Naira-for-crude policy gets strong backing, as NNPCL warned against Kyari’s reforms

President Bola Tinubu has received rave reviews following the restoration of the naira-for-crude policy, which the government described as a key policy directive designed to ensure sustainable local refining.

On Wednesday, April 9, 2025, the Federal Government announced through the Ministry of Finance that the naira-for-crude initiative with local refineries isn't a temporary measure. As such, the policy is still in effect and will continue immediately.

This followed a meeting on Tuesday between the Technical Sub-Committee on the Crude and Refined Product Sales in Naira initiative and representatives of Dangote Refinery.

The development nullified the earlier decision by the Nigeria National Petroleum Company Limited (NNPCL) under its immediate former Group Chief Executive Officer (GCEO), Mele Kolo Kyari, which halted the naira-for-crude policy.

Stakeholders had raised concerns over the potential negative impact the cancellation of the policy would have on forex demands and a hike in petrol pump prices.

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Meanwhile, a coalition of energy rights activists, under the auspices of Energy Justice Forum (EJF), has lauded the President for continuing the policy, asserting that the move benefits local refineries and the broader Nigerian populace.

In a statement by its National President, Dr Godknows Manager, on Friday, April 11, 2025, EJF noted that the policy shift would not only serve the interest of Dangote Refinery but also represent a long-overdue redirection for local refining capacity and everyday Nigerians who have long borne the burden of an import-dependent energy system.

The group described the decision as “the most patriotic intervention in Nigeria’s petroleum sector in recent history," and urged the newly appointed leadership of the NNPCL to align with the President’s reformist path.

“We must be clear — this policy is not about Dangote alone. It is about returning value to Nigerians, enabling refineries in Warri, Port Harcourt, and Kaduna to thrive, and ensuring that Nigerians are not perpetually held hostage to dollar-denominated fuel pricing,” Manager said.

“President Tinubu has restored dignity to our economic sovereignty. For the first time in a long time, the average Nigerian sees a glimpse of hope that our natural resources may finally work in our favour.”

NNPCL warned against Kyari’s 'dubious' reforms

However, the energy rights activists issued a stern warning to the new NNPCL GCEO, Bayo Ojulari, and board chairman, Ahmadu Musa Kida, urging them not to inherit what it called “the dubious, dollar-chasing reforms” of Kyari.

ALSO READ: Dangote shuts down fuel supply to Nigeria as naira-for-crude deal stalls

“It would be a fatal mistake for the new leadership at NNPCL to continue on the path of ruin orchestrated by Kyari — a path that nearly collapsed our economy, undermined local refining, and exposed the country to foreign exchange shocks,” Manager declared.

“We are watching closely. Nigerians are watching. And we will not hesitate to mobilise civil society resistance if old habits creep back in through the back door.”

EJF argued that Nigerians “deserve transparency, not tokenism; energy justice, not backdoor deals.

“There must be a clear audit of Kyari’s tenure — all contracts, all swaps, and all the shady transactions disguised as ’liberalisation’. We are demanding full disclosure and accountability.”

Manager further encouraged the new board to strengthen collaborations with indigenous investors and local engineers to ensure that Nigeria’s refining ambitions are realised.

“We cannot build a sustainable energy future on the back of secrecy and elitist policies. This is a new dawn. The new NNPCL must walk in light, not shadows,” he added.

ALSO READ: Nigerians demand probe of NNPCL over alleged suspension of naira-for-crude pact