Naira-for-Crude Policy: CEDES Accuses NNPCL of Sabotaging National Interest
The Centre for Energy Development and Economic Sustainability (CEDES) has criticized the Nigerian National Petroleum Company Limited (NNPCL) over its controversial shift from the Naira-for-Crude policy, warning that the decision could cripple local refineries and deepen Nigeria’s reliance on fuel imports.
In a statement issued in Abuja on Tuesday, March 25, 2025, Dr. Umar Sani, Executive Director of CEDES, accused the NNPCL of prioritizing foreign exchange gains at the expense of local refiners, thereby working against the national interest.
Sani explained that the Naira-for-Crude arrangement had ensured a steady supply of crude to Nigerian refineries while helping the government conserve foreign exchange and reinvest in critical infrastructure.
“It is alarming that instead of strengthening local refining capacity, the NNPCL has chosen to undermine it by reverting to a dollars-for-crude system. This policy effectively suffocates local refineries by making crude oil inaccessible at reasonable rates. The ultimate aim is to drive Nigeria back into full dependence on fuel imports, benefiting only a corrupt few,” Sani stated.
He further explained that under the Naira-for-Crude system, the NNPCL was no longer able to justify excessive petrol import claims to facilitate fraudulent subsidy payments. The policy promoted transparency, saved the government substantial foreign exchange, and facilitated reinvestment in developmental projects.
“With this policy reversal, crude oil will once again be sold in dollars, fueling corruption, economic instability, and higher petrol prices for Nigerians,” he added.
CEDES Warns of Economic Fallout
The organization cautioned that the NNPCL’s new policy could result in:
- Increased fuel prices
- Petrol scarcity
- Rising inflation
- Worsening economic hardship for Nigerians
Call for Government Action
CEDES urged the federal government to immediately reverse the policy and reinstate the Naira-for-Crude system to support local refining and economic stability.
“We demand that the government uphold the Naira-for-Crude policy and stop this reckless sabotage of our local refining industry. The NNPCL must not be allowed to compromise Nigeria’s energy security and economic sovereignty,” Sani asserted.
The debate over Nigeria’s energy policies continues to intensify as stakeholders and industry experts weigh in on the impact of the NNPCL’s recent decision.
References
Naira-for-Crude Policy: CEDES Accuses NNPCL of Sabotaging National Interest