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Tag: Naira-for-crude oil policy

  • MDAs, stakeholders shun Reps’ probe of Naira-for-Crude oil policy

    MDAs, stakeholders shun Reps’ probe of Naira-for-Crude oil policy

    Stakeholders in the oil and gas sectors of the Nigerian economy on Thursday shunned the investigative hearing of the ad hoc committee set up by the House of Representatives to investigate the Implementation and Oversight of the Naira-for-Crude oil policy.

    The stakeholders which included government ministries department and agencies also failed to submit relevant documents needed by the committee to carry out it’s assignment, forcing the committee to warn that it may be forced to issue a warrant of arrest against the agencies. 

    Chairman of the committee, Hon. Boniface Emerengwa gave the stakeholders a 7-day ultimatum to furnish it with all requested documents which must be submitted on or before the 27th November 2025 or face parliamentary sanctions.

    He however did not mention the names of the MDAs and major stakeholders invited that failed to attend or provide the needed documents. 

    Emerengwa said expressed concern that all the agencies invites for the investigation failed to show up and refused to submit relevant documents requested by the committee.

    He said “the investigative hearing scheduled for today, 20th November 2025, has been adjourned due to the gross negligence and lack of seriousness displayed by relevant stakeholders.

     “Despite ample notice, the majority of stakeholders failed to recognize the role of the legislative arm in working with the Executive for the effective implementation of the Policy, by their failure to submit their required documents within the stipulated timeframe. 

    READ ALSO; Senate seeks fresh solutions to rising insecurity

    “This dereliction of duty has not only undermined the integrity of the committee’s work but has also cast a shadow of unseriousness over a matter of national importance. 

    “The committee views this conduct as a blatant disregard for the legislative process and a disrespect to the Nigerian people whose interests we are mandated to protect. Let it be unequivocally stated: the committee is deeply disappointed”

    “The failure to submit documents on time has impeded our ability to conduct proper vetting and due diligence, thereby frustrating the investigative process. This committee was constituted to ensure transparency, accountability, and effective oversight of the Naira-for-Crude Oil Policy, a policy with far-reaching implications for our economy and national development. 

    “Any attempt to frustrate this process will be met with firm legislative consequences. In the spirit of magnanimity and in recognition of the gravity of this investigation, the committee has resolved to extend the deadline for document submission to 27th November 2025. 

    “This extension is a final opportunity for stakeholders to demonstrate their commitment to transparency and cooperation. Furthermore, the investigative hearing has been rescheduled to 2nd December 2025, 12:00 AM, Conference Room 440. This date is final and non-negotiable.

    “Let it be known to all stakeholders that failure to comply with this extended deadline will attract severe sanctions. The committee will not hesitate to invoke its full legislative powers, including but not limited to: Issuance of summons and subpoenas, public naming and shaming of non-compliant entities, recommendation of sanctions to relevant regulatory and executive bodies

    and escalation to plenary for further disciplinary action

    “This committee will not be made to appear unserious or ineffective due to the indifference of stakeholders. We are determined to carry out our mandate with diligence, and we expect full cooperation from all parties involved.

    “Stakeholders are hereby advised to treat this matter with the seriousness it deserves. The Naira-for-Crude Oil Policy is not a peripheral issue it is central to our economic sovereignty and fiscal accountability. The Nigerian people are watching, and history will judge our actions.

    “We urge all stakeholders to submit their documents by the new deadline and prepare to appear before the committee on the rescheduled hearing date. The time for excuses is over. The time for accountability is now.”

  • Naira-for-crude oil policy remains in force, says Adedeji

    Naira-for-crude oil policy remains in force, says Adedeji

    • NNPCL has supplied Dangote refinery 48 million barrels

    Chairman, Technical Sub-Committee on Domestic Sales of Crude Oil and Refined Products in Naira, Zacch Adedeji, yesterday clarified that the Naira-for-crude oil policy arrangement with local refineries has not been discontinued.

    Adedeji, who is also the Executive Chairman, Federal Inland Revenue Service (FIRS), in a statement yesterday, said that after implementing the policy for some months, evidence abounds that it is the right way to go and it will continue to help the economy.

    Reports in social media had suggested that the Nigerian National Petroleum Company (NNPC) Limited, would opt out of the six months contract deal at the end of March, 2025. NNPCL said it has made over 48 million barrels of crude oil available to Dangote Refinery since October 2024 when the Naira- for- Crude contract deal was sealed between the two companies.

    Adedeji, in a statement obtained  by The Nation, said that such reports “do not reflect the realities of the ongoing work under the Federal Executive Council Initiative on Domestic Sales of Crude Oil and Refined Products in Naira.”

    “Our attention has been drawn to reports suggesting that the naira-based crude oil supply arrangement with local refineries has been discontinued, forcing them to rely solely on international crude purchases. These reports do not reflect the realities of the ongoing work under the Federal Executive Council Initiative on Domestic Sales of Crude Oil and Refined Products in Naira,” a statement signed by Adedeji read.

    Read Also; NNPCL supplied 48mb to Dangote in naira for six months

    Adedeji, while providing an update on the initiative, confirmed that the naira-based domestic sales framework remains in place.

    “The policy framework enabling the sale of crude oil in naira for domestic refining remains in force. The initiative was designed to ensure supply stability and optimise the utilisation of local refining capacity.”

    There has been no decision at the policy level to discontinue this approach nor is it being considered. After implementing the policy for some months, evidence abounds that it is the right way to go and it will continue to help the economy,” he clarified.

    He also assured that local refineries have not been excluded from domestic crude supply, and as such, the engagement process for crude oil supply to domestic refineries therefore remains in place by structured agreements, balancing factors such as availability, demand, and market conditions.

    “There is no exclusion of local refineries from access to domestic crude. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is actively ensuring compliance with the Domestic Crude Oil Obligations provisions of the Petroleum Industry Act,” the statement further said.

    Other reason why the policy remains as explained by Adedeji include that: the initiative supports competitive pricing and market efficiency, as the framework for domestic crude transactions is designed to promote a competitive and efficient pricing environment.

    Adedeji therefore assured that the committee remains committed to ensuring the efficient execution of the initiative in line with its core objectives – enhancing local refining, reducing foreign exchange exposure, and stabilising the domestic fuel supply.

    Also, in another statement made available to The Nation and signed by the NNPCL Chief Corporate Communications Officer, Olufemi Soneye, the firm explained that the initial contractual agreement with Dangote Refinery was for an initial six months period which would terminate by March ending.

    The clarification, the statement said, became imperative to prevent erroneous impression in the public space.

    “NNPC Limited has noted recent reports circulating on social media regarding the alleged unilateral termination of the crude oil sales agreement in Naira between NNPC and Dangote Refinery.

    “To clarify, the contract for the sale of crude oil in Naira was structured as a six-month agreement, subject to availability, and expires at the end of March 2025. Discussions are currently ongoing towards emplacing a new contract.

    “Under this arrangement, NNPC has made over 48 million barrels of crude oil available to Dangote Refinery since October 2024. In aggregate, NNPC has made over 84 million barrels of crude oil available to the Refinery since its commencement of operations in 2023,” the statement sir.

    Soneye, in the statement, assured that the firm remains committed to supplying crude oil for local refining based on mutually agreed terms and conditions.

    Under the arrangement, the NNPCL is to off-take 25 million litres of petrol from the refinery daily.

    A source close to the industry had earlier yesterday said the NNPC will not renew the Naira-for-crude oil deal.