The House of Representatives Committee on Petroleum Resources (Downstream) has warned about imminent return of fuel scarcity and queues in Nigeria.
The committee stated that petrol prices might also rise if urgent steps were not taken to address crude supply challenges to domestic refineries.
The chairman of the committee, Ikeagwuonu Ugochinyere, gave the warning on Thursday while briefing journalists in Abuja. Ugochinyere said the situation was a major threat to economic stability and the welfare of Nigerians.
He decried the inadequate supply of crude oil to the Dangote refinery, which remains central to Nigeria’s efforts to stabilise fuel supply.
Ugonchiyere revealed that findings from the committee’s oversight activities pointed to a strong likelihood of an increase in the price of Premium Motor Spirit (PMS), driven not by deliberate government policy but by critical supply chain inefficiencies.
The chairman stated that while the refinery was entitled to about 21 cargoes of crude oil and required at least 15 to operate optimally, it was currently receiving only five cargoes — far below the minimum threshold needed to sustain production.
He cautioned that unless the issues were resolved within 48 hours, the country could witness a resurgence of fuel queues, supply disruptions, and worsening hardship driven by higher pump prices.
Ugonchiyere added, “This shortfall is already undermining refining capacity and poses a direct risk to fuel availability across the country.
“Crude oil produced in Nigeria is being sold to our refineries through middlemen based in London and Dubai, who add no value but collect huge fees.
“For every barrel priced at $100, refineries pay $118, with the additional $18 going to intermediaries.”
To avert a looming crisis, the committee called on the Presidential Technical Committee on the Crude-for-Naira initiative to reconvene within 48 hours to resolve the supply bottlenecks.
Adedayo Akinwale
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