National Assembly Probes NNPCL Over 18 Billion Dollars Refineries Spending

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The House of Representatives has launched a formal investigation into the persistent non-functionality of Nigeria’s state-owned petroleum refineries, despite an estimated eighteen billion dollars spent on their rehabilitation over the past two decades. The decision was reached during Thursday’s plenary session, presided over by Deputy Speaker Benjamin Kalu, following a motion sponsored by Lagos lawmaker Oluwaseun Whingan.

Nigeria’s four government-owned refineries—two in Port Harcourt and one each in Warri and Kaduna—have remained largely dormant, forcing the country to depend heavily on imported refined petroleum products. These facilities, managed by the Nigerian National Petroleum Company Limited (NNPCL), have suffered years of neglect, mismanagement, and infrastructural decay.

Whingan, representing Badagry Federal Constituency, expressed deep concern over the lack of tangible results from repeated rehabilitation efforts. He noted that despite consistent budgetary allocations and turnaround maintenance projects spanning more than twenty years, the refineries remain inactive, raising serious questions about the stewardship of public funds.

The lawmaker referenced recent remarks by industrialist Aliko Dangote and former President Olusegun Obasanjo, both of whom cast doubt on the viability of the refineries. Their comments, Whingan said, have intensified public scrutiny and outrage over what many perceive as a colossal waste of resources.

He recalled that in 2007, under Obasanjo’s administration, Dangote and other private investors acquired the refineries. However, the subsequent administration of President Umaru Musa Yar’Adua reversed the privatization, opting instead for state-led rehabilitation—a decision that has yielded no significant operational improvements.

Whingan also cited a July 2025 interview with NNPCL’s Group Chief Executive Officer, Bayo Ojulari, who acknowledged the refineries’ continued dormancy despite massive investments. Ojulari suggested that selling off the assets might be necessary, a proposal that further fueled debate over fiscal accountability and strategic asset management.

The House expressed alarm over the absence of verifiable evidence of progress, describing the situation as a betrayal of public trust. Lawmakers emphasized that Nigeria’s energy security and economic resilience hinge on a functional downstream petroleum sector, especially in the wake of the fuel subsidy removal.

Whingan argued that a transparent and time-bound probe is essential to assess the current state of the refineries, evaluate the utilization of allocated funds, and determine the effectiveness of past rehabilitation efforts. He stressed the need to uncover any instances of mismanagement, corruption, or administrative failure.

In response, the House mandated its Committees on Petroleum Resources (Upstream, Downstream, and Midstream), Gas Resources, and Public Assets to conduct a comprehensive investigation. The probe will cover funds disbursed between 2010 and 2024 and examine the roles of agencies involved in the refineries’ upkeep.

The committees were directed to report their findings within four weeks, paving the way for further legislative action. Lawmakers hope the investigation will lead to meaningful reforms that safeguard future investments and restore confidence in Nigeria’s oil and gas infrastructure.

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