The House of Representatives Committee on Petroleum Resources (Downstream) has sounded a stark warning over a potential fuel crisis in Nigeria. With petrol prices soaring and queues at filling stations already lengthening, the committee cautions that immediate corrective action is essential to prevent widespread scarcity.
At a press briefing in Abuja on Thursday, the committee chairman, Ikenga Ugochinyere, described the situation as a looming economic burden for Nigerians. He revealed that domestic refineries, particularly the Dangote Refinery, are struggling with crude supply constraints that threaten to destabilise fuel availability.
“Although the refinery is allocated 21 cargoes of crude oil, it currently receives only five,” Ugochinyere said, stressing that this shortfall is undermining refining capacity. He added that substandard crude grades and inflated prices through international intermediaries adding as much as $18 per barrel are worsening the situation, with costs ultimately passed on to consumers.
The lawmaker highlighted the urgent need for the Presidential Technical Committee overseeing the crude-for-naira initiative to address these bottlenecks within 48 hours. He also called for strict enforcement of the Domestic Crude Oil Supply Obligation under the Petroleum Industry Act 2021 to prioritise high-grade Niger Delta crude.
Global developments have compounded Nigeria’s fuel woes. Escalating geopolitical tensions in the Middle East particularly the Iran-Israel-U.S. conflict have triggered volatility in international crude markets. This has driven petrol prices worldwide, and in Nigeria, prices have surged from roughly ₦746–₦850 per litre to over ₦1,200 in many states.
The spike in fuel costs has amplified inflationary pressures across transport, food, and everyday living expenses. Analysts warn that without prompt intervention, Nigerians could face long queues, rising transport fares, and a deepening cost-of-living crisis.
Ugochinyere urged citizens to remain calm and avoid panic buying while calling on the government to act decisively. He stressed that Nigeria, as Africa’s largest oil producer, must ensure adequate domestic crude supply to protect its citizens from the fallout of global oil shocks.