Fuel Importation To End By 2024 - FG

The federal government says it will stop the importation of petroleum products by the first quarter of 2024.

The Minister of State for Petroleum Resources Timipre Sylva said this at the resumption of the ”PMB Administration Scorecard Series (2015-2023)” organised by the Ministry of Information and Culture, on Monday.

The series is designed to showcase the achievements of Buhari’s administration since he came into power in 2015.

Sylva said by the first quarter of 2023, the 60,000 barrels per day (BPD) Port Harcourt refinery would be partly rehabilitated, and ready for production.

The Minister added that the Dangote Refinery, the largest single-train refinery in the world with an investment of over 25 billion US dollars would also be on stream before the end of 2023 in addition to several modular refineries projects in the country.

He, therefore, assured that with the combined production of the Port-Harcourt refinery, Dangote refinery and modular refineries, Nigeria would end the importation of petroleum products into the country.

“Our promise has been that the 60,000 BPD plant within the Port Harcourt refinery by the end of Q4 2022, it is being completed and is going to be started by Q1 2023 as promised,” he said.

Sylva disclosed that the federal government had intentionally acquired a 20 per cent stake in the Dangote refinery to ensure a local supply of production from private refineries.

“We have taken 20 per cent equity in Dangote Refinery. We have also taken 20 per cent equity in the Azike refinery. In Walter Smith refinery, we took 30 per cent and in Duport, we’ve taken more than 20 per cent.

"Duport refinery has already concluded construction and it only remains to start operations. I’m sure within the next month, they would start operations,” he said.

“We are hoping Dangote refinery comes on stream this year and once our own rehabilitated refineries start to work, we will be able to get the country wet (with petroleum products).”

Sylva added that the government is currently addressing the crude access challenges faced by modular refineries.

Also speaking on the issue of under-recovery payments, the minister reiterated the federal government’s position that the subsidy system was no longer sustainable.

According to Sylva, the huge amount of money spent on subsidies could be used for other development projects that would have a positive impact on many Nigerians.

He added that the removal of subsidy would increase investment in the oil sector, as many private investors would be willing to invest in building refineries.