The Federal Government has reaffirmed that the naira-for-crude policy remains in place, dismissing claims that it has been discontinued.
In a statement on Monday, the chairman of the Federal Inland Revenue Service (FIRS) and head of the Technical Sub-Committee, Zacch Adedeji, clarified that reports suggesting the suspension of the policy are misleading and do not reflect the ongoing efforts under the Federal Executive Council’s initiative on domestic crude oil sales.
“The policy framework that allows crude oil sales in naira for domestic refining remains in effect,” Adedeji stated. “This initiative was established to enhance supply stability and maximize the use of local refining capacity.”
He further emphasized that no policy-level decision has been made to halt the initiative, nor is such a move under consideration. According to him, the policy has demonstrated clear benefits over the past months, proving to be a positive step for the economy.
Adedeji also reassured that local refineries are not excluded from accessing domestic crude supply. The allocation process continues through structured agreements, balancing factors like availability, demand, and market conditions.
He noted that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) is actively ensuring compliance with the Domestic Crude Oil Obligations provisions outlined in the Petroleum Industry Act.
The government remains committed to the policy’s core objectives, which include boosting local refining capacity, reducing foreign exchange reliance, and ensuring a stable domestic fuel supply.
The clarification comes in response to speculation that the policy had been abandoned, allegedly leaving domestic refineries dependent on international crude purchases.