Economy on recovery path, says NNPC
The Nigerian National Petroleum Corporation (NNPC) has said if current improvement in oil production is sustained, the economy is on its way out of the doldrums.
It said oil remains the main stay of the economy, accounting for over 70 per cent of the nation’s gross domestic product (GDP).
Its health, safety and environment (HSE) Mashood O. Dolapo who spoke in an interview in Abuja, said as a mono-cultural economy, oil remains largely the driver of the economy.
He said: “Nigeria’s is a mono-cultural economy. Oil and gas contribute more than 70 per cent of national gross domestic product (GDP). She essentially depends on the oil and gas industry for its survival. Very recently when production fell to below a million barrels per day, the national economy was distressed.
“It is now on the way back to recovery just as production began to ramp up again. We are still struggling, without much to show, to generate revenue from other sources. That Nigeria is afloat therefore indicates incontrovertibly that the oil and gas industry is doing very well but there is plenty of room for improvement.
Dolapo who is one of the guest speakers lined up to speak at a risk management forum organised by NFPAWA scheduled for between May 9 and 12 at Oriental Hotel, Lagos, said: “Health and safety of persons, assets and the environment is a factor of production that cannot be compromised assets and the environment is a factor of production that cannot be compromised.
The oil and gas industry owe its successful existence to good HSE performance.
Therefore no matter what the price of oil is, if the organisation chooses to be in business, the quality of the loss prevention service will not be negatively affected.
What may happen is adjustment of priorities and trimming down to the essentials.
“As to change in the reorientation of the managers, of course people must adjust to extant circumstances to remain relevant and successful. And that is the hallmark of the industry – the managers are quick to react to changes. They in fact do so in a proactive manner – reorienting ahead of the change.”
With Sustainable Macro Economic Development: The Safety Perspectives as its theme, the forum will examine key issues in risk management in the country with a view to improving productivity and reducing work place calamities.
According to him, risk mitigation gives confidence to investors that assets and the environment will be maintained in serviceable state, that healthy staff will be available and productive, that incidents that can damage company reputation will be avoided.
Community relations, he added, will be cordial and insurance premiums will remain low.
“Based on this, they (investors) invest more in companies with good HSE performance record. Moreover, there will be peaceful labour relation and optimum assets performance. All these in the long run boost productivity which in turn enhances stability in the sector,” Dolapo said.
On benchmarks that ensure that risks are properly mitigated, he said generally, benchmark elements may include items in different categories, adding that the extent of relevance will depend on the type of facility, hazardous nature of operations, complexity of processes, exposure to plant employees and the public.
Others he said include HSE management system; process technology – process safety information, process hazard analysis; mechanical integrity programmes- process equipment, emergency safety devices and protection systems. Fire protection systems; operations – operating procedures, safe work practices; employee training; contractor management; management of change; incident management –incident reporting and investigation, implementation and resolution all matters thereto; emergency planning, are the others.
He said: “Appropriateness and robustness of these may be benchmarked against applicable standards in the industry, local and international regulations and best practices.”
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