A renowned development economist, Otunba Ayobami Oyalowo, has stated that the Nigerian National Petroleum Company Limited (NNPCL) poses a danger to Nigerian society, asserting that its activities are opaque, non-transparent, and exploitative of Nigerians.

Oyalowo emphasized that as long as no one is held accountable for their actions and there are no consequences for misconduct, these issues will persist.

Similarly, Muda Yusuf, Executive Director of the Centre for the Promotion of Private Enterprise, expressed concern about the strained relationship between NNPCL and Dangote Refinery, stating that it is frustrating the latter. He added that the recent petrol price hikes were intended to sustain petrol importation in Nigeria.

Both Oyalowo and Yusuf made these comments during an interview with Channels Television on its Sunrise show on Tuesday, monitored by TheReporter. They were responding to the ongoing developments between NNPC and Dangote Refinery regarding the pricing of petrol.

Recall that NNPC announced a fresh petrol price hike in its retail outlets following the supply from Dangote Refinery, alleging that Dangote priced its product at N898 per litre, a claim that Dangote has disputed.

Reacting to the situation, Oyalowo asserted, “The NNPC is a danger to the society called Nigeria. They have not told us the truth and for long they have not been telling us the truth. They have spent billions of dollars on turnaround maintenance on our state-owned refineries.

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“Till today, they have thousands of staff drawing their salaries while they have not refined one drum of fuel. So, the NNPC has been opaque, non-transparent, deceiving, and taking advantage of Nigerians.

“Now, regarding the Dangote issue, nobody is telling Nigerians the truth. They will say one thing, and Dangote will say another. I have never seen Dangote issue as many statements in my life until recently. Clearly, there is something going on between the two that they are not disclosing to Nigerians. But NNPC has been a pain to Nigerians. Recently, the Group MD of NNPC told us that the Port Harcourt refinery would start refining. In fact, they went to flare gas and pretended that they were doing something, but as we speak, the refinery is doing nothing. The issue is that nobody is being held accountable for it, and as long as there are no consequences for actions, this will continue.”

In the same vein, Muda Yusuf expressed concern about the dramatization of Dangote Refinery’s pricing by NNPC. Yusuf, a former Director General of the Lagos Chambers of Commerce and Industry (LCCI), stated that the recent waves of petrol price increases are alarming because the product is sourced from Dangote Refinery, whereas the hikes are due to the overstretched pressure of fuel subsidy.

He argued that the cost of petrol from Dangote Refinery should not be more expensive than imported products in terms of landing cost.

“The government itself is overstretched by the pressure of subsidizing this petroleum product. If you want to walk away from the subsidy, you will need to make an announcement; you cannot tell us that what we are buying from Dangote is costlier than what we are importing in terms of landing cost. This is not possible.

“We need political commitment to end petrol importation. If we want to transform the economy, we need to move quickly to domesticate or localize transactions. The number one case is petroleum products.”

Regarding the challenge of identifying and punishing those frustrating the $20 billion investment of Dangote Refinery, Yusuf said, “It is not difficult to do. The buck stops at the table of the President. We didn’t vote for NNPC, and its activities are significantly impacting the welfare of Nigerians and the state of the economy. That is why the President, in his capacity as the Minister of Petroleum and as the President of the country, needs to intervene.

“We have more multi-billionaires in this country; how many of them have thought it wise to invest significantly here? Some of them stash their money abroad. The government needs to support investors.

“Imagine if we stop spending $10 billion annually on the importation of fuel; think about how this would positively impact our foreign reserves, exchange rate, and microeconomic environment. Our economy is highly import-dependent and very sensitive to foreign exchange and energy prices,” Yusuf stated.

Oyalowo criticized NNPC for its lack of transparency regarding petroleum imports and its apparent intent to frustrate efforts to stop fuel importation.

“It’s very funny. NNPC has never told Nigerians where they are bringing the imported fuel from—whether it is Norway, Malta, or Finland. They have not disclosed how much they are refining it there and at what price they are selling it. But suddenly, NNPC claims Dangote is selling at a particular price. It is terrible what NNPC is doing to Nigeria. It is evident that some people don’t want fuel importation to stop.

“Some people thrive and profit in chaos and when things are bad for the country. Anyone with half a brain, not even an economist, will understand that our biggest problem in the country is our reliance on importation, and that is why we are where we are today. So, if we are now getting some level of relief from local production with Dangote Refinery, why are these forces so intent on stifling it? The President has been traveling the world seeking foreign investment, but if a local investor is treated this way, why would any foreign investor want to invest in a country where they will be treated poorly? It is clear that some people benefit from the opaque operations of NNPC,” Oyalowo remarked.

Oyalowo concluded by stating that the President, as Minister of Petroleum, must take decisive action. “I think it is time for the President to wield the big stick. It is evident that whatever is happening in NNPC is not in the best interest of Nigerians. I believe it is time to clear the Augean stables, so we can achieve some level of transparency and allow Nigerians to breathe a sigh of relief. This is not just about Dangote; it is about how our investors are treated in a system that desperately needs substantial investment. We have one significant investor already, and we are doing everything to stifle it,” Oyalowo said.