Nigeria set to introduce new law that will protect domestic refinery operations

Nigeria is set to introduce a new law that will boost and protect the operations of local oil refineries, according to Business Day.

The new law, proposed as the ‘Refinery Protection and Promotion Bill’ by Nigeria’s House of Representatives this week, will aim to guarantee the plants’ access to crude oil supplies by introducing measures that guarantee unhindered access to feedstock.

It will also define refineries as strategic national assets and will minimise delays by simplifying regulations.

Revealing the news at the Annual Downstream Week Summit 2025 in Abuja, Ikenga Ugochinyere, chairman of the House Committee on Petroleum Resources (downstream), said that the proposed measure had been introduced in response to the current challenges facing Nigerian refineries.

 “We still face challenges, from feedstock shortages and pricing uncertainty to regulatory overlaps. To address these, the House Committee on Petroleum Resources [downstream] intends to pursue new legislative measures,” he said, adding: “This is how nations grow by empowering their local industries to produce, compete, and thrive which is in line with the Renewed Hope Agenda of this Administration. However, progress must be matched with persistence.”

According to the official, the measures are important steps towards ensuring investor confidence, strengthening energy independence and creating new jobs – and align with the nation’s stated goal of improving refining capacity and strengthening the economy.

As part of his speech, Ugochinyere also referenced the recent dispute between labour unions and 650,000 barrels per day (bpd) Dangote refinery, which resulted in the disruption of fuel loadings and distribution across the country, saying: “No reform can succeed without industrial harmony.” He continued: “Our shared goal must be to protect jobs, sustain businesses, and promote Nigeria’s economic sovereignty. To all operators in the downstream sector, let me emphasise that responsibility stands equal to profitability. Compliance with tax, safety, and environmental standards is not optional; it is a patriotic duty and a mark of true partnership in national development.”

The official went further by lauding fuel marketers and various other depot owners for maintaining the country’s energy supply chain under difficult conditions, noting: “Your resilience and commitment sustain the lifeblood of our economy and strengthen public confidence in the sector.”