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PPMC Fined N 62.5 Million for Oil Spills in Kaduna, Delta

By on April 10, 2012

The Petroleum Products Marketing Company (PPMS), a NNPC subsidiary has been ordered by the Federal High Court sitting in Asaba, Delta to pay N 62.5 million on account of oil spillages that it caused in Kaduna and Delta states.

According to the judgment issued by the court, PPMC is liable for N40million for spillages that occurred at various sites in Kaduna and environs between November 5 and December 4, 2011; N21.5million for failure to report oil spillage at its System 2A Pipeline at Eko-Amukpe, Delta State; and N1million for failure to clean-up the spill, which occurred on June 6, 2009, when a ship, J.S. Amazing, was loading Low Pour Fuel Oil (LPFO) at the NNPC Jetty at Ijala, Warri, Delta State in which 12 communities were affected.

The suit against the PPMC was instituted by the National Oil Spill Detection and Response Agency (NOSDRA).

In reaction to the judgment issued by Justice I.N Buba, a spokesman for the PPMC, Nasir Nmodagbe, stated that PPMC had cleaned up the spill.

He said, “PPMC carried out the clean up as at the time of the spill with the country’s well known Clean Nigeria Associates, and we are surprised when our legal counsel that represented in court told us about the rulings. The legal counsel that represented us at the court presented them with the evidence of the clean up. There is an application for the extract from the court, we have not seen it. Well we are waiting to see the extract from the court.”

Spokesman for NOSDRA, Henshaw Ogubike, released a statement from the regulatory agency. It said, “Apart from the PPMC’s refusal to pay the fine imposed by NOSDRA over the spill from the ship J.S Amazing which made NOSDRA to drag them to Federal High Court, the company has also failed, refused and neglected to remit the sum of N21.5million for failure to report oil spillage at its system 2A pipeline at Eko-Amukpe, Delta State and N40million for the ones that occurred at it various sites in Kaduna and its environ between November 5 and December 4, 2011.”