The House of Representatives Committee on Petroleum Resources (Downstream) has described the Dangote Refinery and other modular refineries across the country as assets of strategic national importance, calling for stronger protection and policy support to sustain their operations.
Chairman of the Committee, Hon. Ikenga Imo Ugochinyere, made the declaration in Abuja, emphasising the need for all stakeholders in the oil and gas sector to work collectively in safeguarding and promoting the nation’s refining capacity.
According to him, the commencement and expansion of locally owned refineries represent a turning point in Nigeria’s energy landscape.
“With the operations of these home-based plants, the country now proudly boasts of expanding refining capacity and industrial growth across the energy value chain,” he said.
Ugochinyere highlighted the Dangote Refinery’s 650,000 barrels per day capacity as a major development for regional energy stability, while noting the contributions of other domestic players such as Waltersmith, OPAC, and Indorama.
“Indorama Petrochemicals has expanded its urea and fertiliser production to 2.8 million metric tonnes per annum, advancing agriculture and gas utilisation,” he said. “Waltersmith Modular Refinery in Imo State is expanding from 5,000 to 50,000 barrels per day, while OPAC Refinery in Delta and similar projects in Edo and Rivers continue to progress.”
He added that over $13 billion in new upstream investments recorded in 2024 signalled renewed investor confidence in Nigeria’s oil and gas industry.
Describing the refineries as “assets of strategic national interest,”
Ugochinyere said it was imperative to “protect, project, and promote these plants and encourage others to spring up in the interest of the country.”
The lawmaker also commended the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) for enforcing the Domestic Crude Oil Supply Obligation (DCSO), which prioritises crude oil allocation to local refineries before exports.
“This bold move ensures that local refineries, including modular and conventional operators, have guaranteed access to crude feedstock before export allocations are made,” he stated. “It represents a decisive shift from policy rhetoric to practical support for local value addition, job creation, and energy independence.”
He said the Committee would support legislative measures to grant local refineries the first right of refusal on crude allocations and streamline regulatory processes that delay refinery operations.
“To address challenges such as feedstock shortages and pricing uncertainties, we plan to develop a Refinery Protection and Promotion Bill to classify refineries as strategic national assets, ensuring they receive priority protection and support,” he said.
On labour matters, Ugochinyere noted concerns raised by industry unions over issues involving the Dangote Refinery, urging dialogue instead of disruption.
“While such issues are not uncommon in developing economies, they must never be allowed to undermine productivity or national stability. The House Committee stands ready to facilitate peace, fairness, and mutual respect in all industrial engagements,” he said.
“Our shared goal must be to protect jobs, sustain businesses, and promote Nigeria’s economic sovereignty. To all operators in the downstream sector, let me emphasise that responsibility stands equal to profitability,” Ugochinyere added.
