Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
The Independent Petroleum Marketers Association of Nigeria has firmly declared that the revival of the country's moribund refineries—specifically the Port Harcourt, Warri, and Kaduna facilities—is the only sustainable solution to reducing the soaring cost of Premium Motor Spirit, as the debate over the return of fuel subsidy intensifies ahead of the 2027 elections. The association's National Publicity Secretary, Chief Chinedu Ukadike, made this position clear in an interview with DAILY POST on Monday, August 24, 2026, while reacting to calls by former Vice President Atiku Abubakar for the reinstatement of fuel subsidy. Ukadike argued that the restoration of domestic refining capacity would introduce competition into the downstream sector, thereby reducing price volatility and reliance on costly imports.
Ukadike stressed that the fundamental problem in Nigeria's petroleum sector is not whether subsidy should be removed or restored, but the persistent failure to revive critical infrastructure that has been left to decay for decades. "Whether we remove subsidy or not does not arise because competition will calm down the price volatility and reduce prices drastically," Ukadike told DAILY POST. He further explained that reviving the refineries would not only drive competition but also reduce Nigeria's dependency on the dollar for fuel imports, easing pressure on the naira. The IPMAN spokesperson also addressed Atiku directly, urging him to "do some homework and understand that it is not bringing back subsidy that is our problem. Get the refinery to work again".
The IPMAN spokesperson's comments come as petrol prices in Abuja hover between ₦1,230 and ₦1,299 per litre, with many Nigerians facing severe economic hardship. Ukadike emphasised that the government must focus on the full restoration of all refineries, pipelines, and the 21 depots across Nigeria to stabilise supply and create a more competitive market. His position aligns with a growing consensus among industry stakeholders that domestic refining, rather than subsidy, offers a long-term pathway to affordable fuel. The association had previously raised concerns over the delay in the proposed technical equity partnership between the Nigerian National Petroleum Company Limited and Chinese firms to revive the Warri and Port Harcourt refineries, warning that the prolonged delay is denying Nigerians the benefits of lower petrol prices.
The debate over fuel subsidy has intensified following Atiku's recent pledge to restore a targeted, capped, and audited subsidy if elected president in 2027. However, IPMAN has firmly rejected this proposal, insisting that the focus should be on revitalising domestic refining infrastructure rather than revisiting a policy that has historically been fraught with corruption and financial mismanagement. Ukadike's stance was echoed by the National President of the Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, who described calls for subsidy return as a "loss of opportunity for Nigeria" and accused proponents of not loving the country. Gillis-Harry noted that the Federal Government had previously borrowed nearly N2 trillion to fund the subsidy regime instead of investing in national development and human capital.
The call for refinery revival comes amid significant challenges. Industry data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority for July 2026 confirmed that none of the country's three refineries were functional. Despite President Bola Tinubu's recent assurances that the Port Harcourt, Warri, and Kaduna refineries would return to operation after a major restructuring, progress has been slow. The Port Harcourt refinery briefly resumed operations in late 2024 but shut down again in May 2025 for maintenance and has not restarted. The Warri and Kaduna refineries have remained largely inactive, with rehabilitation works still ongoing. Meanwhile, the Dangote Refinery, a privately owned facility, has begun to offer relief, with marketers projecting that petrol prices could drop below N800 per litre if competition is fully strengthened.
As the 2027 elections draw closer, the debate over fuel subsidy and refinery revival is expected to intensify. IPMAN's position, however, is clear: the government must prioritise the restoration of domestic refining capacity to achieve long-term price stability and reduce the nation's dependence on imports. For millions of Nigerians struggling with the high cost of living, the promise of lower fuel prices through refinery revival offers a glimmer of hope, but the question remains whether the government can finally deliver on its decades-old promise to make the refineries work again.
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