Oil & Energy

PETROAN Cautions On Risks Of P’Harcourt Refinery Shutdown

Published

7 hours ago

February 9, 2026

The Petroleum Products Retail Outlets Owners Association (PETROAN) has expressed fears of rust, corrosion, abandonment, lack of lubrication, and eventual destruction of installed equipment at the PortHarcourt Refinery due to continued Shutdown.

PETROAN said it would also result in rendering the entire revamp effort futile if urgent action is not taken.

The Public Relations Officer and Spokesperson of the Association, Dr. Joseph Obele, in a statement, noted that over $1.5 billion of public funds were reportedly expended on the rehabilitation of the Port Harcourt Refinery, which was reopened in November 2024 and shut down again in May 2025 due to alleged financial losses.

Speaking on the sidelines of the recent remarks credited to the Group Chief Executive Officer of NNPC Limited, Engr. Bayo Ojulari, in which he described the re-operationalisation of the Port Harcourt Refinery and Petrochemical Company as a ‘waste of resources’ and admitted that NNPC lacks the capacity to operate refineries profitably, Obele expressed disappointment, describing the statement as troubling, demoralising, and deeply disturbing, and raising fundamental questions about institutional responsibility, governance, and the stewardship of public resources.

With the huge funds already spent on the rehabilitation process, Obele stated

therefore, that for the GCEO of NNPC to dismiss the entire exercise as a waste of resources, without clear attribution of responsibility, performance audits, or accountability measures, is unacceptable to Nigerians.

“If NNPC truly lacks the capacity to run refineries profitably, as admitted by its own GCEO, then Nigerians deserve to know who advised the investment, who supervised the rehabilitation, who certified the restart, and who benefited from the contracts and operations.

“Public institutions cannot casually dismiss a multi-billion-dollar national asset as a mistake without consequences”, he said.

The PETROAN spokesperson also faulted the narrative by Ojulari that Nigerians should be “thankful” solely because of the success of the Dangote Refinery.

While acknowledging the strategic importance and commendable achievement of the privately owned refinery, he stressed that private investments cannot replace the constitutional and economic obligation of government to efficiently manage public assets.

“Dangote Refinery is a private investment driven by profit and efficiency. NNPC, on the other hand, holds national assets in trust for Nigerians. One cannot be used as an excuse for the failure of the other,” Dr. Obele emphasized.

The energy expert further warned that repeated public admissions of incompetence by NNPC leadership risk eroding investor confidence, weakening Nigeria’s energy security framework, and undermining years of policy efforts aimed at domestic refining, price stability, and job creation.

He described as most worrisome the assertion that there is no urgency to restart the Port Harcourt Refinery because the Dangote Refinery is currently meeting Nigeria’s petroleum needs.

“Such a statement is annoying, unacceptable, and indicative of leadership that is not solution-centric,” he said.

The PETROAN National PRO reiterated that Nigeria cannot continue to normalise waste, institutional failure, and retrospective justification of poor decisions stressing that admitting failure is only meaningful when followed by accountability, reforms, and a clear, credible plan to prevent recurrence.

By: Lady Godknows Ogbulu

Oil & Energy

Take Concrete Action To Boost Oil Production, FG Tells IOCs

Published

7 hours ago

February 9, 2026

The Tide

The Federal Government has called on urged International Oil Companies (IOCs) operating in Nigeria to take concrete steps to ramp up crude oil production, following the country’s ambitious target of reaching 2.5 million barrels per day by 2027.

Speaking at the close of a panel session at the just concluded 2026 Nigerian International Energy Summit, the Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, said the government had created an enabling environment for oil companies to operate effectively.

Lokpobiri stressed that the performance of the petroleum industry is fundamentally tied to the success of upstream operators, noting that the Nigerian economy remains largely dependent on foreign exchange earnings from the sector.

According to him, “I have always maintained that the success of the oil and gas industry is largely dependent on the success of the upstream. From upstream to midstream and downstream, everything is connected. If we do not produce crude oil, there will be nothing to refine and nothing to distribute. Therefore, the success of the petroleum sector begins with the success of the upstream.

“I am also happy with the team I have had the privilege to work with, a community of committed professionals. From the government’s standpoint, it is important to state clearly that there is no discrimination between indigenous producers and other operators.

“You are all companies operating in the same Nigerian space, under the same law. The Petroleum Industry Act (PIA) does not differentiate between local and foreign companies. While you may operate at different scales, you are governed by the same regulations. Our expectation, therefore, is that we will continue to work together, collaborate, and strengthen the upstream sector for the benefit of all Nigerians.”

The minister pledged the federal government’s continued efforts to sustain its support for the industry through reforms, tax incentives and regulatory adjustments aimed at unlocking the sector’s full potential.

“We have provided extensive incentives to unlock the sector’s potential through reforms, tax reliefs and regulatory changes. The question now is: what will you do in return? The government has given a lot.

Now is the time for industry players to reciprocate by investing, producing and delivering results,” he said.

Lokpobiri added that Nigeria’s success in the upstream sector would have positive spillover effects across Africa, while failure would negatively impact the continent’s midstream and downstream segments.

“We have talked enough. This is the time to take concrete actions that will deliver measurable results and transform this industry,” he stated.

It would be noted that Nigeria’s daily average oil production stood at about 1.6 million barrels per day in 2025, a significant shortfall from the budget benchmark of 2.06 million barrels per day.

Oil & Energy

Host Comm.Development: NUPRC Commits To Enforce PIA 2021

Published

7 hours ago

February 9, 2026

The Tide

The Chief Executive of the Nigeria Upstream Petroleum Regulatory Commission (NUPRC), Mrs. Oritsemeyiwa Eyesan, has restated the commission’s commitment to ensuring oil companies comply with the Petroleum Industry Act (PIA) 2021 to promote sustainable development in host communities.

Eyesan made the remark at a Sensitization Programme in Owerri, Imo State, explained that the PIA 2021 mandates oil companies to contribute 3% of their annual operating costs to Host Communities Development Trusts (HCDTs) for community development projects.

Represented by Atama Daniel, Eyeso said “The funds will be used for education, healthcare, infrastructure, and economic empowerment”.

Eyesan assured that the commission would facilitate a smooth implementation process and ensure compliance by oil companies.

She, however, urged oil-producing communities to protect oil facilities in their areas as well as stop all illegal oil exploration activities within their communities.

The chief executive also disclosed that NUPRC has established Alternative Dispute Resolution Centres to resolve disputes between oil companies and host communities.

Earlier, the National President, HOSTCOM, Dr. Benjamin Tamarenebi, advised the host communities to always embark on sustainable development projects rather than frivolous projects.

He warned traditional rulers against bidding for contracts for execution of projects approved for their communities in line with the provisions of the Petroleum Industry Act.”

Tamarenebi noted that monarchs, as heads of Host Communities Board of Trustees, have the responsibility of supervising the awarding and execution of projects approved for the communities and ensuring accountability, adding that awarding contracts to themselves will lead to compromise.

He disclosed that funds disbursed to the communities are now higher than before and urged the communities to take good advantage of it.

“They can build schools and other sustainable projects and think of something that will always be a more economical variable in the community; if this is done there would be economic activities and development. In order not to waste the funds, manpower, train your children with the funds, give them scholarships instead of buying vehicles or renting apartments in the city”, he said.

In his remarks, the Deputy Executive Director, Environmental Defenders Network (EDEN), Johnson Abiye, urged regulators to ensure smooth implementation of the Petroleum Industry Act as it relates to the oil producing communities.

Abiye noted that many communities that were supposed to be part of HOSTCOM were omitted and called for the situation to be redressed.

Oil & Energy

World Bank-Funded $500m Meters To Be Given Free, Says BPE ……….Urges Customers To Beware Of Extortion

Published

7 hours ago

February 9, 2026

The Tide

The Bureau of Public Enterprises (BPE) Director-General, Dr. Ayodeji Gbeleyi, has said the meters provided under the $500 million World Bank funded Distribution Recovery Program (DISREP) are free.

He stated that the installation of the meters is free of charge as well, warning customers to resist of any electricity Distribution Companies (DisCos) compelling them to pay for them.

According to him, the Federal Government has provided the meters to eliminate estimated billings from the Nigerian Electricity Supply Industry (NESI).

Speaking alongside other industry stakeholders at the media briefing on DISREP supply, in Abuja, Gbeleyi said 182,000 meters are already installed under the DISREP, which he stressed are for all.

The BPE boss stressed that the meters are for customers who have no meters, however the government has granted DisCos request to allow them deploy 20 per cent of the meters for replacement of faulty or expiring meters.

Also speaking, the Chairman, Nigerian Electricity Regulatory Commission (NERC), Chairman, Dr. Musliu Oseni, said

“The government has taken responsibility to borrow money and provided these meters and said DisCos ‘I don’t want you to charge my people for these meters. Go and distribute these meters freely.’

“These meters are to be deployed and installed freely. Anybody asking you to bring money, kindly report to the utility because most of the time, the extortion is between the installers or staff of the DisCos and the customers.This is not inclusive of the management.”

Speaking further, Oseni explained that although customers pay for meters that operators provide them, the government has already absorbed the DISREP meters cost through the Word Bank facility.

He said: “Every investment made by the GenCos and DisCos is paid for by the customers as far as it is provided by the operators. But the Federal Government is taking responsibility of the DISREP to procure these meters.

On the payment of subsidy, he said some reforms are underway as states fully take over electricity market.

“There will be some reforms that will happen when the states take over subsidy regulations,” said Oseni.

Describing any call for payment for procurement or installation of DISREP meters as extortion, he urged the customers to report any demand for such payment to the commission.

According to him, timeline for tariff rate is dependent on the government to decide.

Meanwhile, the Managing Director, Transmission Company of Nigeria (TCN) Managing Director, Engr. Abdulaziz Sule, who recalled that the metering gap in the industry used to be 10 million meters, noted that it has reduced to 5 million metering gap.

He noted that the government has met 75 per cent of the DISREP requirements adding that 30 per cent of the meters have already arrived Nigeria.

Similarly, the Nigerian Electricity Management Service Agency (NEMSA), Acting Managing Director, Dr. Peter Asuben, revealed that as at December 2025, the agency had tested 576,208 meters and also tested 18,716 in January 2026.

On his part, the Minister of Power, Chief Adebayo Adelabu, who was represented by Dr. Adedayo Olowoniyi, said the DISREP was introduced to strengthen the downstream sector – distribution of electricity.

Represented by Dr. Adedayo Olowoniyi, Adelabu vowed that his administration would bridge the metering gap in the industry saying “During this administration, the metering gap will be closed”.