The Federal Government has reaffirmed that the naira-based crude oil supply arrangement for local refineries remains in effect, dismissing reports suggesting its discontinuation.
In a statement issued by the Chairman of the Technical Sub-Committee, Zacch Adedeji, the committee overseeing the implementation of the Federal Executive Council Initiative on Domestic Sales of Crude Oil and Refined Products in Naira clarified that the policy is still in force.
Adedeji stated that the initiative ensures supply stability, optimizes local refining capacity, and reduces reliance on foreign exchange for crude oil purchases. He emphasized that no decision has been made at the policy level to halt the framework.
He further affirmed that local refineries continue to access domestic crude through structured agreements aligned with market conditions. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC), he noted, is actively enforcing compliance with the Domestic Crude Oil Obligations under the Petroleum Industry Act.
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The initiative, he added, supports competitive pricing and market efficiency, and the committee remains committed to strengthening its implementation to enhance local refining and stabilize fuel supply.
