The federal government has hinted at the possible sale of its four state-owned refineries as part of a broader plan to attract private investment, deepen competition, and enhance efficiency in the downstream oil sector.
Olu Verheijen, special adviser to President Bola Tinubu on energy, disclosed this during an interview with Joumanna Bercetche, Bloomberg TV anchor, on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) on Tuesday.
Verheijen said divesting the government’s ownership of the refineries managed by the Nigerian National Petroleum Company Limited (NNPC) is among several reform options being considered to reposition Nigeria’s energy industry for sustainable growth.
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“It’s one of the options that you have to consider if you find the right technical partner with the right capital,” she said.
She noted that the plants have been sustained for years by subsidies, which distorted market operations.
“Now that we’ve removed the subsidies, we’ve removed the distortions in that market,” Verheijen added, stressing that the government is determined to create a competitive and transparent downstream environment.
Nigeria’s four refineries, located in Port-Harcourt, Warri, and Kaduna, have a combined installed capacity of 445,000 barrels per day (bpd).
However, they have remained largely idle for decades despite repeated and costly turnaround maintenance (TAM) projects that have yielded little improvement.
According to Verheijen, under Tinubu’s administration, reforms in the energy sector are expected to prioritise efficiency, transparency, and private-sector participation, aligning with broader efforts to transition the petroleum industry to operate on purely commercial terms.
