The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has urged the Federal Government to ensure the productive restart of the country’s state-owned refineries by January, ahead of the upcoming election period.
The association said reviving the government-owned refineries would strengthen Nigeria’s domestic refining capacity, improve the utilisation of critical national assets and deepen competition in the downstream petroleum sector.
Reacting to President Bola Ahmed Tinubu’s Independence Day address, PETROAN said the prolonged inactivity of state-owned refineries had continued to affect businesses, workers, transport operators and communities whose livelihoods depend on the petroleum value chain.
PETROAN National President, Dr. Billy Gillis-Harry, said the government should move beyond plans and ensure that the refineries are returned to productive operation.
“This is not simply about restarting refineries. It is about putting national assets back to work for Nigerians,” Gillis-Harry said.
According to PETROAN, integrating state-owned refineries into an expanding network of privately owned refineries would create a more competitive downstream petroleum market.
The association said increased competition could encourage greater efficiency, improve product availability and potentially moderate the prices paid by consumers at filling stations.
However, PETROAN stressed that the revival of the refineries alone would not automatically guarantee lower petrol prices.
It said pump prices would continue to be influenced by several factors, including crude oil supply costs, foreign exchange rates, taxes and logistics expenses.
The association therefore called for any refinery restart programme to be supported by reliable crude feedstock, efficient operations and effective distribution networks.
PETROAN also commended President Tinubu’s emphasis on using Nigeria’s abundant gas reserves to power industries, create jobs, reduce production costs and improve the competitiveness of Nigerian businesses.
The association said lower energy costs remained critical to the performance of key sectors of the economy, particularly transportation, manufacturing and agriculture.
Gillis-Harry said reducing energy costs would have a direct impact on businesses and households, while helping to improve the operating environment for productive activities.
The association also welcomed reports of declining oil theft in the country, saying sustained improvements in security could help increase crude oil production and government revenues while restoring investor confidence in the oil and gas sector.
PETROAN said stronger crude production would also be important to the success of Nigeria’s refining ambitions, particularly as domestic refineries require a dependable supply of crude feedstock to operate sustainably.
While acknowledging the administration’s position against unsustainable petroleum subsidies, PETROAN called for stronger collaboration among the Federal Government, the Nigerian National Petroleum Company Limited (NNPC Ltd.), regulators and petroleum marketers.
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The association said closer coordination among stakeholders was necessary to create a stable and predictable downstream petroleum market.
PETROAN maintained that the transition from economic reforms to what President Tinubu described as an “age of prosperity” should ultimately be reflected in the daily economic realities of Nigerians.
According to the association, this means translating reforms into tangible improvements in employment, business activity, energy costs and access to petroleum products.
It said getting the state-owned refineries back into productive operation would be an important part of that process, particularly as Nigeria seeks to increase domestic refining, strengthen energy security and reduce vulnerabilities associated with dependence on imported petroleum products.
