The continued failure of Nigeria’s government-owned refineries has come under renewed scrutiny, with the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) warning that the situation is worsening the economic hardship faced by millions of Nigerians.

The association said the prolonged delay in restarting the Port Harcourt, Warri and Kaduna refineries has left the country heavily dependent on imported petroleum products, exposing the economy to foreign exchange volatility, unstable fuel prices and recurring supply disruptions.

According to PETROAN, the impact of the failure is being felt daily by hapless Nigerians through rising pump prices, increased transportation costs, and a general spike in the cost of goods and services.

The group stressed that without functional local refineries, efforts to stabilise the downstream sector will remain limited.

PETROAN National President, Dr. Billy Gillis-Harry, described the situation as unsustainable, noting that local refining is critical to achieving energy security, reducing import bills, and easing pressure on consumers.

The association, therefore, called for the immediate commencement of operations at the Port Harcourt and Warri refineries, alongside sustained efforts to ensure optimal performance of all state-owned refining assets.

It also urged increased crude oil allocation to existing domestic refineries to boost local production capacity.

Against this backdrop, PETROAN acknowledged the reforms introduced by the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPC) Limited, Mr. Bayo Ojulari, within his first year in office.

The group commended the GCEO for improving transparency, strengthening corporate governance, and introducing structured financial and operational reporting systems that have helped restore stakeholder confidence in the national oil company.

It also noted ongoing efforts to enhance crude oil production and improve efficiency across the value chain, describing the past year as a “defining period” for institutional reforms within NNPC Ltd.

However, PETROAN stressed that while these achievements are commendable, they must be matched with tangible progress in restoring Nigeria’s refining capacity, which remains central to delivering real economic relief to citizens.

The association further called for deeper stakeholder engagement, inclusive policy implementation, and sustained collaboration with operators in the downstream sector to ensure seamless product distribution nationwide.

PETROAN reaffirmed its support for ongoing reforms but maintained that fixing the country’s refineries remains the most urgent priority for the government if Nigerians are to feel the true benefits of the transformation in the oil and gas sector. (The Sun)

Update news