Federal Government don change im mind for fuel import matter as dem don give six new license for companies wey go import Premium Motor Spirit (petrol) for Nigeria. This decision come after government don talk say local refinery don dey produce enough fuel for the country. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) give license for import of about 180,000 metric tonnes of petrol.
Senior official for NMDPRA talk say dem take this decision because of supply problem wey come from Middle East crisis. The official explain say “Middle East crisis come, and we don get shortfall. So to bridge the gap, import licenses were issued.” This na sharp turn from wetin government dey talk before when dem say Nigeria no need fuel import again because local refinery don dey produce enough.
Companies wey get the new import license na Bono Energy, Pinnacle, AYM Shafa, Matrix, A.A. Rano, and Nipco. Each company go import about 30,000 metric tonnes of petrol, wey be about 40.5 million litres. Altogether, all the companies go import about 243 million litres of fuel for Nigeria.
For Dangote refinery side, serious matter dey ground. Senior management official for Dangote Group talk say the refinery dey suffer foreign exchange loss under the naira-for-crude deal wey President Bola Tinubu approve. The official talk say “We dey end up supply much more products than the crude we receive, thus losing forex which we for gain if we don export the products.”
David Bird, wey be Chief Executive Officer of Dangote refinery, talk for Arise News TV say the refinery dey get only five cargoes of crude monthly instead of the 13 to 15 cargoes wey dem expect. Bird explain say “What we see under that agreement, we should be getting about 13 to 15 cargoes a month. And that’s what we could process to meet the domestic fuel requirements of Nigeria. Currently, we’re only getting five.”
Because of this shortfall, Dangote refinery dey forced to buy Nigerian crude from international market at higher price, and dem dey pay extra costs like freight and insurance. Bird talk clear say the naira-for-crude deal no be to benefit Dangote refinery but to help Nigeria foreign exchange market. He talk say “The naira-for-crude deal is not there to benefit the Dangote refinery. That is a fundamental misunderstanding. The programme is to provide resilience to foreign exchange.”
Oil marketers and domestic crude refiners don call on Federal Government to increase crude supply to Dangote refinery and other local refineries. Eche Idoko, wey be spokesperson for Crude Oil Refinery Owners Association of Nigeria (CORAN), talk say refining alone no go reduce fuel price for Nigeria. Idoko identify three main things wey dey affect petrol price: international crude oil prices, exchange rate pressure, and cost of logistics and distribution.
Idoko talk say “More crude allocation to Dangote and other modular refineries will definitely help, but it must be done properly and strategically.” He ask government to enforce Domestic Crude Supply Obligation wey dey inside Petroleum Industry Act. This law talk say local refineries must get crude before dem export am.
Jeremiah Olatide, wey be Chief Executive Officer of Petroleumprice.ng, confirm say NMDPRA don start to give import permits again. Olatide talk say “Yes, it’s true. NMDPRA has begun issuing import permits; the number of permits issued lately is relatively low, which shows local refining still dominates, but we need to stabilise the market through imports.”
Olatide talk say energy insecurity fit collapse Nigeria economy, so importation dey needed to balance things. He talk say “I have advocated severally that adequate crude supply to local refineries is non-negotiable as it will help drive pump prices down, stabilise our naira and grow our economy.”
Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) don issue statement wey dem talk say recent increase for fuel price don put “significant financial pressure on citizens, businesses, and the broader economy.” Billy Gillis-Harry, wey be National President of PETROAN, talk say “The ripple effects are evident in rising transportation costs, increased prices of goods and services, and a general strain on the cost of living.”
PETROAN ask government to implement temporary interventions to help Nigerians with the high fuel prices. Dem recommend things like transportation relief, temporary food subsidies, and promotion of alternative fuels like compressed natural gas and liquefied petroleum gas. Dem also ask government to make NNPC restart operations at Port Harcourt refinery fully.
David Bird talk say despite the challenges, Dangote refinery dey operate at full capacity of 650,000 barrels per day, and dem dey supply both Nigeria market and other countries for West Africa region. But he talk say tensions for Middle East don increase operational costs for everything from freight to insurance to logistics.
Bird talk clear say fuel pricing still dey follow international market forces, and Dangote refinery no dey get any subsidy or discount for crude wey dem dey use. He ask for better crude allocation and long-term planning, including building national reserves, to make Nigeria oil sector stronger.
Industry experts talk say Nigeria need to balance between local refining and importation to make sure fuel dey available always. The sudden return to fuel import show say supply stability still dey fragile, especially when global problems dey happen. As Middle East crisis continue, Nigeria government dey watch how to protect the country from fuel scarcity wey dey affect other countries.
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