The NNPC Joint Venture Partner in the 100,000 barrels per day refinery now under construction within the Port Harcourt Refinery Complex, African Refinery Port Harcourt Limited, has applauded the audacious choice to eliminate the premium motor spirit (PMS) subsidy.
Omotayo Adebajo, the chief executive officer of African Refinery, urged Nigerians in a statement made available to journalists to exercise patience in the face of the immediate hardship brought on by the removal of the subsidy and to support the President’s strategic announcement, which in his opinion has been long overdue.
Although he acknowledges that the removal of the subsidy has led to higher pump prices, he is adamant that in the long run, the President’s action will increase investment in local refinery capacity in addition to the short-term benefit that the subsidy removal will free up money that can be immediately channeled by the new administration into high impact projects that would benefit the vast majority of Nigerians.
By strengthening the previous administration’s commitment to supporting local refinery projects initiated by Buhari through NNPC Limited’s strategic equity investment in African Refinery’s 100kbd project in Port Harcourt and the recently inaugurated Dangote Refinery in Lagos, he also used the occasion to urge President Tinubu to treat governance as a continuum.
He said that these initiatives are crucial to Nigeria’s efforts to end petroleum imports and ensure energy security, and they can only be successful with the Federal Government’s ongoing assistance.
As a result, he underlined the request that has been made in many quarters for the new administration to continue supporting investors in the private sector, particularly in the areas of access to feedstock and government-backed low-interest financing.
According to the Chief Executive of the ARPHL, the refinery project will significantly increase local production of refined petroleum products while preserving a more competitive market with numerous producers spread across various regions of the nation. The project is on track to be finished during the term of the new administration.
The corporation also anticipates that it, along with related initiatives, would help Nigeria become a net exporter of petroleum and petrochemical goods and commodities.
The company also gave notice and as part of these activities, a team of its foreign experts and consultants will arrive in Nigeria in June 2023 to conduct crucial surveys and to hold meetings with our partners and other industry stakeholders. The company also announced that it has started Front-End Engineering Design (FEED) activities, which marks a significant and critical milestone towards turning the vision of the refinery into a reality.
He continued by restating that African Refinery fully supports the President’s decision to eliminate all petroleum subsidies and is certain that this courageous move is the essential first step in our country’s effort to build a brighter and more prosperous future.
