NOGASA President, Mr. Korie, addresses concerns over Dangote’s direct fuel supply model at a press briefing in Abuja.
The House of Representatives has launched an investigation into why decades of costly Turn Around Maintenance (TAM) on state-owned refineries have failed to deliver results, amid growing concerns over refinery shutdowns and crude supply challenges for local operators.
The Chairman of the House Committee on Petroleum Resources (Downstream), Ikenga Ugochinyere, announced the probe at a press briefing in Abuja, saying lawmakers are determined to uncover why the Port Harcourt and Warri refineries remain non-functional despite recent rehabilitation efforts by a reputable contractor.
“It is disturbing that after the hype surrounding the return of the refineries to production, they have shut down again,” Ugochinyere said.
He noted that the committee will also investigate bottlenecks that force modular and local refiners to travel as far as Switzerland to negotiate crude supply, even though the crude is sourced domestically.
Ugochinyere revealed that stakeholders including refinery owners, marketers, and retailers have petitioned the House, warning that their investments are threatened by current policies and allegations of monopoly in fuel transportation and retailing by the Dangote Refinery.
The committee will also reopen investigations into the acquisition of OVH Energy by NNPC Retail, after rejecting an earlier report on the matter, and examine possible amendments to the Petroleum Industry Act (PIA) to address emerging issues.
Other inquiries include the alleged abandonment of the Biomass Ethane Project, continued fuel importation, and integration of artisanal refiners into the petroleum value chain.
Ugochinyere assured that the House would not allow monopolies in the downstream sector, adding that the goal is to ensure transparency, strengthen regulations, and make the sector more viable.
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