The Energy Reforms Advocates of Nigeria has raised concerns about an alleged plot to undermine the Dangote Refinery and other local refineries in Nigeria.
According to the group, a cabal within the Nigerian National Petroleum Corporation Limited is attempting to cut crude oil supplies to the Dangote Refinery, which could reduce its capacity and affect its ability to meet domestic fuel demand.
ERAN, led by Daniel Clarke, believes that certain individuals within the sector are threatened by the success of the Dangote Refinery, as it could expose inefficiencies and corrupt practices that have long existed. The group has expressed alarm over the potential decision to cut crude oil supply, arguing that it would be both unjustifiable and strategically harmful to the refinery’s operations, as well as Nigeria’s efforts toward energy self-sufficiency.
The timing of the alleged decision has raised further concerns, especially given recent attempts to revive dormant refineries that had been left in disrepair for years. ERAN argues that these refineries, which were reportedly mismanaged and used as channels for embezzling funds, are now being presented as viable alternatives, even as efforts to reduce crude oil allocations to Dangote Refinery are reportedly underway.
ERAN also claims that the cabal opposes the Dangote Refinery due to its inability to control product pricing. The group suggests that by reducing crude oil allocations to Dangote Refinery, the goal is to disrupt its operations and portray the facility as unreliable. Additionally, ERAN pointed out that despite Dangote Refinery’s ability to produce sufficient quantities of fuel, including Automotive Gas Oil and Jet-A1, the Nigerian Midstream and Downstream Petroleum Regulatory Authority continues to issue import licenses for petroleum products to other companies, such as NNPCL and Matrix.
According to ERAN, gasoline from the Dangote Refinery is not only cheaper but also of better quality than imported alternatives. The group questions why indigenous production is not being supported, suggesting that the opposition to Dangote Refinery stems from a deep-rooted fear of exposing inefficiencies and corruption within the sector.
As a result, ERAN has called for immediate government action to prevent any reduction in crude oil allocation to Dangote Refinery and other local refineries. The group also demands that NNPCL’s operations undergo independent audits to ensure transparency and accountability.
ERAN further expressed concern over the ongoing efforts to revive refineries that are still not fully operational. They contend that these refineries, which are primarily intended to function as blending plants, are being allocated crude oil supplies while Dangote Refinery’s allocation is being deliberately reduced. The group believes that this strategy is part of a broader effort to frustrate Dangote Refinery’s operations and allow the cabal to regain control of Nigeria’s oil and gas sector, thus continuing their corrupt practices.
“The recent news that NNPCL may cut crude oil supply to the Dangote Refinery and other local refineries is a cause for alarm.
“This decision, if implemented, would be patently unjustifiable and strategically detrimental to the refinery’s operational efficacy, thereby subverting Nigeria’s quest for energy self-sufficiency,” the statement said.
Clarke added that, “This move appears to be a deliberate and orchestrated attempt to undermine the Dangote Refinery, which has been operating at full capacity, through a concerted and compound action.
“It is particularly perplexing that this decision comes on the heels of reviving dormant refineries, which had been in a state of disrepair for an extended period, and were allegedly utilized as conduits for embezzling billions of naira without any meaningful efforts to resuscitate them.
“The sudden pronouncement that these refineries will soon become fully operational, followed by the surreptitious maneuvering to drastically curtail the allocation to the Dangote Refinery, raises pernicious concerns about the motivations underlying this decision