The Nigerian government has confirmed that the naira-for-crude sale contract with Dangote Refinery and other local refineries, mediated by the Nigerian National Petroleum Company Limited (NNPCL), is functional.
The Technical Sub-Committee on the Crude and Refined Product Sales in Naira Initiative delivered this information in a statement on Wednesday after meeting with stakeholders on Tuesday.
The committee clarified that the naira-for-crude deal is not a temporary or time-bound intervention but a key policy directive designed to support sustainable local refining, bolster energy security and reduce reliance on foreign exchange in the domestic petroleum market.
Thus, it reiterated that “the initiative is still in place and will stay in place as long as it serves national economic goals and is in line with the public interest.”
To discuss ongoing implementation issues and assess progress, the Technical Sub-Committee on the Crude and Refined Product Sales in Naira Initiative held an update meeting on Tuesday.
Parts of the statement issued on the Federal Ministry of Finance’s X account on Wednesday stated, “The stakeholders reaffirmed the government’s continued commitment to the full implementation of this strategic initiative, as directed by the Federal Executive Council (FEC).
“Thus, the Crude and Refined Product Sales in Naira initiative is not a temporary or time-bound intervention but a key policy directive designed to support sustainable local refining, bolster energy security, and reduce reliance on foreign exchange in the domestic petroleum market.”
The committee added that the challenges encountered in the implementation of the naira-for-crude deal are being addressed through coordinated efforts.
“As with any major policy shift, the Committee acknowledges that implementation challenges may arise from time to time.
“However, such issues are being actively addressed through coordinated efforts among all parties,” the statement said.
The meeting was attended by the Chairman of the Implementation Committee, Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun; the Chairman of the Technical Sub-Committee and Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr. Zacch Adedeji; the Chief Financial Officer of NNPC Limited, Mr. Dapo Segun; the Coordinator of NNPC Refineries; Management of NNPC Trading as well as representatives of Dangote Petroleum Refinery and Petrochemicals.
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Senior officials from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the Central Bank of Nigeria (CBN), the Nigerian Ports Authority (NPA), representative of Afreximbank, as well as the Secretary of the Committee, Hauwa Ibrahim, were equally in attendance.
Recall that on March 19, Dangote Refinery suspended the sale of its petroleum products in naira due to a stalemate in the naira-for-crude deal.
The development thereafter led to an increase in petrol prices in the last week.
