*The Federal Executive Council directs NNPC Limited to sell crude oil to Dangote Petroleum Refinery, and other local refineries in Naira and not in United States Dollars, as part of measures to reduce the strain on the West African country鈥檚 foreign spending/reserves, and stabilise the pump price of petrol, diesel, and other products for energy consumers

Isola Moses | 绿帽献妻

Sequel to a recent complaint by some stakeholders in the oil-refining business, the Federal Executive Council (FEC) has directed the Nigerian National Petroleum Company (NNPC) Limited to sell crude oil to Dangote Petroleum Refinery and other local refineries in Naira and not in United States Dollars.

绿帽献妻 reports Mr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service (FIRS) disclosed this development Monday, July 29, 2024, after a FEC meeting chaired by President Bola Ahmed Tinubu, Council Chambers, in Abuja, FCT.

Adedeji noted that the measure would reduce the strain on the country鈥檚 foreign spending while stabilising the pump price of petrol, diesel, and other products for Nigerian consumers.

It is recalled the Dangote Refinery began the supply of diesel and aviation fuel to marketers in the country second quarter (Q2) 2024, while petrol supply is expected to commence August this year amid regulatory resistance.

The FIRS Chief also said the Council directed that the state-owned NNPCL immediately begin the full implementation of the directive to boost local production of refined petroleum products locally.

The Tinubu administration ordered that the sale of refined products from the $20 billion, 650,000 barrels per day (bpd) Dangote Petroleum Refinery to oil marketers and distributors be denominated in Naira, and not in US Dollars.

Observers have said the Federal Government鈥檚 latest may not be unconnected with the recent hot altercations between Aliko Dangote, President/CE of Dangote Group, NMDPRA and NNPC Limited over the alleged 鈥榞ang-up鈥� with certain International Oil Companies (IoCs) of frustrating crude supply to his oil-refining facility located at Ibeju-Lekki, LFTZ, in Lagos State.

Regulatory authorities, including Farouk Ahmed, Chief Executive Officer (CEO) of NMDPRA, had questioned the quality of petroleum products produced at the Dangote Refinery while speaking with the State House Correspondents, in Abuja.

However, Dangote insisted that the quality of products at his refinery surpassed the ones imported by oil importers and fuel marketers in Nigeria.