The House of Representatives has called on the Federal Government to establish a strategic framework for integrating indigenous refiners into Nigeria’s petroleum production value chain.
This resolution follows a motion led by Deputy Minority Whip, Hon. George Ozodinobi, highlighting the need for reform in the oil and gas sector to incorporate local refiners, particularly in the Niger Delta region.
Ozodinobi stressed that Nigeria’s neglect of local artisanal refiners has resulted in lost revenue, lives, and livelihoods, according to Independent.
He noted that artisanal refining has been prevalent in the Niger Delta for decades, yet remains largely unregulated.
The lawmaker criticized the stigmatization of local refiners and the Nigerian Navy’s destructive methods of dismantling artisanal refineries.
He argued that these actions exacerbate ecological damage and disrupt energy supplies to local communities.
Nigeria’s reliance on imported refined products, despite being rich in crude oil, highlights the need for reform. The ongoing fuel crisis and controversy surrounding the Dangote Refinery further emphasize this point.
In response to Ozodinobi’s appeal, the House voted unanimously in favour of the motion. Deputy Speaker Benjamin Kalu directed the Nigerian Upstream Petroleum Regulatory Commission to devise a regulatory framework for integrating artisanal refiners.
The House Committees on Petroleum Resources and Local Content will ensure compliance and report back within four weeks.
This move aims to address the long-standing neglect of local artisanal refiners and promote indigenous technology development.
The House’s resolution seeks to harness Nigeria’s petroleum resources for prosperity, aligning with the country’s constitutional mandate.
“Artisanal refining has been prevalent in the Niger Delta for decades, yet the sector remains largely unregulated,” Ozodinobi noted.
“In 2016, the Federal Government proposed integrating artisanal refiners into mainstream oil operations to enhance local content and support the growth of home-grown technology. However, this initiative is yet to materialize.”
Mr. Ozodinobi also decried the stigmatization of local refiners as “oil thieves,” condemning the Nigerian Navy’s practice of dismantling artisanal refineries as environmentally harmful. “Destroying these refineries in an unprofessional manner only exacerbates the ecological damage already inflicted on the communities,” he said, emphasizing that these actions disrupt energy supplies to local communities that depend on these refineries.
