Amid ongoing allegations of sabotage in Nigeria’s petroleum sector, the Senate has raised concerns over the $1.5 billion allocated in 2021 for the turnaround maintenance of the Port Harcourt Refinery, which has yet to show significant results.
The Senate’s concerns were voiced during a session with key industry stakeholders at the National Assembly Complex in Abuja. The meeting was attended by Finance Minister Wale Edun, NNPCL Group Managing Director Mele Kyari, NUPRC Chief Executive Gbenga Komolafe, and NMDPRA Chief Executive Farouk Ahmed.
The $1.5 billion was approved by the Federal Executive Council under former President Muhammadu Buhari for the rehabilitation of the Port Harcourt Refinery. Despite this substantial investment, the refinery remains largely non-operational, forcing Nigeria to rely heavily on imported petroleum products.
Senator Opeyemi Bamidele, who chairs the Senate Ad-hoc Committee investigating alleged economic sabotage in the petroleum industry, expressed frustration over the inefficacy of government-owned refineries despite massive investments in maintenance. Bamidele criticized the reliance on imported fuel, pointing out that Nigeria supplies about two percent of the global oil market while struggling with irregular fuel distribution and problematic supply issues.
Bamidele highlighted that successive administrations since 1999 have invested billions in the maintenance of state-owned refineries in Kaduna, Port Harcourt, and Warri, yet these facilities remain out of service. He emphasized that it is unjust for government enterprises to be neglected while private businesses prosper.
To address these issues, Bamidele announced that the Senate, in collaboration with the House of Representatives, will conduct a thorough investigation into the allegations of sabotage within the petroleum industry. He assured that the investigation will be conducted impartially and with a focus on national interest, promising that no one will be above scrutiny.
NNPCL’s Mele Kyari affirmed the corporation’s commitment to Nigeria’s interests, stating that the issues plaguing the sector are beyond NNPCL’s control. Finance Minister Wale Edun expressed confidence that an increase in crude oil prices would stabilize the country’s foreign exchange market and supported the committee’s unbiased approach to the investigation.