The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) says the adoption of the Naira-for-Crude policy could mark a turning point in the country’s energy sector.
Addressing newsmen in Abuja, the National Public Relations Officer, PETROAN, Joseph Obele, expressed support for the move and made it clear that the policy, combined with the recent drop in global crude oil prices, will lead to more affordable fuel prices for Nigerian consumers.
“This is a strategic move aimed at reducing our dependence on foreign exchange, enhancing local refining capacity, and ultimately stabilizing the downstream sector,” Obele noted.
The Body further pointed out that this change will not only ease pressure on the foreign exchange market but also encourage investment in the country’s refining infrastructure and improve Nigeria’s overall energy security.
“This is a policy that supports local production and shields our economy from the volatility of the global oil market.
“When our refineries buy crude in Naira and process it locally, the cost of production reduces significantly, and that benefit can and should be passed on to end users,” he assured.
While highlighting the global context, PETROAN noted that a decline in international crude oil prices — triggered by slowing demand in major economies and increased output from non-OPEC producers — presents an opportunity for local price adjustments.
“The global oil market is experiencing a supply glut. Demand is weakening due to economic slowdowns in key economies, and non-OPEC countries are ramping up production. These factors are driving crude prices down,” he noted.
He associated the price drop to policy shifts in the international arena, stressing that “President Trump’s policy of reciprocal tariffs in the past contributed to the global economic slowdown, which in turn has had a deflationary impact on oil prices.
