Oil marketers, under the umbrella of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), have called on the Federal Government to privatise government-owned refineries, improve transparency, and enhance infrastructure in the downstream petroleum sector.
The association made these recommendations in its 2024 retrospect and outlook for 2025, released in Abuja on Saturday. The document, signed by PETROAN National President, Dr. Billy Gillis-Harry, National Secretary, Barr. Adedibu Aderibigbe, and National Public Relations Officer, Dr. Joseph Obele, highlighted strategies to consolidate gains in the sector.
“Privatisation of Nigerian-owned refineries, such as the Warri and Kaduna refineries, will improve efficiency and reduce government spending. We urge the government to engage reputable private companies for this process,” the document stated.
PETROAN emphasized fostering competition in the sector by encouraging new entrants, promoting a level playing field, and ensuring fair pricing to curb monopolies.
The marketers also stressed the need to improve infrastructure and maintenance in the sector. “Investment in critical infrastructure like refineries, pipelines, and storage facilities is crucial to reduce reliance on imported petroleum products and boost refining capacity,” PETROAN recommended.
They further urged the government to enforce local content development by supporting indigenous companies and incentivizing research and development in the downstream sector.
To tackle the persistent challenge of smuggling, the group called for enhanced border security through collaboration with neighboring countries and the use of digital tracking systems to monitor petroleum products from refineries to retail outlets.
As part of efforts to diversify energy sources, PETROAN recommended the promotion of Compressed Natural Gas (CNG) adoption, stating that regulatory frameworks should be reviewed to attract investments and reduce operational costs.
“Stakeholder engagement and awareness campaigns must be intensified to drive the adoption of CNG,” the group stated, adding that private sector participation would play a vital role in funding and expertise.
Highlighting the economic impact of subsidy removal, PETROAN appealed for a N100 billion grant from President Bola Tinubu to rescue 10,000 businesses on the brink of closure.
“PETROAN requests a grant of N100bn to mitigate the effects of subsidy removal and prevent job losses. This move will safeguard marketers’ businesses and help stabilize the sector,” the document read.
The association also stressed the importance of ensuring local refineries have access to crude oil to boost domestic refining and enhance energy security.
“By prioritising local refineries’ access to crude oil, Nigeria can unlock the full potential of its refining sector, drive economic growth, and reduce dependency on imports,” PETROAN asserted.
The recommendations outlined by PETROAN reflect the association’s commitment to fostering a more efficient and sustainable downstream petroleum sector in 2025, with an emphasis on transparency, competition, and economic resilience.
