Aliko Dangote had accused Nigerian authorities and International Oil Companies (IOCs) of frustrating crude supply to his $20 billion refinery sited at the Lekki Free Trade Zone in the outskirt of Lagos

Matthew Onocheta

Abuja – The Federal Executive Council (FEC) has directed the Nigerian National Petroleum Company (NNPC) Limited to sell crude oil to Dangote Refinery and other local refineries in naira and not in United States greenback.

Federal Inland Revenue Service (FIRS) boss Zack Adedeji made this known after a FEC meeting chaired by President Bola Tinubu in Abuja on Monday.

Adedeji said the measure would reduce the strain on the country’s foreign spendings and stabilise the pump price of petrol, diesel and other products in Nigeria.

He said FEC ordered that the state-owned NNPCL immediately begin the full implementation of the directive to boost local production of refined petroleum products in Nigeria.

The FIRS boss also said the Tinubu administration ordered that the sale of refined products from Dangote Refinery to oil marketers and distributors be denominated in naira and not in US dollars.

The Special Adviser to President Tinubu on Information and Strategy, Bayo Onanuga, also announced this in a statement posted on X.

According to Onanuga, Tinubu’s decision was aimed at ensuring the sustainability of the pump price of refined fuel and the dollar-Naira exchange rate.

He said the Dangote Refinery currently needs 15 cargoes of crude but FEC approved 450,000 barrels meant for domestic consumption which will be offered in Naira.

Billionaire and chairman of the Dangote Group, Aliko Dangote, had accused Nigerian authorities and International Oil Companies (IOCs) of frustrating crude supply to his $20 billion refinery sited at the Lekki Free Trade Zone in the outskirt of Lagos.

Regulatory authorities would later questioned the quality of petroleum products produced at the Dangote Refinery but the billionaire businessman insisted that the quality of products at his refinery surpassed the ones imported by marketers.

The Africa’s richest man commenced operations at his facility located in Lagos last December with 350,000 barrels a day. The refinery hopes to achieve its full capacity of 650,000 barrels per day by the end of the year.

Dangote Refinery has begun the supply of diesel and aviation fuel to marketers in the country while petrol supply is expected to commence in August amid regulatory resistance, according to local broadcaster, Channel Television.

KOIKI Media bringing the world 🌎 closer to your door step