Exporters want modular refineries in free zones

The Association of Nigerian Exporters (ANE) has called for the establishment of modular refineries in the nation’s oil and gas free zones.

The President of ANE, Chief Sunny Jackson Udoh, made the call during a courtesy visit on the Managing Director of the Oil and Gas Free Zones Authority (OGFZA), Mr. Umana Okon Umana, in Abuja.

Udoh said locating modular refineries in the oil and gas free zones would cut cost of such investments because of the regime of incentives that exempts free zones enterprises from import duties and other forms of taxation.

He advised the Federal Government to appoint OGFZA as the “lead agency for the establishment of the modular refineries in the oil producing areas to replace the ‘illegal refineries.’”

He said the advocated policy on modular refineries should go together with the establishment of oil and gas free zones in all oil producing states as a means of diversifying the economy.

The exporters association also called on the Federal Government to allow OGFZA to benefit from the seven per cent import surcharge fund set aside for port-based agencies of government.

He recalled that the presidency in 2006 approved the inclusion of OGFZA in the sharing of the import surcharge fund following the recommendation of the National Council on Commerce.

The Managing Director of OGFZA, Mr. Umana Okon Umana, said his management decided to review charges in the free zones to provide a level-playing field for all licensees in the free zones.

He similar patriotic intention informed the support of his management for the amendment of the principal law of the authority to remove areas of ambiguity that tended to promote confusion and conflict with sister agencies and reduce its effectiveness as a regulator. said