Utweets
This significant development marks a pivotal shift in the nation’s petroleum distribution landscape, effectively ending NNPC’s monopoly as the sole off-taker of Dangote’s refined fuel. In a statement released on Friday, the Minister of Finance and Chairman of the Naira-crude sale implementation committee, Wale Edun, provided insights into the decision, highlighting its implications for the industry. ...READ THE FULL STORY FROM SOURCE ...READ THE FULL STORY FROM SOURCE
The announcement comes in the wake of increasing speculation regarding NNPC’s changing role in the procurement of petroleum products.
During a review meeting held on October 10, the Implementation Committee, chaired by Edun, assessed the progress of the initiative aimed at facilitating crude oil and refined product sales in naira.
As a result of this new policy, petroleum marketers are expected to engage directly with the Dangote refinery for their fuel needs, a move that could lead to more competitive pricing and improved supply chain dynamics.
He said, “The committee is pleased to report a successful transition of operations in line with the directive issued by the Federal Executive Council. This directive has established a robust framework for local production and distribution of crude oil and refined products for local consumption in naira.
“With this mechanism now in full operation, along with the commencement of local production, we are well-positioned to transition to a fully deregulated market for all petroleum products.
“Moving forward, petroleum product marketers are now able to purchase PMS directly from local refineries without the intermediary role of NNPC. Marketers are encouraged to initiate direct purchases from refineries on mutually negotiated commercial terms, which will promote competition and improve market efficiency.” Edun noted that the government remained confident that, in the long term, these measures will create better market conditions for the benefit of all Nigerians.…For More READ THE FULL STORY ▶▶
