Wale Edun, the coordinating Minister of the Economy, convened a crucial meeting with top stakeholders to enforce President Bola Tinubu’s order for the Nigerian National Petroleum Corporation Limited (NNPCL) to sell crude oil to local refineries in Naira.
The meeting took place on Monday at the Ministry of Finance headquarters in Abuja.
The gathering included key figures like Senator Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil); Mele Kyari, Group Chief Executive Officer of NNPCL; Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service; and Mrs. Lydia Jafiya, Permanent Secretary of the Ministry of Finance.
A post from the ministry’s official X (formerly Twitter) page highlighted the meeting’s intent to bolster the domestic economy and sustain the operations of local refineries, including the Dangote Refinery.
The ministry’s post read, “On Monday, the Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, led a key meeting aimed at implementing President Tinubu’s directive for the Nigerian National Petroleum Corporation Limited to sell crude oil to local refineries in Naira.
“This initiative is intended to strengthen the domestic economy and support the sustainable operations of local refineries, including the Dangote Refinery.
“The meeting brought together important stakeholders, including Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, Group Chief Executive Officer of NNPCL, Mele Kyari, Executive Chairman of the Federal Inland Revenue Service, Dr. Zacch Adedeji, Permanent Secretary of the Ministry of Finance, Mrs. Lydia Jafiya, and other notable participants.”
During the discussions, Edun expressed strong confidence in the collaboration between all parties involved to successfully meet the directive’s objectives. “The in-depth discussions underscored longstanding challenges within the petroleum sector, but the Minister expressed strong confidence in the collaborative efforts of all stakeholders to achieve the directive’s objectives.”
On July 29, President Tinubu directed NNPCL to sell crude oil to the Dangote Refinery and other upcoming refineries in Naira. The Federal Executive Council subsequently approved the sale of 450,000 barrels intended for domestic consumption in Naira, with the Dangote refinery being used as a pilot.
This move aims to stabilize the pump price of refined fuel and the dollar-naira exchange rate. It’s reported that Dangote Refinery currently requires 15 cargoes of crude, amounting to $13.5 billion yearly, with NNPC committed to supplying four.
However, Dangote Refinery has faced challenges, including a crude oil supply crisis with International Oil Companies and confrontations with Nigeria’s midstream/downstream regulator.