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From Ndubuisi Orji, Abuja
The House of Representatives has disclosed plans to amend the Petroleum Industry Act (PIA) and enact new legislation to guarantee crude oil supply to domestic refineries, protect investments in local refining and reduce uncertainty in the downstream petroleum sector.
Chairman of the House Committee on Petroleum Resources (Downstream), Ikeagwuonu Ugochinyere, disclosed this on Monday at a technical briefing on Downstream Week 2026, warning that inadequate crude oil supply poses a major threat to the survival and expansion of indigenous refineries.
Ugochinyere said the proposed legislative interventions would address feedstock shortages, guarantee fair market access and establish a stable policy environment for refinery operators and crude oil producers.
“We are legislating on feedstock-related issues, particularly the non-availability of crude oil to our domestic refineries. A refinery without reliable crude is an investment at risk. Our aim is a framework that makes domestic supply dependable and commercially workable for producers and refiners alike,” he said.
The lawmaker stressed that the House was determined to protect investments in domestic refining through stronger legal provisions rather than leaving critical operational requirements to administrative discretion.
“We are addressing the issues facing domestic refineries so that the investments now being made in local refining capacity are secure and can grow. This Committee will push for stronger laws to support local refineries, so that crude supply, fair access to the market and a stable policy environment are guaranteed by statute rather than left to chance,” he added.
Reviewing the committee’s activities in 2026, Ugochinyere said lawmakers had rejected a World Bank recommendation concerning petroleum import licences, insisting that Nigeria’s energy policies must prioritise national interests and the development of indigenous refining capacity.
“We stood for our indigenous refineries and rejected the World Bank’s recommendation on import licences. We have maintained our stand on clear rules for importation, and on the principle that Nigeria’s energy policy must be written in Nigeria.”
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He also disclosed that the committee had commenced an investigation into alleged underpayments for crude oil by certain companies, leading to the establishment of a Sub-Committee on Crude Pricing and Revenue Integrity.
According to him, the investigation forms part of the House’s efforts to strengthen transparency, protect government revenue and ensure accountability in petroleum transactions.
“We opened an inquiry into the underpayment for crude by certain companies and constituted a Sub-Committee on Crude Pricing and Revenue Integrity.”
Ugochinyere further said the committee had intensified oversight of pipeline security arrangements through the Joint Parliamentary Roundtable on Pipeline Security, requiring security agencies, Nigerian National Petroleum Company Limited (NNPC Ltd) and surveillance contractors to provide regular accounts of their operations to the National Assembly.
He disclosed that the committee had also demanded explanations from NNPC Ltd on legacy transactions and the rehabilitation of government-owned refineries.
“Through the Joint Parliamentary Roundtable on Pipeline Security, we placed the security agencies, NNPC Limited and the surveillance contractor on regular account to this Parliament. We have asked NNPC Limited hard questions on legacy transactions and on the rehabilitation of our refineries, and we will not accept silence as an answer,” he said.
The committee chairman maintained that reliable crude oil supply, transparent pricing, effective pipeline security and a predictable regulatory framework were essential to protecting existing refining investments and encouraging further expansion of domestic capacity.
He reiterated the House’s commitment to legislative and oversight measures aimed at strengthening local refining and ensuring that the country’s petroleum resources support domestic industrial development.
