The Nigerian Petroleum Exchange (NipeX) is a division of NAPIMS, which is a Corporate Services Unit of the Nigerian National Petroleum Corporation (NNPC). It was set up to improve the Contracting and Procurement processes in the upstream sector of the Nigerian Oil and Gas industry. It is an electronic platform that links Buyers with Suppliers in the procurement of goods and services by establishing industry-wide standards for transacting business in a fast, efficient and transparent manner.
NipeX has indeed come to stay as all players in the upstream sector of the industry have embraced it for the purpose of processing contracts. NipeX only processes contracts that are above the Operators' threshold, which are those valued at 500,000USD (five hundred thousand dollars) and above for the Joint Venture companies and 250,000USD (two hundred and fifty thousand dollars) for the Production Sharing Contract companies.
To be able to take advantage of the ample opportunities in the upstream sector of the oil and gas industry, Suppliers registered in Nigeria need to get uploaded onto the NipeX Joint Qualification System (NJQS) database. The following are the steps to get on board the NJQS database:
STEP I: (ACCESS/COMPLETE AN NJQS APPLICATION FORM)
Log onto NipeX web site (www.nipexng.com)
| 1. |
On the home page, click on NipeX JQS Application Form under the message board and download the form |
| 2. |
Complete the form and make a payment of 200 US Dollars or 25,000 Naira to NipeX bank accounts at GT Bank or UBA Plc. Relevant information to this is on the Application Form. Ensure that payment is made in the name of your company. |
| 3. |
Send the form and the original copy of the deposit slip to NipeX office. The address to send these documents to is on the registration form. If these documents are to be sent by courier, the courier company should be instructed to collect payment receipt for the Application Fee via a Return Mail service. |
| 4. |
On receiving these documents and confirming payment of the registration fee, NipeX shall send (via e-mail address provided on the form) a User ID and Password that would be used to log onto the NipeX Portal to fill in the pre-qualification questionnaire. |
| STEP II (ACCESS/COMPLETE AN ON-LINE QUESTIONNAIRE) |
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| 1. |
With the User ID and Password issued you, log onto the NipeX portal to access, complete and submit the JQS pre-qualification questionnaire and forward hard copies of supporting documents to NipeX JQS Team |
| 2. |
Should you encounter any challenge in completing the questionnaire, you may contact customer support personnel beneath the questionnaire for assistance. |
| 3. |
NipeX quality-checks the questionnaire for accuracy and notifies the supplier of any amendments where necessary |
| 4. |
NipeX uploads information provided by the supplier to the JQS database |
| 5. |
Supplier receives confirmation that their questionnaire has been completed correctly. |
| 6. |
Supplier is then placed on queue for Audit Verification |
NB. To facilitate the completion of your NJQS online questionnaire process, the following documents of your organization have to be handy:
| 1. |
CAC certificate of Incorporation |
| 2. |
State Tax clearance certificate with Tin No |
| 3. |
Directorate of Petroleum Resources (DPR) Certificate(s). |
| 4. |
A copy of your company's Audited Account. |
| 5. |
A letter of Reference from main Banker. |
| 6. |
Form C02 (Allotment of Shares) |
| 7. |
Form C07 (List of Directors) |
| 8. |
Printed & Signed Copy of Declaration form. |
| 9. |
A copy of your Workman Compensation Policy document (if available) |
| 10. |
A copy of your company's Health and Safety Policy (If available) |
STEP III (VISIT BY THE INDUSTRY AUDIT TEAM)
| 1. |
On successfully completing the on-line questionnaire, onsite verification shall be carried out by the industry audit team. |
| 2. |
Supplier is scheduled for the audit only when they have successfully completed the questionnaire. |
| 3. |
An audit notification/module is sent to supplier a minimum of two weeks before the audit date. The essence is to acquaint supplier in advance with the requirements of the audit exercise. |
CONCLUSION
The audit exercise is the last stage of the NipeX prequalification process. It is only by concluding this stage that a supplier can participate in the bidding process for jobs above the operators' threshold.
The audit exercise is essentially aimed at aligning indigenous companies' processes with best practice, as well as ensuring their compliance with statutory requirements. The audit does not have any punitive tendencies, hence a window of thirty (30) days is usually given to address observed non compliances (if any); after which a close-out meeting is held and a NipeX Audit Certificate issued eventually.
NipeX Holds Supplier Enlightenment and Sensitization workshop at different locations
The approved NipeX Supplier Enlightenment and Sensitization Campaign held from August 10th -23rd, 2011 at the different locations; Lagos (10th), Port Harcourt (16th) Warri (18th) and Eket (23rd).
The workshop was targeted at Published and Audited Suppliers in NipeX database.
The main focus of the workshop was to communicate the new contracting processes and suppliers' role in ensuring its success while optimizing the Oil and Gas Industry opportunities through the NipeX system.
The Workshop Objective was to create awareness and provide a common forum for suppliers to understand the following:
| 1. |
Pre-qualification process with emphasis on Supplier product and service offering. |
| 2. |
Optimizing the public opportunities as advertised by the Oil and Gas Industry on the NipeX portal. |
| 3. |
Procedure for updating information on the NJQS database. |
| 4. |
Roles and responsibilities of the Supplier in the contracting process. |
| 5. |
Key issues bothering on the DRP certificate type and classifications in alignment with the NJQS
product guide. |
| 6. |
The introductory use of Performance Feedback tool and other functionalities available in NipeX The workshop recorded a total of seven Hundred and Thirty (730) suppliers. The workshop was a success as shown by the feedback from the Suppliers and the fact that objective of the workshop achieved |
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