Port Harcourt, Nigeria – November 27, 2024 – Stakeholders in Nigeria’s oil and gas sector have expressed optimism over the resumption of operations at the Port Harcourt Refining Company, citing potential benefits including reduced fuel prices and job creation. The Nigerian National Petroleum Company Limited (NNPCL) inaugurated the 60,000 barrel per day capacity refinery on Tuesday, a key development in the country’s energy sector.
Competition Set to Drive Fuel Price Reduction
The Independent Petroleum Marketers Association of Nigeria (IPMAN) welcomed the refinery’s reopening, believing it will introduce healthy competition, particularly with Dangote Refinery, which may push down fuel prices. Tekena Ikpaki, IPMAN Chairman in Rivers State, emphasized that the competition between both refineries will be beneficial for Nigerians. “This is the best thing to happen to Nigeria, as it will lower fuel costs through market competition,” he said, adding that recent price reductions from Dangote Refinery were likely influenced by Port Harcourt Refinery’s resumption.
Positive Impact on Job Creation and Economic Growth
Alongside price reduction, stakeholders believe the refinery will generate significant job opportunities and contribute to Nigeria’s economic growth. The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) voiced similar sentiments, stating that the refinery’s revival would boost the country’s economy while enhancing competition in the downstream sector. PETROAN’s National Public Relations Officer, Joseph Obelle, praised both the NNPC leadership and President Bola Tinubu for their roles in ensuring the refinery’s rehabilitation.
Test Run Marks Initial Success
Though the refinery’s operations have just begun, the loading of trucks on Tuesday signals a successful test run. Ikpaki noted that while operations are still in the early stages, the facility’s revival marks a turning point. He predicted that the refinery would soon be fully operational, with an influx of trucks delivering fuel across the country as the process stabilizes.
Collaboration Between Stakeholders for Nationwide Distribution
PETROAN confirmed its commitment to working with NNPCL and retail managers to ensure that petroleum products from the Port Harcourt Refinery are effectively distributed across Nigeria. The association’s focus will be on ensuring the smooth flow of fuel from the refinery to all regions. Obelle further expressed optimism that the refinery’s reopening would bring stability to Nigeria’s fuel supply and improve logistics within the sector.
Call for Improved Infrastructure and Support
While stakeholders celebrate the refinery’s reopening, there are calls for continued support and infrastructure development. Obelle urged the government to expedite the completion of the East-West Road, which is crucial for smooth transportation of refined products. Both IPMAN and PETROAN commended the peaceful efforts of the host communities in supporting the refinery’s rehabilitation.
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