The Chief Government of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Saidu Mohammed, has revealed that the daring {economic} reforms applied by President Bola Tinubu’s administration have saved the nation over N6 trillion on petroleum product imports in simply the primary 9 months of 2025.
Mohammed, who disclosed this whereas talking on the Nigeria Worldwide Power Summit (NIES) in Abuja on Wednesday, stated the financial savings had been the results of full downstream deregulation, harmonisation of the foreign exchange market, and the buying and selling of crude and petroleum merchandise in naira.
He added that these daring strikes have created stability within the downstream petroleum market, inspired funding, and ensured enough provide of petroleum merchandise throughout the nation.
The NMDPRA boss additionally revealed that the nation’s refining capability is predicted to surpass 1 million barrels per stream day (bpsd) within the medium time period.
He stated the surge in home refining capability is being pushed by a mix of latest refinery investments, the rehabilitation of present Nigerian Nationwide Petroleum Firm Restricted (NNPCL) refineries, and strategic private-sector participation.
In accordance with him, the deliberate investments in different refineries, together with issued Licences to Set up (LTEs) for brand spanking new services, will proceed to increase Nigeria’s refining footprint, decreasing dependence on imported merchandise and stabilising home provide.
He stated: “For many years, our downstream worth chain has been related to damaging sectoral efficiency indicators corresponding to infrastructural deficit; weak market buildings; sub-optimal provide chain effectivity; insufficient funding; poor regulatory compliance; and unacceptable operational security and environmental indices.
“At the moment, I’m happy to affirm that this narrative is quickly altering and that the sector is really witnessing the early however irreversible indicators of a renaissance sort of transformation that’s pushed by daring reform; enabled by funding; and sustained by efficient market and operational regulatory enablement.
“Within the few years of the operationalisation of the brand new authorized framework of the oil and gasoline sector in Nigeria (PIA 2021) the Nigeria’s downstream sector has developed into a totally liberalised market and is now not outlined by shortage and provide uncertainty. Provide stability has constantly ensured sufficiency of all petroleum merchandise. The pricing construction of the downstream sector is turning into extra pushed by the basics of the market and usually attaining the soundness stage required for encouraging funding on this expansive sector of the economic system.
“The provision chain panorama of the sector, which depended considerably on import of practically all petroleum merchandise for a very long time, is quickly remodeling with rising provide by means of the nation’s home refining capability, increasing gas-based different fuels, improved logistics, and elevated private-sector participation.
“On the coronary heart of this transformation stands the Dangote Petroleum Refinery, the biggest single-train refinery on the earth with an put in capability of 650,000 barrels per stream day (bpsd), which is at the moment contributing a good portion and in some circumstances 100% of our home requirement of petroleum merchandise. The optimum operationalisation of the plant’s put in capability and future upscaling of the plant is undoubtedly wanted to fulfil the nationwide aspirations of creating Nigeria a regional and continental vitality hub.
“The capability for enhanced home provide of petroleum product in Nigeria will proceed to develop because the deliberate investments in our refinery sector mature. We’re optimistic that the issued Licences to Set up (LTEs) refineries that are being progressed by means of varied ranges of completion, coupled with the rehabilitation of the NNPCL refineries, will enhance the general put in refining capability in Nigeria to effectively over 1 million bpsd within the medium time period.
“The daring {economic} reforms of President Bola Tinubu have created the renaissance that the downstream sector is having fun with and would proceed to leverage upon for sustained sectoral progress sooner or later. The cumulative influence of the complete deregulation of the downstream sector; the harmonisation of the foreign exchange market; the incentivisation and deepening of the usage of gasoline; and the buying and selling of crude and product in naira has diminished the fiscal {economic} losses of importing petroleum product by over N6 trillion within the first 9 months of 2025.
“We congratulate and rejoice Mr President and our ministers for these enduring management legacies within the downstream vitality sector.”
Mohammed additionally highlighted progress within the nation’s gasoline sector, which helps industrial improvement, cleaner energy, transport fuels, and manufacturing linkages that broaden the nation’s vitality and {economic} influence.
He urged authorities, traders, operators, financiers, and shoppers to work collectively to maintain progress, appeal to extra funding, and make Nigeria a number one vitality hub in Africa.