The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on the federal government to immediately commence full commercial production at all government-owned refineries, describing them as a critical price-check mechanism against market exploitation.
According to the national president of PETROAN, Dr. Billy Gillis-Harry, while the association respects the principles of a deregulated petroleum market and the commercial rights of all refinery operators, the recent decision by Dangote Petroleum Refinery to sell petroleum products in United States dollars has further demonstrated the urgent need for multiple operational refineries to promote healthy competition, protect consumers, and strengthen Nigeria’s energy security.
PETROAN noted that a downstream market with only one dominant supplier exposes marketers and consumers to sudden pricing decisions that can significantly affect pump prices nationwide. The association expressed concern that marketers earn revenue in naira but may now be required to source foreign exchange to purchase petroleum products, thereby increasing operational costs, foreign exchange risks, and pressure on the retail market.
The association emphasised that the immediate operation of the Port Harcourt, Warri, and Kaduna refineries would provide an effective price-check mechanism against excessive pricing and market exploitation, encourage healthy competition among domestic refineries, stabilise petroleum product prices through multiple supply sources, reduce pressure on foreign exchange by increasing local refining capacity, and strengthen Nigeria’s energy security by ensuring uninterrupted product availability.
PETROAN therefore calls on the Group Chief Executive Officer of NNPCL, Engr. Bayo Ojulari, to direct the NNPCL management to resume temporary operations at the government-owned refineries while discussions with the two prospective Chinese technical partners continue.
The association recalls that the refineries were operational before their shutdown in May 2025 and believes that temporary production will immediately increase domestic fuel supply, moderate price volatility, and provide much-needed relief to Nigerian consumers pending the conclusion of the technical partnership arrangements.
