The Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA) has faulted the Federal Government over the recent clamp down on illegal refineries in the country.
NACCIMA President Dr. Herb Ademola Ajayi said in Lagos yesterday that the development is counter-productive to the nation's refining capacity.
The Federal Government through the Joint Military Task Force had recently sealed about 1,000 illegal refineries in the Niger Delta region.
Last month, the Economic and Financial Crimes Commission arraigned four persons before a Federal High Court in Uyo on four count charge of conspiracy, illegal dealing and refining of petroleum products.
But speaking at a press conference, Ajayi said the action of the Federal Government would further compound the sector's supply chain of petroleum products.
He said: "We believe that the Ministry of Petroleum Resources rather than destroying these illegal and stubborn stakeholders/operators involved should come up with regulations spelling out the criteria to make such illegal refineries become legal.
"If this is effectively done, it would boost local supply capacity of petroleum products, creating jobs and invariably may also reduce prices when competition fully takes its course. To ensure strict compliance to the laid down criteria, there is need for the Department of Petroleum Resources to assume effective supervisory role."
Ajayi also spoke on the plan to list the Power Holding Company of Nigeria on the Stock Exchange market, saying the development will enhance service delivery to the citizens.
He advised that all public utilities in the country should be privatised to ensure better operational efficiency in line with private sector-led policy.
He also advised that the Bureau of Public Enterprises should re-examine and review all the failed leases and concessions in order to determine the gray areas and revoke those that are not performing.
"This has become necessary in other to ensure that such leases and concessions are only granted to credible concessioners so that such privatised companies do not become problematic and further constrain the growth of the economy," he said.
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