who will fund these pipelines, they will construct it, they will operate it with us and then ultimately they will fully recover their investment from the tariff which we will pay for using these pipelines and as soon as they recover their cost and their margin, they will hand over these assets back to us.”