Corruption, distance from N. Delta, reasons for Kaduna refinery’s shutdowns – Stakeholders


The shutdown of the Kaduna Refining and Petrochemical Company’s (KRPC) operations for close to a month, has effectively deprived Nigerians the four million litres of petrol, 2.5 million litres of automotive gas oil, and 1.6 million litres of kerosene, which the outfit was producing daily, in recent times, The Guardian reports.

With over $20b already spent on the Turn Around Maintenance (TAM) of the nation’s refineries since inception, Professor of Petroleum Economics and Policy Research, Omowumi Iledare, insists that corruption, tribalism and sundry mundane factors were responsible for the perennially poor state of the Kaduna refinery.

Former President of the Nigerian Association of Petroleum Explorationists (NAPE), Abiodun Adesanya, said that the perennial losses accruing to the country on account of the failing Kaduna refinery, were not unconnected with poor management of scarce resources, and the deliberate attempt by the managers to keep it underperforming for selfish reasons.

Also commenting on the issue, Head, Energy Research, Ecobank, Dolapo Oni said, the refinery’s dependence on crude delivered over a long distance by pipeline from the Niger Delta, as well as the fact that the refinery is also equipped with only one month storage capacity are key disadvantages the country may have to keep battling with.