The House of Representatives Committee on Petroleum Resources (Downstream) has launched an investigation into the turnaround maintenance of Nigeria’s four state-owned refineries.
This move follows a similar pledge by the Committee on Petroleum Resources (Midstream) to probe why the refineries remain largely non-functional despite $18 billion reportedly spent on maintenance.
The Committee also plans to investigate the bureaucratic hurdles preventing local and modular refineries from accessing crude oil.
Speaking at a press briefing on Wednesday, Committee Chairman Ikenga Ugochinyere (PDP, Imo) voiced concern over reports that the Port Harcourt and Warri refineries had shut down just weeks after restarting operations.
Ugochinyere said the Committee would uncover the reasons behind the failure of the turnaround maintenance, especially as the company responsible is known for its strong track record in service delivery.
He also announced the formation of several technical sub-committees to address key challenges and ongoing investigations within the sector.
He said, “These technical sub-committees shall work towards fast-tracking the investigation of pending referrals to the committee, address crucial matters and developments that have arisen, which threaten sustainability in the downstream sector, to make the downstream sector stronger and more viable.”
The investigations will cover several key issues, including allegations of a planned takeover of petroleum products transportation and retailing by Dangote Refinery, the turnaround maintenance of state-owned refineries, their current operational status, and proposed solutions to revive them.
Others are OVH acquisition and complaints from the Nigerian National Petroleum Company Limited Retail staff, including House-ordered re-investigation; complaints of lack of feedstock by modular refineries and strategies to strengthen small/modular refining operations; review of Petroleum Industry Act to identify areas for amendment to strengthen the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the incorporation of artisanal refiners into the official petroleum refining value chain, among others.
Ugochinyere said, “This initiative is aimed at addressing threats to the viability and sustainability of the downstream sector. We are committed to delivering real reforms that will ensure efficiency, fairness, and competitiveness across the board.”
The House Committee is expected to receive reports from its technical sub-committees in the coming weeks, as part of broader legislative efforts to reform and reposition Nigeria’s oil and gas industry.
As part of this drive, the House is also considering amendments to the Petroleum Industry Act to address emerging gaps not captured in the current law. The Committee aims to compile these proposed changes for House approval, with the goal of strengthening the NMDPRA and enhancing the downstream sector.
He disclosed that the Committee resolved to dismiss the petition asking for the dissolution of the NMDPRA because the PIA confer the appointing powers on the President, saying, “We cannot go back to the old order where every government fires people anyhow.
“We are not out to protect anybody. If anyone is found to have been engaged in corrupt activities, the law should be allowed to take its course.”
