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NNPCL, Dangote, others shift oil industry tussle to Senate panel

Published

2 years ago

August 8, 2024

NNPCL, Dangote, others shift oil industry tussle to Senate panel

Major stakeholders in Nigeria’s oil and gas industry on Wednesday vowed to speak up on the dirty deals, regulatory breaches and other malpractices in the sector that had defied solutions over years as the Senate opened another round of probe.

They demanded that the investigation should be conducted on live television broadcasts so that Nigerians would hear and know the truth about the happenings in the industry.

The stakeholders spoke during an interactive session with the Senate Ad-hoc Committee investigating “Alleged Economic Sabotage in the Nigerian Petroleum Industry”, particularly the importation of adulterated and substandard products into the country.

The committee, which is chaired by the Majority Leader of the Senate, Sen. Opeyemi Bamidele (APC, Ekiti-Central), will begin its full public hearing on September 10.

At a pre-hearing interactive session, it called on Wednesday, major stakeholders sought a transparent investigation to be conducted on live broadcast so that Nigerians would be well aware of the “misinformation” about the operations of the industry.

Among others, the probe will “seek to identify and hold accountable all parties involved in the importation and distribution of the adulterated petroleum products, especially Premium Motor Spirit and Automotive Gas Oil and such other acts that are detrimental to the operations of the petroleum industry.”

Bamidele, in an opening remark, said, “This includes suppliers, importers, regulatory bodies, and any other entity that may have contributed to lapses in the petroleum industry.

“We will conduct a thorough review of current regulatory frameworks and procedures to identify deficiencies and recommend necessary reforms to prevent such occurrences in the future.”

The Minister of State Petroleum (Oil), Sen. Heineken Lokpobiri; the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL); Mr Mele Kyari; the MD of the Nigerian Midstream & Downstream Petroleum Regulatory Commission (NMDPRA), Mr Farouk Ahmed; the MD of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mr Gbenga Kololafe; Depot and Petroleum Products Marketers Association (DAPMAN); Independent Marketers Association of Nigeria (IPMAN); Dangote Refinery; and modular refiners, addressed the panel.

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It was a session where many of the stakeholders opposed the Dangote refinery, as speakers warned against the consequences of what they considered to be an emerging monopoly in the industry.

Lokpobiri, for example, promised to cooperate with the panel by supplying all the information to help it unearth the truth.

“We will fully cooperate and supply all the relevant information to address all the misinformation.

I will suggest that this investigation should be conducted on live television”, he stated.

Lokpobiri, who denied claims that the government was frustrating local investors, added, “We are also committed to supporting the Dangote refinery and modular refineries.”

Kyari, who spoke in the same vein, complained that he had been the target of all forms of attacks, including being called a criminal, and a thief.

He said, “We are faithful, loyal, and committed to the development of this country,” adding that “We are not criminals and we are not thieves.”

Kyari made a reference to the row between regulatory agencies and the Dangote refinery over the latter’s allegation that its $ 19 billion investment was being frustrated, saying, “We have done nothing to sabotage any domestic refinery. But, there is a law that guides what we do.

“The law says that for crude oil, there must be a willing buyer and a willing seller. Go and check the Petroleum Industry Act, it is there.

Although Kyari admitted that there could be adulterated products in the country, he insisted that NNPCL was not to blame as the company did not man the borders or control smuggling, which he said was the role of the Nigeria Customs Service and security agencies.

“There are things we know that we won’t say, but we will say them during the public hearing. Let the public hearing be done on live broadcast,” he told the session.

On adulterated products, Kyari said, “NNPCL is not and cannot be responsible for the importation of substandard products. But, we know that smuggling of all sorts takes place, which is not caused by NNPCL.”

According to Kyari, vandalism of oil installations and product theft remain the biggest threats to the industry that need urgent solutions, or else serious investors will not risk their money.

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The representatives of DAPMAN, IPMAN and other local operators called for an operating environment that would be fair to all, including existing investors and new entrants like the Dangote refinery, as against handing over the industry to a monopoly.

However, the Group Strategy Officer, Dangote Refinery, Mr Aliyu Suleiman, expressed worries that the company did not get the expected support and backing from the government and regulators.

He raised three issues, “We would like to basically have three questions that we think we should look at, ask the committee, and also ask Nigerians.

“The first question is, do local refineries deserve protection from the government? The second question is, should Nigeria protect its infant industries in order to improve investment? And then the third question is, should local refineries have preferential access to Nigeria?.”

Aliyu went on, “Those really are the questions that we want this committee to consider. On the first one, as I have said, we produced five million tons of products, but of those 5 million tonnes, about 90% of them had to be exported. While at the same time, the products we were producing had been imported into Nigeria.

“We find ourselves competing against Russian products that were produced, that have been produced with oil that is valued at $60. We all know that because of the cap that has been put on Russian oil, the value of Russian oil today in the market is $60.

“And that’s what Russia is using to produce their products, and those products are being sent in large quantities into Africa to compete with products that are produced in refineries that buy proof at $90.

“We don’t think this will be a fair competitive environment and I think on that, even on that when you have such unfair competition, it is normal to put protective measures in place.”

He informed the panel that all the company had asked for was for the regulatory environment to support it, considering its huge investment in excess of $19 billion as part of the efforts to solve the domestic product supply challenges.

Meanwhile, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, confirmed that the government had yet to meet the 2024 budget’s crude oil target, though he gave assurances that everything was being done to achieve it.

Addressing the panel, the minister said while the government set a daily crude production target of 1.87 million barrels for the budget, it had so far achieved 1.6mbpd.

He stated that the government planned to surpass the budget’s target and achieve 2mbpd.

On oil prices, the minister said, “Outlook for oil prices is positive and we expect prices to remain stable.”

NNPCL, Dangote, others shift oil industry tussle to Senate panel

Related Topics:Dangote Featured NNPCL Senate panel

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Yemi Osinbajo Appointed Senior Strategic Adviser to Africa CDC

Published

2 days ago

April 7, 2026

Trends Admin

Former Nigerian Vice-President Yemi Osinbajo

Yemi Osinbajo Appointed Senior Strategic Adviser to Africa CDC

Former Nigerian Vice-President Yemi Osinbajo has been appointed as Senior Strategic Adviser to the Director-General of the Africa Centres for Disease Control and Prevention (Africa CDC), as the agency pushes forward the continent’s Africa Health Security and Sovereignty (AHSS) agenda.

The appointment, announced on Monday, comes at a critical time as Africa CDC seeks to enhance health systems, boost domestic financing, expand local production of medical supplies, and strengthen Africa’s influence in global health governance. In this role, Osinbajo will provide strategic guidance on pandemic preparedness, sustainable healthcare financing, policy direction, and continental collaboration.

Director-General Jean Kaseya praised Osinbajo’s wealth of experience, highlighting his expertise at the intersection of governance, finance, law, and diplomacy. “At a time when Africa must act with greater authority on the future of health, his leadership will be invaluable,” Kaseya said. He added that Osinbajo’s appointment reflects Africa CDC’s commitment to mobilising top African leadership in service of the continent’s health security and development.

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Osinbajo served as Nigeria’s Vice-President from 2015 to 2023, during which he chaired the Economic Sustainability Committee, contributed to reforms enhancing the ease of doing business, and played a key role in implementing Nigeria’s social investment programmes. Earlier, he was Attorney-General and Commissioner for Justice in Lagos State from 1999 to 2007. His legal and governance background positions him to offer critical insights on health policy, regulatory frameworks, and strategic partnerships.

The AHSS agenda, which Osinbajo will help drive, seeks to strengthen Africa’s self-reliance in health, improve disease surveillance, and foster regional collaboration to respond more effectively to pandemics and other public health emergencies. Experts say his advisory role will be crucial in promoting local production of vaccines and medical equipment, ensuring Africa can meet its own health needs while influencing global health decisions.

Africa CDC, operating under the African Union, aims to support member states in building resilient health systems capable of confronting future outbreaks and public health crises. Osinbajo’s appointment is expected to further amplify Africa’s voice in global health while ensuring sustainable health development across the continent.

Yemi Osinbajo Appointed Senior Strategic Adviser to Africa CDC

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Iran Lists Tough Conditions for Peace Talks with US

Published

3 days ago

April 7, 2026

Trends Admin

Iran Lists Tough Conditions for Peace Talks with US

By Agency Report

Iran has outlined a set of strict preconditions for engaging in negotiations with the United States aimed at achieving a lasting peace, signalling a hardening of its stance amid ongoing hostilities in the Middle East.

According to a senior Iranian official who spoke to Reuters, Tehran is insisting on an immediate halt to U.S. military strikes, alongside firm guarantees that such attacks will not be repeated, as a prerequisite for any talks.

The official also disclosed that Iran is demanding compensation for damages suffered during the conflict, underscoring the country’s position that any future negotiations must address the consequences of the ongoing war.

In a further indication of its firm posture, Iran has rejected proposals for a temporary ceasefire, maintaining that only a comprehensive and permanent peace agreement would be acceptable.

Tehran is also pushing for new arrangements regarding the strategic Strait of Hormuz, including the right to impose transit fees on vessels passing through the vital global oil shipping route. The proposed fees, according to the official, would vary depending on the type of vessel, its cargo, and prevailing conditions.

The development comes amid intensified diplomatic efforts led by regional mediators, including Pakistan, to broker a ceasefire between the two sides. A U.S.-backed proposal for a 45-day truce has reportedly been put forward as a stepping stone toward broader negotiations, though Tehran has dismissed the idea as insufficient.

Tensions between the two countries remain high, with both sides holding firm to their positions. Analysts say Iran’s demands reflect a broader strategy to secure long-term guarantees and reshape the terms of engagement in the region, rather than accept short-term de-escalation measures.

With neither side showing signs of compromise, prospects for immediate negotiations appear uncertain, raising concerns about further escalation and its implications for global security and energy markets.

Iran Lists Tough Conditions for Peace Talks with US

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Tinubu Unveils ₦3.3tn Electricity Bailout to Revive Nigeria’s Power Sector

Published

4 days ago

April 6, 2026

Trends Admin

President Bola Ahmed Tinubu

Tinubu Unveils ₦3.3tn Electricity Bailout to Revive Nigeria’s Power Sector

President Bola Ahmed Tinubu has approved a sweeping ₦3.3 trillion power sector bailout aimed at clearing long-standing debts and stabilising Nigeria’s struggling electricity industry.

The intervention, implemented under the Presidential Power Sector Financial Reforms Programme, is designed to resolve liabilities accumulated between February 2015 and March 2025, following a comprehensive verification process.

Presidential spokesman Bayo Onanuga disclosed that the ₦3.3 trillion electricity debt settlement represents a full and final agreement to restore financial stability across the sector. He explained that the debts, largely driven by unpaid invoices, tariff shortfalls, and subsidy obligations, had significantly weakened liquidity in the power value chain.

Implementation of the power sector debt repayment plan has already commenced, with 15 generation companies signing settlement agreements worth about ₦2.3 trillion. The Federal Government has raised ₦501 billion so far to fund the initiative, out of which ₦223 billion has already been disbursed, while additional payments are ongoing.

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The Nigeria electricity sector bailout is expected to inject much-needed cash into the industry, ensuring that gas suppliers receive payments, power plants can sustain operations, and electricity generation becomes more stable. With improved liquidity, officials say the country could begin to see gradual improvements in power supply, reduced grid disruptions, and better service delivery.

Special Adviser on Energy to the President, Olu Arowolo-Verheijen, said the programme is not just about clearing debts but rebuilding trust across the industry. She noted that restoring confidence is critical to attracting investment, maintaining consistent gas supply, and ensuring that power plants operate efficiently.

She further explained that the initiative forms part of broader power sector reforms in Nigeria, including nationwide metering improvements and the introduction of service-based tariffs that align electricity costs with the quality of supply. According to her, the government is also prioritising electricity supply to businesses, industries, and small enterprises, recognising that reliable power is essential for job creation and economic growth.

The Tinubu administration believes the electricity sector stabilisation plan will reduce reliance on generators, lower the cost of doing business, and improve productivity across key sectors of the economy. Analysts say resolving the sector’s liquidity crisis could unlock new investments and strengthen Nigeria’s overall economic performance.

President Tinubu also commended stakeholders for their cooperation in addressing long-standing challenges in the industry and confirmed that the next phase of the reform programme, Series II, will commence within the current quarter. The phase is expected to deepen structural reforms and ensure long-term sustainability of the electricity market.