Nigeria to halt petroleum imports from October

The Nigerian National Petroleum Company Limited, NNPCL, has notified the Nigerian Upstream and Downstream Petroleum Regulatory Authority (NUDPRA) that it would not be importing petroleum products from October if the price is competitive.

This is coming as the Lagos State Government promised a comprehensive traffic management strategy that guarantees a free flow of traffic along the Lekki – Ajah corridor ahead of the refinery’s commencement of lifting of refined petrol to outlets on Sunday.

Meanwhile, NNPC has not placed any petrol import supply orders for October 2024.

According to the report, “The NNPC would from October 1 commence the supply of about 385,000 barrels per day of crude oil to the refinery, which will be paid for in naira.

“NNPC has also notified the NUDPRA that it would not be importing petroleum products from October if the price is competitive”,

It further states that, as part of the agreement, the refinery would supply petrol and diesel of equivalent value to the domestic market, also to be paid in Naira.

However, diesel is expected to be sold in naira by the refinery to any interested off-taker, while petrol will only be sold to NNPC for distribution to various oil marketers.

The NUDPRA is further expected to revalidate the production figures ahead of plans by the national oil company to stop placing orders for petrol importation from October.

Based on this forecast for petrol from domestic refineries, the NUDPRA was said to have stated that a total of 389.16 million liters of petrol will be produced in September.

“In October, November, and December this year, the country is expected to produce 1.09 billion liters, 1.08 billion liters, and 1.45 billion liters, respectively.

“For January, February, and March 2025, it was learnt that the projected productions are 1.47 billion liters, 1.34 billion liters, and 1.47 billion liters.

The Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr. Zach Adedeji, had announced on Friday that NNPC would begin lifting petrol from the $20 billion refinery on September 15, with an initial 25 million liters per day.

As part of the resolution, Adedeji said NNPC would be the sole off-taker of petrol from Dangote Refinery, while diesel from the facility would be sold directly to any interested marketer.

While crude supplied to Dangote Refinery would be paid in naira, the FIRS boss added that both petrol and diesel from the refinery, as well as all costs associated with the transactions, would also be paid in the local currency.

Interestingly, the Lagos State Government has devised a comprehensive traffic management strategy that guarantees free traffic flow along the Lekki-Ajah corridor.

The special adviser to Governor Babajide Sanwo-Olu on transportation, Sola Giwa, made this known in a statement issued on Saturday to reaffirm the state government’s commitment to safeguarding citizens’ welfare and maintaining orderly traffic.

He confirmed that the Lagos State Traffic Management Authority (LASTMA) had been fortified with state-of-the-art equipment and trained personnel to be strategically deployed to oversee and regulate traffic flow within the affected areas.

Giwa promised the residents and commuters in the Lekki-Ajah vicinity that thorough preparations had been made, urging them to remain calm and confident in the state government’s capabilities.

The statement added: “In collaboration with relevant stakeholders, LASTMA has mobilized advanced tow trucks and emergency response equipment to promptly address anticipated potential traffic disruptions. Medical ambulance services are also on high alert to ensure rapid response in emergencies.

“As the Dangote Refinery commences operations, the Lagos State Government emphasized the imperative of strict adherence to traffic regulations by tanker operators, particularly during loading and navigation within the Lekki-Ajah axis. The state government will rigorously enforce these regulations to avert traffic disruptions and ensure seamless vehicular movement.

“The Lagos State Government reaffirms its commitment to safeguarding citizens’ welfare and maintaining orderly traffic during this pivotal period of industrial activity.

“All motoring public, particularly commercial bus operators, including mini-bus drivers, are hereby cautioned to comply with traffic laws, refraining from picking up or dropping passengers at undesignated bus stops, avoiding driving against traffic (one-way drive), and observe all road signs, including traffic signals, among other regulations.

“Adherence to these regulations will ensure a harmonious and efficient transportation system,” the statement added.