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Meteorology 2004 Act: Oil terminals without metres to be shut

By on November 26, 2012

In spite of the ill fated, corrupt, confused, and operational failing oil sector, the Federal Government has threatened to shut oil and gas terminals in the upstream sector, should their operators turn down installation of metering systems in their operational areas.

The Federal Government’s reaction came after the oil producers moved against the implementation of the Legal Meteorology System in Nigeria in accordance with the Meteorology 2004 Act.

Following this development, the Federal Ministry of Trade and Investment in collaboration with its consultant, Nigerco Nigeria Limited, are bent on sealing off oil terminals for non-compliance with the 2004 Act.

In his remark the Chief Executive Officer, Nigerco, Yabagi Sani, who spoke in Abuja, said, “It is very surprising that we are having very stiff opposition from the oil and gas sector.”

He stated that the tussle was coming inform of “refusing weights and measures and staff access to their terminals.”

He said knowing the capacity of the programme to curtail infractions which have become a norm in the country and businesses, there has been an opposition from stakeholders who want to maintain the status quo where the citizens and the economy suffer huge losses due to lack of correct measurement in trade transactions.

He said: “The law makes provisions for sanctions which is to seal-off terminals. We can seal-off terminals until you comply, and we are at a stage where we are going to seal. We will seal terminals and seal facilities.”

According to him, the downstream sector of the oil and gas industry was at the mercy of the tanker drivers who off-load part of the products before they get to the stations, where the dealers pass the pains to consumers by under-dispensing.

To control the condition, he said Weights and Measures will be fitted in each petrol station.

He said regardless of the existence of the laws on Weights and Measures, the functioning of the law has been negligible and missing in most areas of the economy.

“On July 4, 2012, the Federal Ministry of Trade and Investment engaged the service of Nigerco Nigeria Limited as a Technical and Management Consultant to the Department of Weights and Measures for effective implementation of the Weight and Measures (Legal Meteorology  Act 2004, and to among other things build a sound legal infrastructure for the nation,” he said.

According to him, following the International Legal Meteorology Practice and Weights and Measures Act, putting together remote monitoring systems is being set up in selected sectors of the economy.

Telecoms, electricity, oil, and gas, are included, he said, where the volume of operation is high and meters used for such dealings are prone to maneuvering.