The Dangote Group has openly criticised the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) for its failure to enforce a key provision of the Petroleum Industry Act (PIA), saying that the NUPRC has not delivered on the allocation of 29 million barrels of crude oil to the Dangote Petroleum Refinery and Petrochemicals.
In a press statement released on Friday by the Group Chief, Branding and Communications Officer, Anthony Chiejina, the management of Dangote expressed frustration over the lack of direct access to crude oil from Nigerian producers, despite a recent allocation announcement.
The NUPRC had earlier stated that it facilitated the allocation of 29 million barrels of crude oil to the Dangote Refinery. However, Dangote Group, in its statement, revealed that they are yet to receive these cargoes. The company thanked the NUPRC for the allocation but pointed out the discrepancy between what has been announced and the actual deliveries.
This situation comes on the heels of the broader implementation of the Petroleum Industry Act (PIA), which was signed into law in August 2021. The Act aims to overhaul the Nigerian oil and gas industry with provisions designed to increase transparency, improve efficiency, and attract investment.
A key component of the PIA is the requirement for Nigerian refineries to purchase crude directly from domestic producers, bypassing international traders who have long dominated the market.
