The Nigerian National Petroleum Company Limited (NNPC) has begun a comprehensive technical and commercial review of Nigeria’s three moribund refineries, as part of plans to bring them back to full operational capacity.
In an update posted Wednesday night on X (formerly Twitter), the Group Chief Executive Officer of NNPC, Bayo Ojulari, revealed that the company is seeking technical equity partners to “high-grade or repurpose” the facilities for optimal performance and long-term sustainability.
Ojulari noted that despite past challenges, the NNPC remains optimistic about restoring the refineries to full functionality. “We are filled with determination! We are looking ahead with optimism to ensure our refineries operate effectively,” he wrote, adding that the company’s commitment to national prosperity would guide its efforts.
Under the new strategy, NNPC plans to:
- Conduct a comprehensive assessment of all three refineries.
- Select technical equity partners with proven international refinery management experience.
- Implement reforms to ensure compliance with the Petroleum Industry Act (PIA) and strengthen Nigeria’s energy security.
The update comes amid public criticism over the billions of dollars spent on previous turnaround maintenance contracts that yielded little or no results. Business mogul Aliko Dangote had recently estimated that the government spent over $18 billion on refinery rehabilitation “without any tangible outcome.”
Meanwhile, the announcement coincides with President Bola Tinubu’s approval of a 15% import tariff on petrol and diesel, a policy expected to raise pump prices by up to ₦150 per litre.
According to an official document, the tariff is aimed at protecting local refining capacity, stabilising the downstream market, and aligning pricing with national energy security goals. The framework, which takes effect immediately, applies an ad-valorem duty on the Cost, Insurance, and Freight (CIF) value of imported fuel.
The administration emphasised that the measure is not revenue-driven but designed to balance competition between importers and domestic refiners, particularly the Dangote Refinery, which currently supplies a portion of Nigeria’s fuel demand.
Despite the intended reforms, analysts have warned that Nigeria’s limited refining capacity—with over 60% of products still imported—could make the new tariff burdensome for consumers.
NNPC said its renewed focus on equity partnerships and refinery optimisation represents a decisive step toward ending decades of dependence on imported fuel and achieving full energy self-sufficiency.
