The issue of Fuel Scarcity in Nigeria or teething problems within the Oil and Gas industry will not go away because of the wrong model being operated to run the Nations’ Energy Sector.
Oil and Gas Expert, Bala Zakka, disclosed this while speaking on the ongoing Fuel Scarcity in Nigeria that has lingered on for weeks now.
Mr Zakka who was speaking on the Tvc News programme TVC Breakfast on Tuesday morning said the current scarcity has been long in coming wondering how we would survive without power with the nation generating less than 10000 Megawatts of Electricity and Petroleum products like Diesel and Premium Moto Spirit the Other alternatives.
He described the current situation as that of a Cul De Sac with the nation being mocked in the comity of nations in the world.
Mr Zakka said the nation has failed repeatedly to make investment in strategic industries over the years including not adding to the refining capacity since the last refinery was built over 30 years ago nor even maintaining the ones built in the past.
He described it as a wishful thinking on the part of Policy makers in Nigeria to think we will not experience Energy crisis with the current model that we operate.
He added that the issue was apparent to everyone who was discerning enough to understand that something fundamental must change.
He expressed his sadness with professionals in the Oil and Gas industry with their failure to do what is right by being honest with the President and policy makers that the model is wrong and should change fundamentally before the nation can move forward.
He disclosed that the decision to be blunt will not affect them negatively as long as they do what is right and tell those in positions to make the critical decisions the truth.
He added that the indices are not right for Nigeria with many observers describing the country as a very big country with big people but a very bad example.
Going Further, He said the nation must not only do more in addressing the issue of Social Security but must add Energy Security as a major policy goal.
He said the GDP variables and Consumption index has shown what the trend is adding that any country where its minimum wage cannot buy a 50kg bag of Rice and 50 Litres keg of Diesel is in trouble.
According to him, Investments in the Oil and Gas Sector and Other Economic Sectors has virtually dried up.
He threw down the gauntlet for anybody to challenge his assertion that investment in the Oil and Gas Sector has dried up.
He described the current situation where Nigeria is now nothing but an import dependent nation in the Oil and Gas Sector as unfortunate.
On what can be done to create a better model for development in the Oil and Gas industry, He called for a rejig and recalibration of the Petroleum Industry Bill.
He added that deregulation will end up destroying Nigeria describing it as a concept that is not well understood by Nigerians adding that Commecialisation and liberalisation are better concepts.
According to him, a deregulated Sector never do well, he gave examples of the Telecommunications Sector as one that was liberalised and not deregulated.
He said that was why it has done very well since the decision to open up the space.
He said the Concept of Deregulation is price increase which can never be controlled.
He said liberalisation of the downstream Sector of the Petroleum Sector will go a long way in addressing issues within the Sector especially supply chain management.