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Thursday, 3 September 2015
Petroleum Marketers Make big profits by passing off HHK as Jet 1 Fuel
The rising cost of Kerosene in Nigeria and some air mishaps have been attributed to the activities of some unscrupulous petroleum marketers seeking to make excesss returns.
In a statement yesterday on the sale and use of household kerosene as aviation fuel,the Chairman, Forte Oil Plc, Femi Otedola, has advised that the Federal Government should curb what he described as rising trend of selling Household Kerosene (HHK) to airlines as substitute for Jet A1 fuel by some petroleum marketers.
HHK which is sold by the Pipeline Products Marketing Company (PPMC) at the ex-depot and regulated price of N40.90k with the objective of selling to the average Nigerian at the pump price of N50.00k/litre.
This product shares some physical and chemical properties with Jet A1 fuel (except for the storage and handling procedures to eliminate contamination in Jet A1 fuel) and is being sold by some petroleum marketers to both local and international airlines at the international market price which may be as high as N140/litre. This huge arbitrage has led to evolution of some aviation fuel marketers who see this as an opportunity to make big profit.”
According to Otedola, “more worrisome is that these mushroom marketers are not established and do not have the infrastructure to store, transport and handle Jet A1 fuel in such a manner to eliminate contamination which is a key safety requirement for Global Aviation Practices. The proper care and handling of ATK is paramount in maintaining safe aircraft operations. One of the requirements that operators with high safety standards try to ensure is that their fuel is free from contamination.”
The chairman of Forte Oil noted that “contaminated fuel can cause significant damage to the aircraft and engine. Damage can range from fuel system corrosion, clogging of fuel filtration components, failure of aircraft fuel system instrumentation, and even stopping the fuel supply to the engines during flight. But with proper handling procedures in place, fuel contamination capable of causing problems to the aircraft can be eliminated.”
Otedola said Jet A1 DEF STAN 91-91 (UK) and ASTM D1655 (international) specifications allow for certain additives to be added to jet fuel. “These include; antioxidants to prevent gumming, antistatic agents, to dissipate static electricity and prevent sparking, corrosion inhibitors and fuel system icing inhibitor.
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