FG Finally Takes Action to Crash Petrol Price, Announces Important Partnership

• The Nigerian Export Processing Zones Authority (NEPZA), Dangote Refinery, and the Federal Government's One-Stop-Shop Committee have agreed to implement the presidential directive
• This collaboration seeks to streamline crude oil sales, particularly to the Dangote Refinery, by eliminating the reliance on the dollar and selling crude in naira
• NEPZA's Managing Director, Olufemi Ogunyemi, expressed confidence in the president's vision and the refinery's role in driving energy security and economic growth

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

In a bid to improve national energy security and foster economic growth, the Nigerian Export Processing Zones Authority (NEPZA), the Dangote Refinery, and the Federal Government's One-Stop-Shop Committee on the Sale of Crude in Naira have decided to implement the presidential directive on the falling domestic prices of petroleum products.

During the committee members' courtesy visit to NEPZA's Managing Director, Olufemi Ogunyemi, in Abuja on Tuesday, the three bodies agreed to coordinate their efforts to fulfill the instruction.

Martins Odeh, NEPZA's Head of Corporate Communications, revealed this in a statement on Wednesday.

To streamline the sale of crude oil to nearby refineries, particularly the Dangote Refinery, the Federal Government formed a committee to facilitate a one-stop-shop process.

Channels reported that this was achieved by coordinating services from various regulatory, security, and other pertinent agencies to ensure smooth implementation of the process.

According to the statement, NEPZA was willing to collaborate with the committee to fulfill this mandate, and Ogunyemi expressed his faith in the president's vision and determination to achieve complete domestic sufficiency in petroleum products.

“Interestingly, the Authority supervised the construction of the highly celebrated world-class Dangote Refinery from the beginning to its inauguration, making it a success story for us.

“The mission for energy security is half achieved because the Dangote Refinery and Petrochemicals FZE is a registered Free Zone and, as such, continues to benefit from the scheme’s incentives. Since the Federal Government has invested significantly in ensuring the establishment of the refinery, I believe the time has come for the entity to lead our drive for energy security,” the managing director said.

The Managing Director of NEPZA further explained that the refinery, which has since started up with 480 vessels delivered, was proudly associated with producing a variety of crude types and progressively satisfying the nation's internal demand for gasoline, diesel, kerosene, aircraft jet fuel, and for export.

As a result, he pointed out that selling crude in naira would reduce the local currency's reliance on the dollar in domestic crude transactions.

“Let me reiterate that the Free Trade Zone Scheme remains a key economic driver of our nation, and we are pleased that the Dangote Refinery is one of our shining stars that will drive this policy,” Ogunyemi said.

He further stated,

“This visit cannot be more important, as it brings together key interest groups, stakeholders, and relevant sister agencies that constitute this committee to deliver a workable template that can guide this well-thought-out naira-for-crude swap transaction for the benefit of our nation.”

It was only a matter of time before the nation ceased charging domestic crude sales in dollars, according to Ms. Maureen Ogbonna, the committee's coordinator, who described the committee's work as one of the president's major interventions to realign the economy.

She claims that the committee is already producing the intended outcomes due to the stakeholders' collaboration with the policy thus far and the demonstration of political will.

“We are happy with this exceptional courtesy extended to us by Dr. Olufemi Ogunyemi, the MD/CEO of NEPZA, and his willingness to provide us with access to the Dangote Refinery, being the only serviceable refinery in the country now. This collaboration will surely enable the Dangote Refinery & Petrochemicals FZE to lead the way,” Ms. Ogbonna said.

The chairman and founder of the Dangote Group, Aliko Dangote, has always supported the nation's efforts toward development, industrialisation, and economic expansion, according to Akinsanya Mobolaji Mobolarin, the spokesperson for the Dangote Refinery & Petrochemicals.

The Dangote Refinery is committed to assisting the nation in achieving energy security, said Mobolarin, General Manager of Engineering/Strategic Services at the refinery, who acknowledged the boost and expansion the program would bring to the economy if it were effectively implemented.

Filling stations immediately change petrol price

Legit.ng reported that the increase in the ex-depot price of Premium Motor Spirit (PMS), also known as petrol, announced by Dangote Refinery late Friday, prompted filling stations throughout the Lagos metropolis on Saturday morning.

On Friday, June 20th Dangote Refinery raised the ex-depot price of petrol by N55 per litre, from N825 to N880.

Members of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), NNPC retail outlets, Independent Petroleum Marketers Association of Nigeria (IPMAN), and the Major Energy Marketers Association of Nigeria (MEMAN) quickly adjusted their metres in response to the increase.

Source: Legit.ng