The House of Representatives has warned that Nigeria may be plunged into another round of petrol scarcity within the next 48 hours if urgent steps are not taken to address disruptions in the fuel supply chain.
The Chairman, House Committee on Petroleum Resources (Downstream), Ikenga Ugochinyere, raised the alarm on Thursday during a press briefing at the National Assembly in Abuja, describing the situation as a looming crisis capable of worsening the hardship faced by Nigerians.
Ugochinyere said findings from the committee’s oversight revealed that the country was already facing critical bottlenecks that could trigger nationwide fuel shortages, long queues at filling stations and a possible spike in pump prices.
He noted that unless the challenges were resolved within the next 48 hours, fuel distribution across the country could be severely disrupted.
According to him, the anticipated increase in petrol prices is not driven by government policy but by systemic inefficiencies within the supply chain.
The lawmaker identified inadequate crude oil supply to the Dangote Refinery as a major factor threatening fuel availability.
He disclosed that although the refinery is allocated about 21 cargoes of crude oil and requires at least 15 cargoes to operate optimally, it is currently receiving only five.
“This shortfall is already undermining refining capacity and poses a direct risk to fuel availability across the country,” he said.
The committee also expressed concern over the quality of crude supplied to domestic refineries, alleging that substandard grades were being delivered to facilities designed for higher-quality inputs.
It stressed the need to prioritise high-grade crude from the Niger Delta to improve refining efficiency and stabilise output.
Ugochinyere further decried the role of foreign intermediaries in the crude oil supply chain, accusing middlemen based in London and Dubai of inflating costs for local refiners.
According to him, crude oil produced in Nigeria is being resold to domestic refineries at higher prices, with intermediaries adding significant premiums.
“For every barrel priced at $100, refineries end up paying about $118, with the extra $18 going to intermediaries who add no value,” he said.
He added that the premium on crude had surged from between $2 and $4 per barrel to over $18, describing the arrangement as exploitative and unsustainable.
The committee warned that the additional costs were ultimately transferred to consumers through higher fuel prices and increased supply instability.
It called for strict enforcement of the Domestic Crude Oil Supply Obligation under the Petroleum Industry Act, alongside an urgent review of crude quality standards.
The lawmakers also urged President Bola Tinubu to issue a directive compelling compliance by relevant stakeholders in order to safeguard the country’s domestic energy supply.
While appealing to Nigerians to remain calm and avoid panic buying, Ugochinyere cautioned that failure to act within the critical window could lead to widespread scarcity, rising transport fares and a further spike in the cost of living.
The warning comes amid heightened volatility in the global oil market, worsened by tensions involving the United States, Iran and Israel, which have driven up crude oil prices.
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