The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on the Federal Government to privatise state-owned refineries, including the Warri and Kaduna refineries, to enhance operational efficiency and reduce government expenditure. In a statement issued on Saturday, titled PETROAN’s Retrospect of Nigeria’s Oil and Gas Downstream Sector 2024, the association also requested a ₦100 billion grant from President Bola Tinubu to help oil marketers stay in business amid the challenges posed by the removal of the fuel subsidy.
Signed by PETROAN President Billy Gillis-Harry, National Secretary Adedibu Aderibigbe, and Spokesman Joseph Obele, the statement stressed that the grant would prevent the closure of 10,000 marketers’ businesses and avert widespread job losses.
The association highlighted the impact of the subsidy removal in May 2023, which saw petrol prices surge from ₦170 to over ₦1,000 per litre in many parts of the country. PETROAN urged the government to prioritize crude oil supply to local refineries to enhance Nigeria’s refining capacity and reduce reliance on imported petroleum products.
“This strategic move will have a positive impact on the country’s economy and energy security. By prioritizing local refineries’ access to crude oil, Nigeria can unlock the full potential of its refining sector, drive economic growth, and enhance energy security,” the statement read.
The association also called for collaboration with neighboring countries to strengthen border security and curb smuggling. PETROAN further recommended implementing a digital tracking system to monitor the movement of petroleum products from refineries to retail outlets, ensuring transparency and accountability.
In its statement, PETROAN reiterated the need for a competitive market that would encourage new entrants and promote fair pricing by preventing monopolies. These measures, the group argued, would help stabilize the oil and gas sector and secure Nigeria’s energy future.
Comment here