…Says Competition Sparked By PH, Warri Refineries Will Lower Fuel Price
The Petroleum Products Retail Outlet Owners Association of Nigeria confirmed on Saturday that oil marketers are now loading petroleum products from the Port Harcourt and Warri refineries.
The confirmation by PETROAN has put to rest various speculations about the functional state of the refineries, which started operations late last year.
PETROAN’s assertion has dispelled previous doubts that the refineries owned by the Nigerian National Petroleum Company Limited were not fully operational.
PETROAN’s spokesman, Joseph Obele, disclosed this in a statement on Saturday.
In the statement, he said, “PETROAN members are now loading petroleum products, including dual-purpose kerosene, automotive gas oil, and premium motor spirits.”
Obele stated further that the Port Harcourt refinery is already selling petrol, diesel and kerosene to retailers, while the Warri refinery is supplying only diesel and kerosene.
“The resurgence of these refineries has sparked intense competition, expected to drive down petroleum prices. As Nigerians advocate for lower PMS prices, it is clear that competition is a crucial factor in triggering price reductions.
“The refineries’ revitalisation has brought numerous benefits, including the eradication of adulterated diesel and kerosene from the market,“ Obele added.
He stated further that the absence of functional refineries led to a proliferation of fake petroleum products, posing significant risks to consumers.
Obele added, “With the availability of original diesel and kerosene, the demand for fake products has decreased, reducing the risk of explosions and equipment damage.
“The refineries’ functionality has also contributed to a decrease in crude oil theft, which has hindered Nigeria’s ability to meet OPEC production targets. As crude oil production increases, Nigeria is expected to generate more revenue and stabilise the naira,” he stated.
He emphasised that the revitalised refineries have created job opportunities, with deserted depots now bustling with activity, adding that the host communities are also benefiting from empowerment programmes, which are expected to positively impact insecurity and crime rates in the region.
The National President of PETROAN, Billy Gillis-Harry, was also quoted in the statement as saying that social empowerment programmes for oil-producing host communities align with the provisions of the Petroleum Industry Act and the Nigeria Local Content Act.
Harry commended the Managing Director of the Nigerian National Petroleum Company Retail Ltd., Mr Hubb Stockman, “for promoting a sense of belonging among host community members.”
He advised members of the host communities and PETROAN members to support the goal attainment and actualisation of the Port Harcourt and Warri refineries, emphasising the importance of collaboration in ensuring the refineries’ continued success.
He added, “The operationalisation of the Port Harcourt and Warri refineries is also expected to boost Nigeria’s economic growth by increasing the availability of petroleum products, reducing dependence on imports, and generating additional revenue for the government. This, in turn, will have a positive impact on the country’s GDP and overall economic development.
“Additionally, the refineries’ functionality will also enhance Nigeria’s energy security, reduce the pressure on foreign exchange, and create a stable supply chain for petroleum products. This will have a ripple effect on various sectors of the economy, including transportation, manufacturing, and agriculture.”
