This comes in spite of the Federal Government’s much-publicised naira-for-crude policy designed to prioritise local supply. He confirmed that for several months, no allocation has been received under the Domestic Crude Oil Supply Obligation framework, naira for crude policy or through any other special arrangements. According to Idoko, local refineries have the capacity to produce more than their current output, blaming the lack of enough feedstock for the current output. However, recent investments in local refineries were expected to reverse this trend by boosting in-country processing of crude oil. The Petroleum Industry Act introduced provisions aimed at ensuring a steady supply of crude to domestic refineries, including domestic crude supply obligations.

Source: Punch March 18, 2026 11:20 UTC