This view is supported by Lubabalo Bethela, business development executive of Orbichem South Africa. He observed that South Africa is probably the only truly regulated market in Africa, both because it is mature and because of the presence of multinationals and original equipment manufacturers. For the remainder of the continent, specifically sub-Saharan Africa, daunting regulatory challenges remain, and the hope of transitioning to higher grade lubricating oils is very limited.

A recent report by Swiss-based Public Eye indicted Swiss commodities traders, including Vitol, Trafigura, Addax and Oryx, for their roles in exporting so-called dirty diesel to West Africa. The report emphasized that the traders ruthlessly exploit weak regulatory standards in West Africa, and urban populations pay with their health.

Rami Al Kinanny, general manager for Egypt-based Hitech Oils and Greases, agreed that corruption is responsible for weak oversight in sub-Saharan Africa. He said that the challenge extends beyond dirty diesel. It involves food products as well, noting that developed countries invented the term African Quality to describe the cheap, low-quality products they send to the continent.

Taiye Williams, managing director of Lubcon International, concurred but pointed out that the regulatory framework is improving in Nigeria, but our regulators need more support in terms of equipment. Speaking about developments in Nigeria, Williams said that discussions are ongoing to establish better equipped laboratories and to increase collaboration between the Department of Petroleum Resources (DPR) and the Standard Organization of Nigeria (SON).

Emmanuel Ekpenyong, head of lubricants for HOGL Energy Ltd. in Lagos, agreed that Nigerias regulatory standards are not weak but acknowledged that they need to be strengthened. He said the countrys regulatory standards have improved considering what was obtainable in the past.

He attributes the improvement to collaboration between the DPR and SON in setting and upgrading standards as well as enforcement. Ekpenyong added Nigerias fuel sulfur standard of 3,000 parts per million maximum is clearly different from Europes maximum of 10 ppm sulfur, except in countries like Bosnia-Herzegovina, Bulgaria, Croatia, Romania, Serbia and Belarus where the maximum is 50 ppm.

Responding to the Public Eye report, the Swiss traders, under the aegis of the Geneva-based African Refiners Association, defended their position by insisting that the job of regulating quality rests not with suppliers but with individual governments. However, Hitechs Kinanny disagreed, stressing that the ethics that guide the marketing of base oils should also apply to the marketing of diesel fuel. Why would a company have ethics in marketing one product and not have the same ethics marketing another? he asked.

One concern raised by blenders is that the use of dirty diesel fuel could undermine the shift to API Group II base oils in Africa. Kinanny observed that as long as substandard products are pushed in the market, it will be difficult for consumers to adopt higher quality lubricating oils that naturally come at a higher cost.

Similarly, Orbichems Bethela noted that the continued use of dirty diesel would prolong the status quo and rob African consumers of the benefits of moving to more efficient engine oils. However, he added that the onus is on Africans to man up and ensure that Africa is no longer a dumping ground. Greater awareness and tougher regulation by both the state and industry should be pursued at every opportunity.

But HOGLs Ekpenyong offered a different perspective, saying that Nigerian standards would not force an overnight shift to Group II based lubricants. There have been reports of parcels of Group II and III base oils and finished lubes made from Group IV and V base oils being brought into Nigeria. These are also supplied by some of the same Swiss traders, and they meet Nigerian standards for base oils.

He explained that Nigerian authorities would not immediately specify Euro VI diesel fuel, CJ-4 Plus for its diesel engine oils or SN for its petrol engine oils. In taking these quality decisions, the age of engines on the road, which invariably depends on the GDP per capita income of the country, is usually taken into consideration.

In addition, some observers fear that importation of dirty diesel into Africa could adversely impact the campaign to use biodegradable lubricating oils. But African blenders almost universally agree that the continent is not ripe for biodegradable lubes. Kinanny emphasized that it is too early for African markets to even consider biodegradable lubricants.

Bethela added that Africa is likely 25 to 30 years away from any meaningful movement to biofuels and biodegradable lubricants. The trade-off between crops for food versus fuel is too vast in Africa, he said.

Ekpenyong concurred, noting that biodegradable lubricants will take some time to gain traction in Nigeria. However, he sees signs that biodegradable lubes are beginning to gain acceptance in the countrys food industry.

Williams added that the campaign to use biodegradable lubricants seems to be driven by a general tendency on the continent to look inward. He related that in Nigeria, the top contenders seem to be castor oil and soya oil. We are involved with some university researchers on a program to see how we might use these oils in blending some top-end products, he said.

Kinanny noted that the solution to the weak regulatory framework in sub-Saharan Africa is a massive awareness campaign. The only way is to inform the public and have them put pressure on the officials drafting weak regulatory standards. Bethela agreed, stressing that industry self-regulation through relevant industry bodies is the best way to protect themselves from unscrupulous traders.