Business, Politics

Federal Lawmaker Defends Dangote Refinery, Accuses NNPCL and NMDPRA of Sabotage

Published by Tope Fakinlede on August 2nd, 2024.

Federal Lawmaker Defends Dangote Refinery, Accuses NNPCL and NMDPRA of Sabotage

Hon. (Dr.) Philip Agese, Deputy Spokesman of the House of Representatives, has come to the defense of Dangote Refinery and Petrochemicals Company, denouncing what he describes as unfounded attacks aimed at discrediting the indigenous company. According to Agese, these allegations are part of a larger scheme by certain parties to maintain Nigeria’s energy crisis and favor international oil companies (IOCs).

Agese, representing the Ado/Ogbadibo/Okpokwu Federal Constituency in Benue State, has accused the Nigerian National Petroleum Company Limited (NNPCL) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) of attempting to undermine the Dangote Refinery. He asserts that these efforts are designed to benefit foreign entities at the expense of local industry.

In a statement released in Abuja, Agese expressed concerns over why regulatory bodies would seek to thwart the progress of Nigerian enterprises, suggesting that such actions could impede the country’s efforts to indigenize its oil and gas sector.

He criticized NMDPRA Chief Executive Officer Farouk Ahmed’s claims that Dangote Refinery produces inferior products compared to imports. Agese emphasized that preliminary parliamentary investigations have disproven Ahmed’s assertions. According to Agese, the Dangote Refinery, with a daily capacity of 650,000 barrels—making it Africa’s largest and the world’s seventh largest by capacity—is crucial for addressing Nigeria’s petroleum needs.

Agese pointed out that under the Petroleum Industry Act, NMDPRA’s role should be to support local refineries by ensuring a fair operating environment. Instead, he argues, Ahmed’s actions seem to hinder the growth of indigenous refineries and perpetuate economic neocolonialism.

He also refuted Ahmed’s claims regarding the refinery’s progress and product quality. The House Committees on Downstream and Midstream had tested samples from the Dangote Refinery, revealing sulfur content far lower than that of imported fuels, contrary to Ahmed’s statements.

Additionally, Agese criticized NNPCL for failing to fulfill its 20% stake commitment in Dangote Refinery, reducing its ownership to 7.2%. He alleged that NNPCL is colluding with other entities to deny Dangote access to crude oil while favoring IOCs.

Agese concluded by urging stakeholders and the public to recognize the importance of supporting local industry and addressing these regulatory challenges.