Government official Lokpobiri discusses ongoing efforts to stabilize fuel prices through currency policies.
By Onu Okorie
The Minister of State Petroleum Resources Oil Sen.Heineken Lokpobiri has said that as part of deliberate policy and broader strategy, the Naira -for crude sale agreement will continue to be a major step to reduce cost of fuel production, mitigate the exposure to the fluctuating exchange rate and of course to generally support indigenous refining.
Regional Integration and the West African Fuel Reference Market. He stated this at the Crude Oil Refinery Owners’ Association CORAN summit 2925 in Lagos. With the Theme, “Refining – Key to Energy Security in Africa” Lokpebiri said the path to Africa’s energy security runs through the gates of the refineries and its interrelated institution.
The Minister explained that the summit could not have come at a better time, as Nigeria and indeed Africa stand at a critical juncture; one that calls for decisive action to guarantee our energy security, promote indigenous refining,
and position the continent as a net exporter of petroleum products.
He said that under the Renewed Hope Agenda of President of Bola Ahmed Tinubu, indigenous refining has been identified as a critical pathway to energy independence, job creation, and industrial revitalization.
“Today, we have seen indigenous success stories such as Dangote Refinery & Petrochemical, Waltersmith Petroman Refinery, Aradel Holdings, etc. which collectively demonstrate that Nigerians have
both the capacity and the will to refine Nigeria’s crude oil locally.”
“These projects are more than facilities; they are symbols of confidence in our policy direction, and we are committed to replicating them across all oil-producing states.”
He further said that through the Nigerian Midstream and Downstream Petroleum
Regulatory Authority NMDPRA the government has streamlined the
licensing regime; from Licence to Establish to Construct and Operate
— ensuring that genuine investors are supported, not hindered, by
bureaucracy.
“Beyond licensing, Government has continued to consolidate on
facilitating the access to crude oil supply through the effective implementation of the Domestic Crude Oil Supply Obligation DSCO this is because No nation can claim energy independence if it cannot
refine its own crude.
“The Federal Government is therefore committed to ensuring that
every barrel produced in Nigeria contributes to meeting both our
domestic and international obligations.”
“In the bid to extending refining obligation beyond the shores of this
country, we launched the West African Fuel Reference Market to
position Nigeria as a regional refining and product supply hub to other
West African subregion.”
He also said that with increased local refining capacity, Nigeria will not only meet its domestic demand but will also serve as a dependable supplier of
refined products to neighbouring countries, hence reducing the
region’s reliance on distant refineries and maritime imports.
“This aligns with the African Union’s vision for energy integration and
intra-African trade under the African Continental Free Trade Area
AFCFTA.”
“As we look ahead, our priorities are clear: ensure feedstock security for all licensed refiners, deepen fiscal incentives to attract more investment, enhance collaboration between the Ministry, NMDPRA, NUPRC, and security agencies to tackle crude theft, pipeline vandalism and while enhancing our relationship with the host communities. Foster collaboration among African nations for product exchange, logistics, and shared energy infrastructure.”
“The Federal Government remains fully committed to supporting
indigenous refiners, strengthening regulatory institutions, and creating
an enabling environment for sustainable downstream growth.”
“Let this CORAN Summit 2025 serve as a renewed call – to industry
players, regulators, investors, and policymakers to unite in achieving
an Africa that refines what it produces and powers its future through
its own resources.” He stated.
