Why fuel importers will frustrate Dangote refinery – Obasanjo

Why fuel importers will frustrate Dangote refinery – Obasanjo

Former President Olusegun Obasanjo has said he is not surprised that fuel importers will not want Dangote Petroleum refinery to succeed.

According to him, those benefiting from the lucrative business of fuel importation see Dangote refinery as a threat and will try to frustrate it.

Obasanjo’s remarks came in the wake of allegations by the President of the Dangote Group, Alhaji Aliko Dangote, that some mafia were making efforts to sabotage the $20bn refinery.

Dangote Group recently raised alarm that international oil companies were frustrating the refinery by either refusing to sell crude or selling to them at a premium up to $4 above the normal price.

They also accused the Nigerian Midstream and Downstream Regulatory Authority of intentionally granting licences to individuals to import substandard fuel.

The regulator denied this, saying Dangote diesel was inferior when compared to the imported ones.

The NMDPRA Chief Executive, Farouk Ahmed, also stated that the country would not stop fuel importation to forestall a monopoly by the Dangote Group.

Speaking on the impasse, the former President said the Dangote refinery would encourage both Nigerians and non-Nigerians to invest in the country.

He made this known In an interview with Financial Times.

“Aliko’s investment in a refinery, if it goes well, should encourage both Nigerians and non-Nigerians to invest in Nigeria.

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“If those who are selling or supplying refined products for Nigeria feel that they will lose the lucrative opportunity, they will also make every effort to get him frustrated,” Obasanjo stated.

Obasanjo, speaking further, disclosed that Nigeria made a grave mistake by putting all its eggs in one basket of oil, ignoring gas and agriculture.

“I believe we made a very deadly mistake. We put all our eggs in one basket of oil. We even ignored gas. We were flaring gas, which is a very important commodity.

“We ignored agriculture, which should have been the centrepiece of our economic development,” Obasanjo stated.

He recalled how he persuaded Shell to run the country’s refineries but the International Oil Company refused, saying there was too much corruption in the sector.

“When I was President, I invited Shell and I said, look, come and take equity participation and run our refineries for us. They refused. They said our refineries have not been well maintained.

“We have brought amateurs rather than bringing professionals. They said there’s too much corruption with the way our refinery is run and maintained. And they didn’t want to get involved in such a mess,” he explained.

On the promise that the refineries will be fixed, he asked, “How many times have they told us that? And at what price?

“Those problems, as far as the government refineries are concerned, have never gone away. They have even increased. So if you have a problem like that and that problem is not removed then you aren’t going anywhere.”

Why fuel importers will frustrate Dangote refinery – Obasanjo