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Expert Seeks Restart Of Public Refineries To Tackle Fuel Hikes

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Energy expert and lecturer at Ignatius Ajuru University of Education, Port Harcourt, Dr Joseph Obele, has called on the Federal Government and the management of the Nigerian National Petroleum Company Limited (NNPCL) to urgently restart Nigeria’s government-owned refineries as a direct response to the rising cost of petroleum products.

He said the immediate and practical approach to addressing the current increase in petroleum prices is to restore production at the government-owned refineries and maximise every available refining capacity in the country.

He maintained that restoring functional government-owned refining capacity will increase domestic supply, reduce dependence on imported refined petroleum products and contribute to greater stability in the downstream petroleum market.

He noted that Nigeria should maximise all available refining capacity while continuing to encourage responsible private-sector investment and healthy competition within the downstream petroleum industry.

He expressed concern over the continued rise in crude oil prices amid the ongoing tensions involving the United States and Iran and concerns around the Strait of Hormuz, warning that sustained supply risks could continue to put pressure on global petroleum prices.

He noted that Brent crude closed at about $105.83 per barrel on 16 September 2026, while WTI closed at about $102.43 per barrel.

According to Dr Obele, the impact is already being felt in the Nigerian downstream market, with Premium Motor Spirit (PMS) reportedly selling in the range of ₦1,400–₦1,500 per litre in some locations, while Automotive Gas Oil (AGO) is selling above ₦2,000 per litre.

He warned that a prolonged increase in petroleum prices would have a wider economic impact, particularly on transportation, food, medical services and other essential commodities.

«“The continuous increase in the cost of petroleum products will invariably affect the prices of virtually all commodities and services. It will create additional inflationary pressure and deepen the financial hardship being experienced by Nigerians.”»

He urged the Federal Government and the management of NNPCL to act now by commencing production at the Port Harcourt Refinery and Warri, stressing that restoring domestic refining capacity is critical at a time when the cost of petroleum products is becoming increasingly burdensome for Nigerians.

He said restarting the refinery before the 2027 general elections would be significant not only for Nigeria’s energy security but also for public confidence in the Federal Government’s commitment to reviving critical national assets.

Dr Obele noted that the prolonged dormancy of government-owned refineries has had serious economic and employment implications across the petroleum value chain, affecting workers, contractors, marketers, transporters, businesses and other dependants of the sector.

He stated that a functional Port Harcourt Refinery would stimulate activities across the petroleum value chain, support employment and restore confidence among industry stakeholders.

He added: “The Port Harcourt Refinery should become a measurable demonstration of government’s commitment to the welfare of Nigerians. If the refinery is successfully restarted before the 2027 elections, it will give citizens an opportunity to assess the administration’s performance in the petroleum sector based on tangible results.”

He said that petroleum-sector workers and other stakeholders would vote base on the refinery as two million votes is anchored on the status of the government owned refineries which has directly and indirectly displaced two million citizens by impact on their employment, business activities, petroleum supply and the cost of living. The man who is hungry who vote as hunger directs. 

Dr Obele emphasized that the 2027 elections will provide citizens with an opportunity to assess the performance of government, including its handling of the petroleum sector, refining capacity, employment and the cost of living.

«“The people are looking for results. A functional Port Harcourt Refinery will restore confidence, support economic activities and demonstrateg that Nigeria can utilise its own petroleum resources for the benefit of its citizens.”»

He further stated that the Port Harcourt Refinery had previously recorded production activities and argued that the focus should now be on resolving operational challenges and returning the facility to sustainable production.

He said: “The time to restart the Port Harcourt Refinery is now. Nigerians cannot continue to bear the unbearable cost of petroleum products when domestic refining capacity is available. Every viable refinery should be optimally utilised in the national interest.”

Dr Obele stressed that the objective should not be to undermine private-sector refineries but to ensure that all viable refining assets—government and private—contribute to national energy security, adequate supply and a competitive downstream petroleum market.

Dr Joseph Obele, who is also an indigene of Eleme in Ogoni, advised the Federal Government to adopt an all-inclusive, peaceful and people-centred approach to the planned resumption of oil exploration activities in Ogoniland.

Dr Obele said the successful resumption of oil exploration in Ogoni requires genuine consultation, inclusiveness and adequate attention to the legitimate concerns and demands of the people.

He stressed that the process should be built on dialogue, trust, transparency and logical strategies, rather than approaches that could create further tension or undermine the confidence of host communities.

He said: “All-inclusiveness and attention to the demands of the people are key to the successful resumption of oil exploration in Ogoni. Selective political interference, logical strategies or military might should not be the option.”

Dr Obele maintained that the people of Ogoni should be treated as critical stakeholders in decisions concerning oil exploration, environmental restoration, community development and the economic benefits arising from petroleum activities in the area.

He advised the Federal Government, Rivers State Government, traditional institutions, host communities, regulatory agencies, prospective operators, civil society organisations and other relevant stakeholders to prioritise meaningful engagement and the peaceful resolution of outstanding concerns.

He further emphasised that any renewed exploration programme should provide a clear framework for environmental protection, remediation, host-community development, employment, economic participation and sustainable benefits to the people of Ogoni.

According to him, the resumption of oil exploration should be approached as an opportunity to build a new relationship between the government, operators and host communities based on mutual respect, transparency, environmental responsibility and sustainable development.

He urged the Federal Government to tread with care, listen to the people and ensure broad stakeholder participation before and during the resumption of oil exploration in Ogoniland.

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