Nigeria’s plan to resume distribution of petroleum products through the railways has been put on hold by the federal government’s decision to concession the rail system, the Executive Secretary of the Petroleum Equalisation Fund (PEF), Mr. Ahmed Bobboi, has said.

Bobboi said yesterday at a workshop in Abuja that plans by the PEF to introduce railway petrol equalisation in the country to enable distribution of petrol through the rail lines, would not go on as planned until the government concludes its railway concession programme, which has now run into hitches.

He said that PEF was waiting to determine the direction of the government as regards the rail system, so that it could enter into discussions with the eventual managers of the railway on the modalities for the transportation of PMS and Liquefied Petroleum Gas,(LPG) through the railways.

“We planned to introduce the railway equalisation programme last year, but certain developments delayed it. One of the development is the government policy of divesting from that area, because government is considering the concessioning of the management of the railway system.”

“We want to wait and see who will end up managing the railway, whether it is government or the private sector, so that we would discuss with them and agree on the modalities.” he added.

Source: NTA