Reps raise panel to oversight naira-for-crude policy

The Speaker of the House of Representatives, Abbas Tajudeen, on Wednesday inaugurated an ad-hoc committee to oversight the implementation of the Naira-for-Crude Policy, declaring that the exercise would test Nigeria’s resolve to reform its oil sector and stabilise the economy. The Naira-for-Crude policy was introduced by the federal government in 2024 to provide crude oil […]

The Speaker of the House of Representatives, Abbas Tajudeen, on Wednesday inaugurated an ad-hoc committee to oversight the implementation of the Naira-for-Crude Policy, declaring that the exercise would test Nigeria’s resolve to reform its oil sector and stabilise the economy.

The Naira-for-Crude policy was introduced by the federal government in 2024 to provide crude oil for local refiners with payment made in naira instead of dollars.

The policy being implemented by the Nigerian National Petroleum Company Limited (NNPCL) has not been effective over inadequate supply of crude.  

Speaking at the inauguration of the committee in Abuja, Abbas said the committee’s work was a “critical step towards ensuring transparency, accountability, and efficiency in one of the most important policy initiatives in our energy sector.”

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He explained that the Naira-for-Crude Policy carried “significant implications for Nigeria’s foreign exchange stability, revenue generation, and long-term energy security,” stressing that a thorough review was necessary to determine whether the policy was meeting its objectives.

 

“The House expects nothing less than a thorough, impartial, and well-documented process that will contribute to the overall stability of our economy,” Abbas said.

 

The Speaker added that the 10th House was committed to aligning its legislative oversight with President Bola Ahmed Tinubu’s Renewed Hope Agenda, particularly on economic reforms. 

 

He urged the committee to carry out its work “with integrity, objectivity, and dedication, bearing in mind that their recommendations will shape the course of this policy and influence the well-being of millions of Nigerians.”

 

Chairman of the Committee, Hon. Boniface Emerengwa, described the assignment as “a critical task that speaks directly to the heart of the nation’s economy.” He argued that despite Nigeria’s vast crude oil reserves, citizens had yet to fully reap the benefits due to foreign exchange volatility and overdependence on the dollar.

 

“The volatility of foreign exchange markets, over-dependence on the dollar, and the persistent challenges facing our economy make it imperative that we explore innovative ways to strengthen our currency, reduce external vulnerabilities, and secure long-term benefits for Nigerians,” Emerengwa said.

 

He explained that the Naira-for-Crude Policy was designed to denominate crude oil transactions in Naira rather than foreign currencies — a shift he said could boost confidence in the local currency, ease pressure on reserves, and enhance Nigeria’s sovereignty over its resources.

 

Emerengwa outlined the committee’s mandate to include examining the feasibility and sustainability of the policy, engaging stakeholders across government, industry, and finance, identifying risks and opportunities, and making evidence-based recommendations.

 

“We are committed to discharging this mandate with utmost diligence, transparency, and inclusiveness. We shall consult widely, deliberate deeply, and place national interest above every other consideration,” he assured.