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Presidency Claims Credit for Steady Fuel Supply in Nigeria

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The Presidency has claimed that President Bola Ahmed Tinubu’s naira-for-crude initiative has shielded Nigeria from the severe fuel scarcity afflicting major economies worldwide amid the ongoing Iran-Israel-US conflict in the Middle East.

The Senior Special Assistant to the President on Media and Publicity, Temitope Ajayi, on Wednesday, asserted that the policy, approved in July 2024 and launched on October 1, 2024, has ensured uninterrupted petroleum product supply in Nigeria while countries across Europe, Asia, and Africa experience acute shortages and long fuel queues.

In an article titled ‘Middle-East Crisis: How Tinubu’s Policy of Naira-for-Crude Guarantees Supply Security in Nigeria,’ released by the State House on Wednesday, Ajayi said the six-week-old conflict, worsened by Iran’s closure of the Strait of Hormuz, has triggered global economic chaos.

The Strait of Hormuz, a critical maritime corridor between the Persian Gulf and the Gulf of Oman, accounts for over 20 per cent of global oil and gas flows.

“While the cost of PMS and other petroleum products has also gone up in Nigeria, as in other countries, the global energy crisis has not led to a domestic scarcity of petroleum products, unlike in major countries where people are standing in long queues for days at gas stations,” Ajayi stated.

He cited examples of crisis-hit nations implementing emergency measures. Ajayi said Vietnam is now encouraging remote work to reduce transportation costs, Bangladesh has imposed daily limits on fuel sales and is closing universities early, Pakistan is implementing a four-day government work week and temporary school closures, and Egypt has mandated shops and restaurants to close by 9 p.m. daily.

“In the Philippines, the government has declared a national energy emergency. In parts of the United States, Americans join long queues to buy fuel,” he added.

ALSO READ: NCDMB to Review NCCF Framework

The naira-for-crude initiative, managed by a technical committee chaired by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, and including the Executive Chairman of the Nigerian Revenue Service, Zacch Adedeji, has developed a framework ensuring supply security and economic stability.

Ajayi said the Dangote Petroleum Refinery in Lekki, Lagos, has been central to the policy’s success, scaling up production at a critical time and prioritising Nigeria’s energy security over more attractive export options. “Petrol queues, even during festive seasons, have disappeared since the Refinery commenced PMS production in October 2024,” he noted.

Despite a 10 per cent increase in crude oil prices, Ajayi said the refinery recently cut petrol prices by N75 per litre, even while paying an additional premium of up to $18 per barrel for Nigerian crude oil cargoes, demonstrating the benefits of local refining. He argued that the ongoing crisis has also positioned Nigeria as a strategic exporter to Africa.

In March 2026 alone, the Dangote refinery exported close to 500,000 tons of refined products to various African countries, generating significant export earnings. “Many countries in Europe, Asia, and major African countries, such as South Africa and Kenya, now rely on supplies from Nigeria through the Dangote refinery,” Ajayi stated.

He emphasised that the refinery has eliminated the huge demurrage bill that the Nigerian National Petroleum Company Limited used to incur in maintaining safety stock on several floating vessels.

Ajayi said, “The Dangote refinery is transforming Nigeria into a more resilient and energy-independent nation, providing all-year-round availability of petroleum products and enabling the country to withstand external shocks better.”

He described the refinery as more than an industrial asset, calling it “the foundation of Nigeria’s energy sovereignty and a catalyst for sustainable economic growth.”

The naira-for-crude policy allows Dangote to pay for crude oil supplied to the refinery by the NNPC in naira rather than dollars, reducing pressure on foreign exchange reserves while ensuring a stable domestic fuel supply.

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Ambakederimo Questions NNPC Over Crude Oil Sales, Upfront Payments

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Joseph Ambakederimo, convener of the South-South Reawakening Group, has questioned the accountability of Nigeria’s crude oil forward sales, demanding clarification on the volume of crude lifted, outstanding balances and the use of upfront payments.

Speaking during an interview on Arise TV on Sunday, Ambakederimo expressed concern over the monitoring of crude oil transactions, questioning who was responsible for tracking deliveries and providing feedback on the arrangements.

“We don’t even know who is monitoring and giving us the feedback of the barrels of crude that have been lifted on forward sales basis,” he said.

SEE MORE: South-South Group Opposes Coastal Road Alignment With East-West Road

He challenged the Nigerian National Petroleum Company Limited (NNPC) to provide details of the transactions, including the quantity of crude already lifted, the outstanding balance and whether the agreed deliveries had been completed.

“Today, can we get this from NNPC? How much have they lifted? What is the balance remaining? Have they been completed?” he asked.

Ambakederimo also questioned how the money collected upfront under the arrangements had been spent, demanding an explanation of its use.

“That money that was collected upfront, what was the use of the money? Can you justify it?” he asked.

He argued that Nigeria should make better use of its natural resources to accelerate infrastructure development and improve living conditions.

Citing land reclamation projects in the United Arab Emirates, Ambakederimo said Nigeria could explore similar opportunities to create additional land for residential and other developments.

He recalled seeing a signpost while travelling from Dubai to Abu Dhabi describing a project to reclaim land from the sea, using the example to highlight the development possibilities he believes Nigeria could explore.

The South-South Reawakening Group convener also argued that Nigeria could reclaim land in suitable areas, provided environmental concerns were properly managed.

He called for the country to translate its natural resource wealth into infrastructure and improved living conditions, stressing the need for greater accountability in crude oil transactions.

 

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IEA Puts UAE’s Oil Output at 5.3mbpd for September

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Oil output from the United Arab Emirates (UAE) rose to record levels in September, underscoring its resilience even amidst the Middle East crises and liberation from OPEC+ limits.

The International Energy Agency (IEA) issued the data in its monthly report, adding that Abu Dhabi raised total oil production, including condensates, by 400,000 bpd to 5.3 MMbpd.

According to the IEA, the UAE bolstered crude output to more than 4.4 MMbpd, nearing its maximum capacity, which surpasses the previous highs for total oil in August, and crude oil in June.

READ ALSO: Africa’s Energy Security Conversations Pull Industry Executives Together

The UAE has been one of the most successful among regional producers in restoring flows through the Strait of Hormuz, by drawing on a fleet of tankers to discreetly shuttle cargoes through the chokepoint and then transfer them onto other vessels. In addition, the country’s decision to leave the Organization of the Petroleum Exporting Countries (OPEC) as of May has freed it from the group’s output caps, a source of frustration for years.

Its gains contributed to a wider recovery in flows from Gulf producers, which reached more than 75% of pre-war levels in September, led by Saudi Arabia, according to the Paris-based IEA.

Still, it’s unclear how far the regional rebound has withstood a new wave of Iranian attacks on tankers transiting Hormuz, and escalating hostilities carried out by the Houthi rebel faction in Yemen.

The UAE depleted its observable above-ground inventories at a record pace of more than 270,000 bpd in September, drawing them to an all-time low, according to the IEA.

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Africa’s Energy Security Conversations Pull Industry Executives Together

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Africa’s gas potential and strengthening the continent’s energy security would take centre stage at the Africa Interviews Sustainability Forum (AISF 2026) scheduled for Wednesday, October 21, in Lagos.

Biztellers reports that top officials of Oando Plc and Renaissance Africa Energy Company Limited, Ayotola Jagun and Tony Attah, respectively, will be leading other industry leaders in the discussion.

Jagun, Oando’s Executive Director, Chief Corporate Services and Sustainability Officer, and Attah, Managing Director and Chief Executive Officer of Renaissance Africa Energy Company Limited, will participate in a panel discussion alongside Lamé Verre of Lean In Equity & Sustainability (LiNES) and Dapo Filani, Managing Director and Chief Executive Officer of Waltersmith.

The panel will examine Africa’s energy security and the role of natural gas in the continent’s energy transition.

READ ALSO: 30 Nigerians Bag Postgraduate Scholarship from NNPC Ltd, Eni

The forum, launched in 2024, is holding its third edition under the theme, “Energy Security and Africa’s Energy Transition: Defining the Role of Gas.”

This year’s gathering will explore how African countries can strengthen energy security, attract investment in gas development and balance growing energy demand with sustainability objectives.

Verre, a London-based energy and sustainability executive, is Co-founder and Chair of the Advisory Board of LiNES. She will bring her international experience in sustainability, decarbonisation and low-carbon development to the discussion. Her work spans low-carbon initiatives across sectors, including marine, the built environment, forestry, land and agriculture.

Jagun brings extensive experience in corporate governance, regulatory compliance, enterprise risk management and sustainability. Her contribution will provide a corporate sustainability and governance perspective on the relationship between energy development, environmental responsibility and Africa’s transition priorities.

Attah, a former Managing Director and Chief Executive Officer of Nigeria LNG Limited, has extensive experience in the oil and gas industry, particularly in natural gas development and major energy operations.

Filani leads Waltersmith, an indigenous Nigerian energy company with interests across the oil and gas value chain. His participation will highlight the role of indigenous energy companies in strengthening domestic energy capacity and supporting economic development.

The panel will consider what is required to unlock greater investment in Africa’s gas sector, how natural gas can support industrial growth while advancing sustainability, and what practical measures could help translate the continent’s energy ambitions into tangible outcomes.

Beyond the panel discussion, AISF 2026 will provide opportunities for engagement among senior energy executives, policymakers, investors and business leaders.

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