The House of Representatives Committee on Petroleum Resources (Downstream), on Wednesday, said it would commence an investigation into the Nigerian National Petroleum Company Limited’s (NNPC) alleged plans to sell some of the nation’s refineries.
This followed recent comments by the company’s Group Chief Executive Officer, Bayo Ojulari.
Ojulari, while speaking with Bloomberg at the 9th OPEC International Seminar in Vienna, Austria, revealed that NNPC is conducting a strategic review of its refinery operations, which may include selling the facilities.
Addressing a press conference at the National Assembly complex, Chairman of the Committee, Ikenga Ugochinyere, stated that it is disturbing that, despite the hype surrounding the return of the Port Harcourt and Warri refineries to production status, they had to shut down again.
He noted that the investigation would help establish the causes of the refineries’ failures before any decision regarding their sale or privatisation is made.
The lawmaker stated that the committee has received several petitions on issues affecting the petroleum sector, adding that the committee will find a permanent solution to the issue, especially when it involves providing stock for modular and other local refineries.
According to him, the panel has received several petitions from refinery owners, oil marketers, and retailers regarding the bottleneck they face, adding that they complain about their substantial investments, which could be affected by certain policies, especially the allegation of Dangote Refinery’s planned takeover of Petroleum Products transportation and retailing.
According to him, stakeholders have complained that their investments in the country will be adversely affected if the policy continues, arguing that oil retailers have also voiced concerns about the potential takeover of their businesses, which has caused tension across the nation.
Ugochinyere said the committee would reopen investigation into the acquisition of OVH and the complaints from NNPC Retail Staff.
He said this follows the rejection of the report from an earlier investigation into the matter, stating that the committee had been ordered to reopen the matter.
He said the House would consider amendments to the Petroleum Industry Act (PIA) to address emerging issues not currently covered by the law.
According to the lawmaker, the committee would compile all proposed areas of amendment for the House’s approval, to strengthen the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the downstream petroleum sector.
He further revealed that the committee had resolved to dismiss a petition seeking the dissolution of the NMDPRA, stressing that the PIA vests the power of appointment in the President.
“We are not out to protect anybody. If anybody is found to have been engaged in corrupt activities, the law should be allowed to take its course,” he said.
He said the House Committee will also investigate the issue of incorporating Artisanal Miners into the petroleum refining value chain, following complaints that the experience of such persons will be eroded if they are excluded.
Another investigation by the committee, he said, is the alleged abandonment of the Biomas Ethane project, as well as allegations and counter-allegation over the continued importation of fuel and protection of local refiners legislative solutions.
He also announced that the House intends to hold the inaugural edition of the annual Downstream Petroleum Week event, beginning on October 2, 2025.
