Energy
FG, Independent Marketers, Labour At Daggers Drawn Over Fuel Price
Palpable fear of mass tumult against the Nigerian Government owing to harsh economic realities might have forced the hand of the authorities in making public statements that there would be no further increase in the pump price of Premium Motor Spirit, popularly called petrol.
But this has not gone down well with the independent marketers, who insist that given the current market realties, there would be costs that the government has to take up or would be passed to the people.
In plain language, the marketers are insisting that either subsidy is reinstated or market forces would continue to determine the prices of products.
Biztellers served you a report that the Nigerian National Petroleum Company Limited (NNPCL) made it clear that it was not considering an upward adjustment in the pump price of petrol.
The state oil company, took its verified X (initially Twitter) handle, @nnpclimited late Monday to make the assertion.
The tweet, seen in several quarters as a move to douse tensions, was addressed to customers.
It reads, “Dear esteemed customers, we at NNPC Retail value your patronage, and we do not have the intention to increase our PMS pump prices as widely speculated.
“Please buy the best quality products at the most affordable prices at our NNPC Retail Stations nationwide.”
Being sensitive to the fact that he had been sitting on a keg of gunpowder, President Bola Ahmed Tinubu followed up on the tweet by NNPCL with his own tweet, assuring that there would be no hike in the pump prices.
On Tuesday, President Tinubu in an attempt at reassuring the populace, declared that there would not increase in the pump price of petrol.
President Tinubu at his verified official X handle, @NGRPresident tweeted, “Mr President and the industry stakeholders who have been widely consulted and convinced, based on information before them, that we can maintain current pricing without reversing our deregulation policy by swiftly cleaning up existing inefficiencies within the midstream and downstream Petroleum sector.
“This is why there is no increase in prices at this time”.
The statement, which was per say, issued under the seal of President Tinubu under the subject, “On the Purported Pending Increase in Fuel Prices” was signed by Official Spokesperson to President Bola Ahmed Tinubu, Ajuri Ngelale.
Many informed Nigerians have been reacting to the posturing from government quarters – the NNPCL and the Presidency, in a way that has made it begin to sound like a grandstanding by the authorities.
For instance, the statement from President Tinubu had spoken about consulting and convincing stakeholders with available information.
It also pointed to ‘cleanup’ of certain areas of the midstream and downstream sector without letting the world know what was required, who would be responsible and how long it would take.
The first salvo against the attempt to pool the wool over the people’s eyes was from fiery Nigerian journalist, Rufai Oseni, who asked for details of what it cost to get petrol to the pump for dispensing to consumers.
He took to his verified X handle, @ruffydfire to call attention to the fact that information being bandied in the public might have been inadequate.
He tweeted, “Dear NNPC, kindly let us know how you calculate petrol prices in Nigeria, stating inspection cost, Landing from Amsterdam or Rotterdam to Togo or to Nigeria, then state other cost components that make up the final price, factor in fx fluctuations.
“Thank you”.
Another sensitive aspect is that those in power want the world to believe that the market has been deregulated and will remain so but the reality on ground speaks differently.
Fuel queues are already beginning to show in certain parts of Nigeria, including Lagos and Abuja, while price hike is manifest with independent marketers having adjusted pump prices in different locations in tune with realities.
The base pump price of petrol has shifted from N612/litre to N670/litre. It was gathered that that the minimum price applied to NNPCL Retail outlets and some other filling stations, while others determined what prices to sell at.
Expectations are rife that this adjustment would see petrol being sold at above N800/litre at filling stations across Nigeria in locations outside Lagos and Abuja.
It had been hovering around N750/lite in those locations before this recent impact of foreign exchange and Brent price at the global market.
As that is playing out, Ngelale shared a graphic presentation of pump prices of petrol across West Africa, depicting Nigeria as the lowest.
Interestingly the second and more important salvo had come from the stakeholders that President Tinubu’s statement claimed were consulted and convinced.
The Independent Oil Marketers have taken the position that only a return to the subsidy regime would see the current price maintained.
Secretary, Independent Petroleum Marketers Association of Nigeria, Abuja-Suleja, Mohammed Shuaibu, on Tuesday, opined that government should reconsider reversing itself because the subsidy removal has come with adverse economic impact.
He said, “Let them not do the needful. (Else, there) will see the consequences. We learned this morning that Kenya, which equally removed subsidy and noticed that its effect was so hard on the citizens, has again resumed the subsidy regime for the period of two months,”
He added, “Government is about the people and must have a listening ear. For Nigeria, how can we be an oil producing nation with four refineries and all of them are down?
“When he (President Tinubu) announced it (subsidy removal), we said it was going to bring problems. Are we not feeling the consequences of that announcement now? It is forex that largely determines the cost of petroleum products here.
“Marketers are not willing to import products again. So, if the government is going to relax the removal of subsidy for a while, it should better do that as a matter of urgency.”
While the government quarters and the relevant stakeholders are engaged in what now appears to be mind games and structured perception management messaging, Oseni on Tuesday shared what he considered the presenting landing cost of petrol in Nigeria.
He tweeted, “A breakdown of the landing cost of petrol showed that while product cost, as of yesterday (Monday August 14, 2023), was N627.82 per litre, finance cost was N11.61, and operations/administrative cost, N12.32, bringing the total landing cost to N651.75 per litre”.
As things stand, it appears that the reality confronting Nigerians is sterner economic hardship which would follow additional increases in the pump prices of petrol.
Alternatively, the government would have to swallow her pride and go back to subsidy.
Analysts are of the opinion that all outlets serving petrol below the calculated landing cost must have an avenue to recoup the outlay, which signals the obituary of the subsidy removal policy of the President Tinubu administration.
Given that organised labour, through the Nigerian Labour Congress (NLC) had placed relevant stakeholders on notice of immediate industrial action any time pump price of petrol is increased, it portends that a lot of wisdom would be required to avert crises in the present circumstances.
Energy
Gas Industry Must Commercialise Methane – NLNG
Gas producers must stop treating methane reduction as an environmental cost, because methane released into the atmosphere represents lost gas, lost revenue and lost energy that could otherwise be recovered and sold.
The Managing Director and Chief Executive Officer of Nigeria LNG Limited (NLNG) Adeleye Falade, made the declaration during a panel titled “Capturing the Lost Opportunity: Driving Global Alignment on Methane Abatement Across Natural Gas Supply Chains,” at the Gastech 2026 Exhibition and Conference in Bangkok, Thailand.
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Taking from the company’s experience, he highlighted that investments in methane abatement could pay for themselves while improving plant efficiency and asset reliability.
The NLNG CEO said the commercial value of recovering lost gas should become a central part of the global industry’s approach to methane management.
“Every tonne emitted is lost product, lost revenue and lost energy; gas we could have sold. Every molecule of methane avoided is both an emissions reduction and a recovered energy resource.”
According to him, the NLNG’s new boil-off gas compressor and start-up gas recovery project demonstrate the business case for methane reduction, with each project expected to deliver methane reductions of about 10–15 percent while also recording positive projected net present values. “The most compelling business case is the simplest one: the projects that cut our methane also pay for themselves.
“The same discipline that reduces methane also improves asset reliability and plant efficiency. The returns show up in more places than the emissions ledger,” Falade said.
He added that the starting point for methane abatement was credible measurement of gas losses, which enables companies to identify where methane is being lost, channel investment towards the right interventions and independently verify the results.
According to Falade, the NLNG had demonstrated that producers in developing economies could meet globally recognised standards for emissions measurement and reporting, despite infrastructure and other constraints.
He disclosed that the NLNG had achieved Gold Standard recognition under the Oil and Gas Methane Partnership (OGMP) 2.0 and became the first company in Africa to attain Level 5 methane emissions reporting.
Its measurement, reporting and verification system is independently assured by DNV in line with ISO 14064.
The NLNG’s methane-management programme includes site-wide optical gas imaging, a structured Leak Detection and Repair programme, as well as phased deployment of continuous monitoring and real-time emissions dashboards across its plant and vessels.
Falade said methane reduction was also being incorporated into the design of Train 7, which is expected to raise the NLNG’s LNG production capacity from 22 million tonnes per annum to 30 million tonnes.
The commercial case for emissions abatement was not new to Nigeria, he added, pointing to the NLNG’s longstanding role in converting gas that would otherwise have been flared into a marketable product.
According to him, the company’s activities have contributed to reducing Nigeria’s gas-flaring rate from above 65 percent to below 20 percent.
Beyond its own operations, Falade revealed that the NLNG was extending methane-management requirements across its supply chain through its Scope 3 Advocacy Plan.
The company engages feed-gas suppliers and contractors to measure, disclose and reduce emissions, while verified upstream emissions data and emissions-related criteria are incorporated into supplier selection and evaluation.
Falade also called for greater consistency in methane measurement and reporting requirements across jurisdictions, arguing that divergent standards make enforcement uneven and complicate meaningful comparisons between producers.
“The industry does not need weaker standards; it needs stronger, shared ones backed by real measurement,” he said.
On the tension between emissions reduction, energy access and affordability, Falade said developing economies should not be forced to choose between economic development and climate action.
“Developing economies cannot be asked to choose between economic development and emissions reduction. Both must progress together,” he said.
Other panellists were Zubin Bamji of the World Bank, Niels Dijksman of Brunei LNG and Hiroyuki Mori of JOGMEC.
The session was moderated by energy economist Dr Carole Nakhle of Crystol Energy.
Energy
NLNG’s $10 Billion Train 7 LNG Project to Begin Operations by 2027
Expectations are high that the $10 billion Train 7 project of the Nigeria Liquefied Natural Gas Limited (NLNG) would go into operation by the end of 2027.
Managing Director of NLNG, Adeleye Falade, made the disclosure on the side-lines of the Gastech conference, yesterday, in Bangkok, Reuters reported.
This is part of a grand strategy by the company to raise production and address persistent gas supply constraints.
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Train 7 project, located on Bonny Island, Rivers State, is expected to increase NLNG’s production capacity to 30 million metric tonnes per annum (mtpa), from the current 22 mtpa.
The project has suffered repeated delays, including disruptions associated with the COVID-19 pandemic and the Russia-Ukraine war.
Falade also disclosed that NLNG remained under a force majeure declared in 2022 following widespread flooding that disrupted gas supplies to the company.
According to him, the company would lift the force majeure when it reaches a 90 per cent utilisation rate, with the plant currently operating at between 82 per cent and 83 per cent.
“We still have a delta of about 15 per cent that we need to close,” Falade said. “Operationally, we are able to do that, but our biggest constraint is gas supply, and we’re working with all the relevant people, including the government, to be able to get more gas to flow into the plant,” he added.
He said NLNG was focused on meeting its existing contractual obligations to buyers while the company worked to increase production.
Falade added that interest in additional LNG volumes and spot cargoes had increased after exports through the Strait of Hormuz were curtailed by the Iran war.
“People are looking at more diversified, reliable sources of supply,” he said.
“Our priority currently is to continue to make sure that we fulfil our obligations to our existing customers and maximize as much production opportunity as possible that we have,” he added.
The NLNG is majority-owned by the Nigerian National Petroleum Company Limited (NNPC Ltd), while Shell, TotalEnergies and Eni are its international partners.
Energy
Smart Filling Stations: NNPC Ltd Assuages Job-loss Worries
Public concerns that the introduction of smart and self-service filling stations would lead to job losses in the downstream petroleum sector have been dismissed by the Nigerian National Petroleum Company Limited (NNPC Ltd).
According to the state oil major, the deployment of automated stations was part of efforts to improve efficiency and customer experience. It added that the technology would create new opportunities rather than simply eliminate existing jobs.
The NNPC Ltd also disclosed plans to transform about 900 of its existing retail outlets across the country into modern energy hubs, as it adapts its retail business to changing consumer needs and developments in the downstream sector.
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The disclosures were made in Abuja, during the commissioning of a 24-hour smart, self-service filling station at the headquarters of the Nigeria Immigration Service (NIS).
The Executive Director, Retail Operations and Mobility, NNPC Retail Limited, Shettima Kukawa, said the new model was designed to provide customers with faster, more convenient and technology-driven services.
Kukawa added that the transformation of the company’s retail outlets was not about simply replacing workers with machines, but about creating a modern retail environment capable of providing more services to customers.
He explained that the smart station allows motorists to purchase fuel through the NNPC fuel app, fund their digital wallets and dispense the exact quantity of fuel they have paid for using a self-service code.
The station has a storage capacity of 180,000 litres of Premium Motor Spirit (PMS) and 45,000 litres of Automotive Gas Oil (AGO), with 16 PMS pumps and two AGO pumps.
It also has a six-point electric vehicle (EV) charging facility and is primarily powered by a solar system with more than 200kWh capacity.
Managing Director, NNPC Retail Limited, Hubb Stokman, said the downstream industry was undergoing significant changes following fuel deregulation and the commencement of operations at the Dangote Refinery.
Stokman said consumers were also demanding more services at filling stations, pointing out that the traditional fuel-only model was no longer sufficient to meet their expectations.
“Today shows that the downstream industry is changing after the fuel deregulation and also the start-up of the Dangote Refinery. Our industry is rapidly changing, and I think that more than ever, we need to meet the needs of the Nigerian consumer and their wishes.
“They want to see more services, like a fast food restaurant, convenience shop, maybe a coffee shop, banks. They would like to have a lounge or car wash. All these things that you will see here,” he said.
Also speaking, the Executive Vice President, Downstream, NNPC Limited, Dr Mumuni Dagazau, said the company was moving beyond the traditional concept of a filling station by integrating technology and alternative energy solutions into its retail network.
He said the development represented the type of modern retail infrastructure that should be replicated across the country, stressing that Nigerians deserved improved quality and service.
“Our objective at NNPC is not simply to provide fuel, it is to provide reliable energy solutions and a better retail experience supported by technology and innovation.
“We deserve these sort of stations throughout this country. We need to move away from where we have been and deliver this sort of quality and the service to our people in the community,” Dagazau said.
On his part, the Comptroller-General of Nigeria Immigration Service, Kemi Nandap, commended NNPC Limited for integrating EV charging with conventional fuelling.
Represented by Saidu Daura, the Deputy Comptroller-General, Nandap said the development aligned with global trends in energy transition, climate action and smart mobility, describing it as a practical step towards a cleaner, more sustainable and technology-driven economy.
She said the shift to technologies such as electric mobility could create opportunities for investment, employment, skills transfer and industrial growth.
“Today’s commissioning goes beyond the opening of a service station. It is a statement of confidence in Nigeria’s future and a contribution to building a resilient, green, and technologically advanced nation,” she said.
Nandap called for stronger collaboration between government institutions, the private sector and other stakeholders to promote sustainable development and national progress.
The station operates round-the-clock and includes automated services designed to reduce waiting time and give motorists greater control over their transactions.






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