CNG welcomes crude oil sale in local currency

The Coalition of Northern Groups (CNG) has welcomed the federal government’s decision to sell crude oil in naira to domestic refineries as against earlier arrangement of payment in the dollars. CNG, in a statement by its national coordinator, Comrade Jamilu Aliyu Charanchi, said it views the decision as a positive step towards strengthening the nation’s […]

The Coalition of Northern Groups (CNG) has welcomed the federal government’s decision to sell crude oil in naira to domestic refineries as against earlier arrangement of payment in the dollars.

CNG, in a statement by its national coordinator, Comrade Jamilu Aliyu Charanchi, said it views the decision as a positive step towards strengthening the nation’s currency, economy and ensure self-sufficiency in oil production.

The coalition had called on the government to accept naira in lieu of the US dollar for the purpose of purchasing crude oil from domestic refineries.

“CNG believes that selling crude oil to Dangote Refinery in naira would not only help to reduce prices of fuel in the country, but would also be immensely beneficial to the economy as a practical solution that will have a positive impact on the lives of millions of Nigerians,” the statement said.

Therefore, CNG is certain that this approach would enhance transparency, boost local capacity and contribute to the growth of our refining sector, support our currency and make fuel consistently available at affordable prices.

CNG’s advocacy, therefore has been vindicated by the Federal Executive Council’s instruction to the Nigerian National Petroleum Company (NNPC) Ltd to sell crude oil in Naira for the purpose of domestic consumption.

“We believe crude oil transactions in naira in Nigeria will make the PMS permanently available and eliminate artificial scarcity that fuel importers have been using to milk Nigerians dry.
“Today, the CNG is pleased to see that President Bola Tinubu has taken decisive action in this direction. We view this move as a win-win for Nigeria, Nigerians and the refineries.
“We therefore commend the president for taking this bold decision and urge him to recommit more energy towards addressing major obstacles that strangle revival of our refineries and by extension stunting our economy through fuel importation.”

CNG therefore reiterates its call on the federal government to make genuine efforts towards revamping state-owned refineries in Kaduna, Port Harcourt and Warri in order to deepen competition among domestic refiners to enable Nigerians access quality and affordable fuel.

“The refineries must be revitalised and upgraded in order to meet our local needs to exterminate the import-dependent fuel crisis that is being orchestrated by the importing cartel.

“We urge the federal government to sustain this momentum and continue implementing policies that prioritise Nigerian interests.”

CNG used the opportunity to appeal to domestic refineries to take advantage of this opportunity to produce high-quality petroleum products that are cost effective and make it reasonably affordable to Nigerians devoid of exploitation.

In particular, it strongly suggests that activities at the Kolmani oil well in Bauchi-Gombe axis must continue in order to consolidate on the significant progress already made.