The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has thrown its weight behind the federal government’s renewed commitment to the Naira-for-Crude initiative.
PETROAN described it as a policy that could significantly lower petrol prices across the country.
Speaking in Abuja, PETROAN’s National PRO, Joseph Obele, welcomed the decision of the Federal Executive Council (FEC) to uphold the Naira-for-crude arrangement.
Obele called it a forward-thinking approach to revitalising the energy sector.
“This move is not only timely but necessary,” Obele said.
“By enabling local refineries to purchase crude oil in Naira, we reduce our overdependence on foreign exchange and take meaningful steps towards a more resilient downstream sector.”
The policy allows domestic refineries—such as the Dangote Refinery and others—to acquire crude oil using Nigeria’s local currency rather than the U.S. dollar.
PETROAN argued that this change will ease FX pressure, encourage industrial investment, and bolster the country’s refining capability.
Obele also attributed the potential for falling petrol prices to the recent downward trend in global crude oil markets.
He stated that the combination of lower international prices and the Naira-based policy presents a unique opportunity to pass savings onto Nigerian consumers.
“Let’s commend President Bola Tinubu and relevant ministers for championing this approach,” he said, referencing key officials including Senator Heineken Lokpobiri (Petroleum Resources), Wale Edun (Finance), Farouk Ahmed (NMDPRA), and Gbenga Komolafe (NUPRC).
“This policy puts Nigerians first. When crude is refined locally using our own currency, the overall cost of fuel drops significantly. That’s the relief we’ve all been waiting for.”
Obele noted that the global oil market is currently under pressure, with oversupply and reduced demand leading to price slumps.
He cited increasing output from non-OPEC nations and sluggish economic growth in major economies as reasons behind the fall.
He also reflected on long-term global policy shifts, saying, “Some of these trends were triggered years ago by policies like the U.S. tariff strategies under former President Trump. The ripple effects are still being felt, and they’ve contributed to a softer crude market.”
Despite the volatility abroad, Obele said Nigeria is well-positioned to cushion itself from global oil shocks—if it continues along the path of strategic self-reliance.
“With this policy firmly in place, we foresee improvements not only in pricing but in fuel availability and supply chain stability,” he added.
PETROAN reaffirmed its support for initiatives that encourage domestic refining, protect foreign reserves, and provide long-term relief for fuel users across Nigeria.
