By Douglas Maha, Abuja
Hope rose for cheaper petroleum products on Wednesday, after the Federal Executive Council ordered the complete resumption of the previously paused Naira-for-Crude policy with local refiners.
This directive was shared by the Ministry of Finance via its official X handle on Wednesday, in a post titled “Update on the Crude and Refined Product Sales in Naira Initiative.”
The initial six-month agreement, which involved the Federal Government, the Nigerian National Petroleum Company Limited, and Dangote Petroleum Refinery, concluded on March 31, 2025. Since the deal was not renewed, Dangote Refinery has ceased selling refined petroleum products in naira.
The development led to a spike in prices of petroleum products, with petrol (PMS) rising nearly 15% to N960 in Lagos and other parts of the country.
In a fresh announcement on Wednesday, the committee highlighted that this policy is designed to be a sustainable, long-term strategy aimed at reducing Nigeria’s reliance on foreign exchange for petroleum procurement.
This followed a critical meeting held on Tuesday to assess progress and address existing challenges.
The update emphasized that the initiative is not a short-term measure, but rather a significant policy framework geared towards fostering local refining capacity and ensuring energy security.
A portion of the statement read: “The Technical Sub-Committee on the Crude and Refined Product Sales in Naira initiative convened on Tuesday to review achievements and handle ongoing implementation matters.
“Stakeholders reiterated the government’s unwavering resolve to fully implement this strategic policy as directed by the Federal Executive Council.
“Therefore, the Crude and Refined Product Sales in Naira initiative is a long-term, pivotal policy directive aimed at enhancing local refining, ensuring energy security, and diminishing reliance on foreign exchange within Nigeria’s petroleum sector.”
