Victor EzejaMinister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, has said the commencement of local refining of petroleum products by Dangote Refinery, marks an important step in Nigeria’s quest for energy self-sufficiency and the resumption of the country’s journey towards industrialisation.
Edun stated this during his visit to the Dangote Refinery on Sunday to oversee the petrol loading operations.
He visited the refinery with the Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr Zaach Adedeji, to assess the commencement of lifting of Premium Motor Spirit (PMS) also known as petrol from the facility.
Prime Business Africa had reported that Dangote Refinery began the supply of petrol to the Nigeria market on Sunday, 15th September.
In line with an agreement brokered by the Federal Government, the Nigeria National Petroleum Company Limited (NNPCL) is the sole off-taker of refined petrol from Dangote Refinery.
The national oil company began lifting PMS from the 650,000 barrels per day refinery on Sunday, as announced on Friday by the federal government.
READ ALSO: NNPCL Lifts Petrol From Dangote Refinery
In a video shared on social media, the minister who chairs the Technical Sub-Committee on the implementation of the Crude Oil Sales in Naira Policy, said the commencement of local refining and distribution of petroleum products marks a resumption of Nigeria’s march to industrialisation.
He said it has been decades since the country stopped domestic refining of petroleum products, but with the resumption through Dangote Refinery, the stage is set for more developments in the economy.
“Today we have taken an important step, a key step towards energy self-sufficiency in Nigeria.
“We have taken an important step to energy security in Nigeria,” Edun.
According to him, the benefits will go beyond Nigeria’s borders as other countries in Sub-Saharan Africa will feel the positive impact of the country’s local refining and supply of petroleum products.
The minister commended President Bola Tinubu for coming up with the initiative that NNPCL should supply crude to local refineries in naira, while they also supply petroleum products to the Nigerian market in naira.
He noted that what is being done in the Dangote Refinery today, is in line with the government’s policy of encouraging domestic investments and ensuring proper utilisation of local raw materials.
He congratulated President of the Dangote Group, Alhaji Aliko Dangote, for his resilience and successful commencement of operations of the refinery despite comments by critics that it won’t work.
He noted that the refinery has the capacity to produce sufficient quantities that can meet demands in the Nigerian market.
Mr Edun also made a crucial call on all domestic refiners to, apart from producing for the local market, avoid illegal exports that do not attract good foreign exchange needed to boost the country’s economy.
“All domestic refiners should come together and to not only supply the domestic market but also to let us change the narrative and have legal exports and earning of foreign exchange into this economy by providing, in the first instance, the subregion.
“You know that Nigeria’s PMS is feeding the neighbouring countries. Let it be done legitimately, and of course, that would give us extra foreign exchange which is also very important to our overall well-being and the economy.”
At the end of the Technical Sub-Committee meeting on the sale of crude oil to local refineries in naira, on Friday, the Finance Minister who was represented by, the FIRS Executive Chairman, Zacch Adedeji, had said diesel from the Dangote Refinery would be sold in naira to any interested off-taker, while PMS would only be sold to NNPCL, which will then sell to various marketers.
He announced the completion of all agreements and modalities for the implementation of the Federal Executive Council (FEC) approval on the sale of crude to local refineries in Naira and corresponding purchase of petroleum products in naira.
FEC under the leadership of President Tinubu had approved the sale of crude to local refineries in Naira and corresponding purchase of petroleum products in naira.
Victor Ezeja is a passionate journalist with six years of experience writing on economy, politics and energy. He holds a Masters degree in Mass Communication.
