The federal government has approved a new system allowing petroleum marketers to lift petrol directly from the Dangote Refinery, bypassing the Nigerian National Petroleum Company Limited (NNPC).
In a statement on Friday, Wale Edun, the minister of finance and chairman of the Naira-Crude Sale Implementation Committee, provided insights into the progress of crude purchases and refined product sales conducted in naira.
Read also: Marketers face pricing hurdles over direct Dangote petrol purchase
According to Edun, the implementation committee held its second post-commencement review meeting on October 10, where it assessed the success of the Crude Oil and Refined Products Sales in the Naira initiative.
“The committee is pleased to announce a seamless transition to the new framework following the Federal Executive Council’s directive. This new model establishes a strong system for the domestic production and distribution of crude oil and refined products, all sold in naira for local consumption,” the statement read.
Edun emphasised that with the mechanism now fully operational and local production underway, Nigeria is poised to shift towards a fully deregulated petroleum market.
“Petroleum product marketers can now purchase Premium Motor Spirit (PMS) directly from local refineries, without the need for NNPC as an intermediary. This allows for direct negotiations between marketers and refineries, fostering competition and improving market efficiency,” he added.
Read also: FG approves Dangote refinery as sole supplier of jet fuel to airlines
The government expressed confidence that these measures would create a more favourable market environment over time, benefiting Nigerians in the long run.
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