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BIG STORY

Petrol Imports Gulp N17tn, Refineries Remain Unproductive

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  • Petrol Subsidy Gulps N6.88tn
  • Refineries consume $2.9bn

 

President Muhammadu Buhari led admission has spent over N16.9tn on the importation of not less than 132.24 billion litres of Premium Motor Spirit, popularly called petrol, despite the President’s campaign promises to halt PMS imports.

 

Figures obtained from the National Bureau of Statistics and the Nigerian National Petroleum Company Limited showed that Nigeria relied majorly on petrol imports since the current administration came on board.

 

This is because the country’s refineries have remained dormant for years, though the government is currently revamping the Port Harcourt and Warri refineries. The rehabilitation of the facilities is to gulp about $2.9bn.

 

The continued importation of petrol and the humongous amount spent in subsidising the commodity have been described as alarming by industry operators and analysts, who called on the President to fully deregulate the downstream oil sector.

 

The All Progressives Congress had, during its campaigns in 2015, promised to get the refineries working.

 

Buhari is billed to leave office in May 2023 and may have about seven months to fulfill the promise of getting Nigeria’s refineries working.

 

He assumed office on May 29, 2015, meaning his government started importing petrol from around June 2015.

 

Petrol import figures obtained by our correspondent showed that between June and December 2015, Nigeria imported 9.47 billion litres of petrol valued at N1.05tn.

 

A total of 18.81 billion litres of petrol was imported into Nigeria in 2016, with a worth of N2.01tn, according to figures from the NBS.

 

The total petrol imports into Nigeria through the Direct Sale Direct Purchase scheme of NNPC in 2017 was 12.97 billion litres, valued at about N1.58tn.

 

Under the DSDP scheme, selected overseas refiners, trading companies and indigenous companies are allocated crude supplies in exchange for the delivery of an equal value of petrol and other refined products to the NNPC.

 

In 2018, figures from NNPC showed that it imported 18.83 billion litres of petrol through the DSDP scheme. The worth of the commodity, based on NNPC data, was about N2.31tn.

 

Also, in 2019 the oil company imported 16.63 billion litres of petrol through its DSDP scheme. The value of the imported PMS in that year was about N2.4tn.

 

Still under the DSDP scheme, the NNPC imported 16.72 billion litres of PMS that was worth about N1.86tn in 2020.

 

The NNPC, in October this year, stated that between January and August 2022, the total volume of petrol imported into the country was 16.46 billion litres.

 

The company also revealed that petrol imports in 2021 were estimated at 22.35 billion litres, translating to an average supply of 61 million litres per day.

 

Going by the N147/litre price of the commodity as sold at NNPC approved depots, it therefore implies that the company spent about N2.41tn on PMS imports between January and August 2022.

 

It also spent about N3.28tn to import the commodity in 2021, going by the 22.35 billion litres it imported last year.

 

A summation of the volumes of petrol and the amount spent during the period captured above indicated that the country had so far spent about N16.9tn on the importation of 132.24 billion litres of PMS under the regime of Buhari.

 

This, however, ran contrary to the campaign promises of the President and his party to stop petrol imports and get Nigeria’s refineries running.

 

“We cannot be spending this much on petrol imports when we have refineries that should produce this product if they were functional. This is really sad, especially when you imagine the additional trillions of naira consumed by subsidy,” the President, Petroleum Retail Outlet Owners Association of Nigeria, Billy Gillis-Harry, told our correspondent.

 

Refineries consume $2.9bn

 

The importation of refined petroleum products is basically because Nigeria’s refineries have remained unproductive for years.

 

Nigeria’s refineries include the Kaduna Refining and Petrochemical Company in Kaduna State, Port Harcourt Refining Company in Rivers State, and Warri Refining and Petrochemical Company in Delta State.

 

Although hundreds of workers still earn their daily bread from the facilities, the plants have not been able to refine crude oil. However, billions of naira have been allocated to get them up and running.

About $2.9bn has been approved by the Buhari regime for the rehabilitation of facilities. This will be released in phases.

 

In March 2021, the Federal Executive Council approved the plan by the Federal Ministry of Petroleum Resources to rehabilitate the Port Harcourt Refinery with $1.5bn.

 

The decision was taken at the weekly meeting of the council presided over by Buhari, according to the Minister of State for Petroleum Resources, Timipre Sylva.

 

The contract for the Port Harcourt refinery rehabilitation was awarded to an Italian company, Tecnimont spa.

 

Also, in August 2021, the Federal Government approved the sum of $1.4m for the rehabilitation of Warri and Kaduna refineries in Delta and Kaduna states.

 

A breakdown of the approved funds showed that $897m would be expended on the rehabilitation of the Warri refinery while $586m of the fund would be invested in the Kaduna refinery.

 

It should be noted that the $2.9bn is basically for refineries’ rehabilitation, as the facilities have been consuming billions of naira, if not trillions, on operating costs, salaries, maintenance and other expenses.

 

The Federal Government has been making moves to get the country’s dysfunctional refineries back on stream, as Nigeria currently imports the bulk of its refined petroleum products.

 

This has resulted in humongous subsidy spending by the NNPC, the sole importer of petrol into Nigeria for more than four years and counting.

 

Petrol Subsidy Gulps N6.88tn

 

According to The Punch report on October 24, 2022, the Federal Government subsidy spending would hit N11tn in 2023.

 

The report stated that the current administration could spend not less than N10.976tn as subsidy on petrol, from when it came to power in 2015 till May 2023.

 

It further revealed that already, the government had spent about N6.88tn in subsidising the commodity, according to data obtained from the NNPC and the Nigeria Extractive Industries Transparency Initiative.

 

Commenting on this, Gillis-Harry stated that oil marketers had repeatedly urged the government to deregulate the downstream oil sector in order to promote competition.

 

“These trillions of naira that we spend on petrol subsidy should be channeled to other sectors of the economy such as health, education, roads, etc. Deregulate the sector and you will see how competition will help make the commodity affordable,” he stated.

 

The Executive Secretary, Major Oil Marketers Association of Nigeria, Clement Isong, said MOMAN had also been calling for the deregulation of the downstream oil sector and the rehabilitation of refineries.

 

He said, “Of course, we want our refineries to come back on stream. It is important to make sure that people have fuel to buy at filling stations. This is why we keep calling for deregulation to make life easier for everybody.

 

“This is because it is not that simple to get petrol to customers on the street. It is difficult and people don’t know and may not appreciate this.”

 

Also speaking on the need to deregulate and stop PMS imports, an Associate Editor of SPE Journal of Economics and Management, Prof. Wumi Iledare, had told our correspondent that the Petroleum Industry Act 2021 had indirectly put an end to subsidy but wondered why the Federal Government had failed to adhere to it.

 

He said, “The midstream and downstream regulatory authority has no power in the PIA to set the price of petroleum. The power derives in setting the price of petroleum comes from the Petroleum Act of 1969, which in a way does not exist.

 

“So, it is illegal to set petrol price. Before now, NNPC can decide to do what they call under-recovery. However, the Fiscal Responsibility Act is another thing to contend with when you spend money on behalf of the government.

 

“But currently, the NNPC Limited is a commercial company and it is meant to make money for investors. So, I don’t see how the government will want the NNPC to sell petrol at a lower price and not recover it. That will be violating the NNPC Limited’s responsibilities and functions in the PIA.”

 

He added, “You cannot run a government of illegality. Therefore, petrol subsidy in itself is a violation of the PIA. You cannot spend what is not budgeted in the budget. And when you are borrowing money and using it to fund subsidy, that is a misallocation of scarce resources.

 

“Consider the number of years that the universities have closed down. What are they asking for? Less than N1tn and you are spending over N3tn to subsidise petroleum products in the next budget.

 

“That is even a violation of the Fiscal Responsibility Act, which says that you cannot fund your budget more than three per cent of your Gross Domestic Product. All of these things have implications on the overall economy.”

BIG STORY

Adron Homes Appreciates Customers Worldwide, Reaffirms Affordable Housing Drive in 2026

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The Chairman and Chief Executive Officer of Adron Group, Aare Adetola Emmanuelking, has expressed profound appreciation to Adron customers across Nigeria and in the diaspora for their unwavering trust, patronage, and continued recommendations of the company’s products throughout 2025.

In his New Year goodwill message, Emmanuelking acknowledged that the loyalty and confidence of Adron customers have remained the backbone of the company’s sustained growth, innovation, and expanding footprint across the country.

“On behalf of the Board, Management, and the entire Adron Group family, I sincerely thank our esteemed customers within Nigeria and outside the country for believing in our vision and standing with us throughout 2025. Your trust, patronage, and referrals continue to inspire us to do more,” he stated.

He noted that every investment made by customers, whether in land acquisition or home ownership, reflects their confidence in the Adron brand and reinforces the company’s resolve to consistently deliver value, quality, and transparency in the real estate sector.

Reflecting on the outgoing year, Emmanuelking described 2025 as a year of collective progress and impact, driven largely by customer support and loyalty. He added that the company remains deeply grateful to customers for their role in strengthening Adron’s position as a leading real estate brand in Nigeria.

As the company steps into 2026, the Adron Group helmsman reassured customers of the brand’s unwavering commitment to service excellence, stressing that the company will continue to prioritize availability and affordability as its core mission.

“Adron Group will not relent in its service delivery. Our driving force remains the availability of quality properties and the affordability that enables Nigerians at home and in the diaspora to become proud property owners. This commitment will continue to shape our offerings and innovations in the new year,” he affirmed.

Emmanuelking concluded by wishing customers a prosperous and rewarding New Year, assuring them of greater opportunities, improved service delivery, and innovative housing solutions in 2026.

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BIG STORY

Tinubu Pledges Strong Economic Rebound In 2026, Says New Year Will Be More Prosperous

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President Bola Tinubu has declared that 2026 marks the beginning of a more robust phase of economic growth for Nigeria, pledging to drive down inflation further, strengthen foreign reserves and sustain the country’s GDP growth trajectory.

In his New Year message to Nigerians on Thursday, the President expressed confidence in the nation’s collective resolve, saying the new year would be a more prosperous one for the country, its citizens, and all who call Nigeria home.

Tinubu argued that during 2025, his administration sustained momentum on major reforms, achieved a fiscal reset and recorded steady economic progress. Despite persistent global economic headwinds, he said, Nigeria recorded tangible and measurable gains, particularly in the economy.

“These achievements reaffirm our belief that the difficult but necessary reforms we embarked upon are moving us in the right direction with more concrete results on the horizon for the ordinary Nigerian,” he stated.

The President disclosed that Nigeria closed 2025 on a strong note, with annualised GDP growth expected to exceed four per cent for the year.

Trade surpluses were maintained, and greater exchange rate stability was achieved, while inflation declined steadily to below 15 per cent, in line with his administration’s target.

“In 2026, we are determined to reduce inflation further and ensure that the benefits of reform reach every Nigerian household,” he said.

Tinubu pointed to the performance of the Nigerian Stock Exchange, which, he said, posted a robust 48.12 per cent gain in 2025, consolidating its bullish run that began in the second half of 2023.

On foreign reserves, he disclosed that sound monetary policy management had seen reserves stand at $45.4bn as of December 29, 2025, providing a substantial buffer against external shocks for the Naira. He expressed optimism that this position would strengthen further in the new year.

Foreign direct investment, the President noted, was also responding positively. In the third quarter of 2025, FDI rose to $720m, up from $90m in the preceding quarter, reflecting renewed investor confidence in Nigeria’s economic direction, which global credit rating agencies, including Moody’s, Fitch, and Standard & Poor’s, had consistently affirmed and applauded.

Tinubu recalled that he recently presented the 2026 Appropriation Bill to the National Assembly, emphasizing that his administration had implemented critical reforms laying a solid foundation for long-term stability and prosperity.

“With patience, fiscal discipline, and unity of purpose, Nigeria will emerge in 2026 stronger and better positioned for sustained growth,” he said.

As inflation and interest rates moderate, the President said, his administration expected increased fiscal space for productive investment in infrastructure and human capital development.

He commended states that had aligned with the national tax harmonization agenda by adopting harmonized tax laws to reduce the excessive burden of taxes, levies, and fees on citizens and basic consumption.

The new year, Tinubu added, marks a critical phase in implementing tax reforms designed to build a fair, competitive, and robust fiscal foundation for Nigeria.

On security, the President acknowledged that the nation continues to confront threats from criminal and terrorist elements.

He disclosed that in collaboration with international partners, including the United States, decisive actions were taken against terrorist targets in parts of the Northwest on December 24.

The Armed Forces, he said, had since sustained operations against terror networks and criminal strongholds across the Northwest and Northeast.

“In 2026, our security and intelligence agencies will deepen cooperation with regional and global partners to eliminate all threats to national security. We remain committed to protecting lives, property, and the territorial integrity of our country,” the President stated.

He reiterated his belief that a decentralised policing system with appropriate safeguards, complemented by properly regulated forest guards and anchored on accountability, was critical to effectively addressing terrorism, banditry, and related security challenges.

Tinubu also announced plans to accelerate the implementation of the Renewed Hope Ward Development Programme, aiming to bring at least 10 million Nigerians into productive economic activity by empowering at least 1,000 people in each of the 8,809 wards across the country.

Through agriculture, trade, food processing, and mining, he said, the administration would stimulate local economies and expand grassroots opportunities. Investment would also continue in modernising Nigeria’s infrastructure, including roads, power, ports, railways, airports, pipelines, healthcare, education, and agriculture, to strengthen food security and improve quality of life.

The President called on all Nigerians to play their part, describing nation-building as a shared responsibility that required unity of purpose, patriotism, and service with honour and integrity.

“To achieve our objectives in 2026, we must all play our part. Nation-building is a shared responsibility.

“We must stand together in unity and purpose, uphold patriotism, and serve our country with honour and integrity in our respective roles. Let us resolve to be better citizens, better neighbours, and better stewards of our nation.

“Fellow Nigerians, I wish you all a peaceful, productive, and prosperous New Year. May God continue to bless and protect our beloved country, keep our troops safe and destroy the enemies bent on disrupting our national peace, security and stability,” he stated.

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BIG STORY

Anthony Joshua Leaves Hospital, Inspects Late Friends’ Bodies at Funeral Home with His Mother

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British-Nigerian boxing champion Anthony Joshua has been discharged from the hospital following a road accident along the Lagos–Ibadan Expressway on Monday, which claimed the lives of his two close friends, Lateef Ayodele and Cina Gami.

In a Wednesday statement co-signed by Gbenga Omotoso, Commissioner for Information and Strategy, Lagos State, and Kayode Akinmade, Special Adviser on Information and Strategy, Ogun State, the governments of Lagos and Ogun states expressed their condolences to the families of the deceased.

“The governments of Lagos and Ogun states once again commiserate with the families of the two young men, Lateef Ayodele and Cina Gami, who tragically and unfortunately lost their lives in the road accident involving Anthony Joshua. We pray the Almighty grant the repose of their souls whilst granting their families and loved ones the fortitude to bear this very sad and painful loss,” the statement read.

The statement confirmed that Joshua was discharged from the hospital late on Tuesday afternoon, describing him as “heavy-hearted and full of emotions over the loss of his two close friends,” but “deemed clinically fit to recuperate from home.”

It further noted that Joshua and his mother visited a funeral home in Lagos on the same day to pay their final respects to his deceased friends, who were being prepared for repatriation later in the evening.

The statement also expressed gratitude to medical personnel who attended to the boxer and other injured parties:

“The team of doctors and medical personnel at Lagoon Hospital, Ikoyi, who attended to Anthony and those who sustained injuries, displayed quality care and professionalism that is truly commendable,” it said.

Governors Dapo Abiodun of Ogun State and Babajide Sanwo-Olu of Lagos State also thanked the public and President Bola Ahmed Tinubu for their support during the period.

Recall that we had reported that the accident occurred at about 11 a.m. on Monday, when the Lexus Jeep conveying Joshua, with registration number KRD 850 HN, collided with a stationary truck along the busy expressway. The crash resulted in the deaths of two passengers and injuries to others, including the boxing champion.

The authorities are continuing investigations into the incident, while public appeals have been made for patience and cooperation as officials manage the aftermath.

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