NIGERIA: FG Reaffirms Commitment To Petroleum Sector Reforms, Local Refining

By Ameenat Hamzat, Lagos, Nigeria 

The federal government has reiterated its commitment to strengthening Nigeria’s petroleum sector through ongoing reforms aimed at boosting local refining capacity, ensuring energy security, and improving operational efficiency across the oil and gas industry.

Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, made this known while addressing stakeholders during an industry engagement session, stressing that the administration remains focused on transforming the sector into a globally competitive industry.

Lokpobiri stated that government policies are deliberately structured to attract investment, enhance production levels, and stabilise the downstream petroleum market.

According to him, Nigeria is entering a new phase where local refining will significantly reduce dependence on fuel imports and support economic growth.

“Our objective is to create an enabling environment that encourages investment while ensuring that Nigerians benefit directly from the nation’s hydrocarbon resources,” he said.

The minister noted that ongoing reforms under the Petroleum Industry Act (PIA) are already yielding positive results, particularly in improving regulatory clarity and investor confidence.

He added that collaboration between government agencies, industry operators, and host communities remains critical to achieving sustainable development within the sector.

“We are prioritising policies that will enhance production efficiency, eliminate operational bottlenecks, and guarantee long-term sustainability in the petroleum industry,” Lokpobiri said.

The federal government also reaffirmed support for modular and large-scale refineries, describing local refining as central to stabilising fuel supply and strengthening national energy independence.

Officials explained that increased refining capacity would help curb foreign exchange pressures associated with petroleum imports while creating employment opportunities across the value chain.

The ministry further assured stakeholders that transparency, accountability, and regulatory compliance will remain guiding principles in the implementation of petroleum reforms.

Industry analysts believe sustained policy consistency and infrastructure investment will be key to unlocking the full potential of Nige

ria’s oil and gas sector.