…hails rising local refining output, sets up panels to investigate gas licences and money laundering allegations
By Gloria Ikibah 
The House of Representatives Committee on Petroleum Resources (Downstream) has passed votes of confidence on President Bola Ahmed Tinubu, the leadership of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and business mogul Alhaji Aliko Dangote, declaring that Nigeria’s quest for energy security is “now in the fast lane”.
The committee also announced investigations into two petitions involving gas distribution licences held by NIPCO Plc and allegations of money laundering and abuse of office against Dr Mumuni Dagazau, Executive Vice President, Downstream, of NNPC Limited.
The committee’s chairman, Rep. Ikenga Ugochinyere, disclosed both developments on Monday at a technical briefing marking the end of Downstream Week 2026, where he reviewed the committee’s activities and outlined its priorities for the sector.
Ugochinyere praised the NMDPRA Authority Chief Executive, Engr. Rabiu Abdullahi Umar, and the authority’s executive directors for what he described as “a job well done”.
According to him, the regulator had “brought stability where there was uncertainty”.
Figures presented at the briefing indicated that contributions from domestic refineries to Nigeria’s petrol supply had risen by more than 75 per cent, with no supply shortfalls recorded and more than 25 days of national sufficiency maintained.
The chairman also highlighted the commissioning of the Port Harcourt petroleum product laboratory, the licensing of what he described as Africa’s first petroleum liquid trading exchange, and the finalisation of a framework for a National Strategic Stock capable of providing up to 20 days of supply.
He said plans were in place to increase the reserve to 90 days in 2027.
Four conditions for energy security
Ugochinyere said the technical committee of Downstream Week had reached four major conclusions on the future of Nigeria’s petroleum sector.
These include the need to secure pipelines to guarantee supply, the growing importance of local refining, limiting imports to verified supply gaps and enforcing the Domestic Crude Supply Obligation.
He said: “Importation must be a supplement for verified shortfall, not a permanent substitute”.
The chairman also stressed that the Domestic Crude Supply Obligation “must be enforced, not merely recited”.
He disclosed that the committee had rejected a World Bank recommendation on import licences, insisting that “Nigeria’s energy policy must be written in Nigeria”.
Ugochinyere further revealed that the committee had opened an inquiry into allegations that some companies underpaid for crude oil. He said it had also questioned NNPC Limited over legacy transactions and refinery rehabilitation.
“We will not accept silence as an answer,” he said.
Reps investigate NIPCO gas licences
Beyond its review of the downstream sector, the committee announced the establishment of two sub-committees to investigate what Ugochinyere described as “two serious petitions”.
The first petition seeks an investigation, suspension and cancellation of gas distribution licences issued by the NMDPRA to NIPCO Plc for Lagos, Ogun, Oyo and Osun states, as well as the Lagos and Lekki Free Trade Zones.
The petitioners have also requested a public hearing on the matter.
The committee appointed Rep. Mathew Nwogu to chair the sub-committee investigating the petition, with Rep. Shehu Dalhatu serving as his deputy.
The panel is expected to conduct a preliminary investigation and report its findings to the main committee.
Seven-day probe into allegations against NNPCL executive
The second petition concerns Dagazau, whom the petitioners have accused of money laundering and abuse of office.
The committee appointed Rep. Aliyu Ibrahim Al-Mustapha to lead the investigation, with Rep. Cyril Hart as deputy.
The sub-committee has been given seven days to conduct a preliminary investigation and report back to the main committee.
Ugochinyere emphasised that the committee had not reached any conclusion on either petition, stressing that the parties involved would be given an opportunity to present their positions.
“These are allegations, and the Committee has reached no conclusion on them. All parties will be given a full and fair opportunity to be heard,” he said.
He, however, pledged that the committee will not ignore complaints affecting the integrity of the downstream petroleum sector.
He added that Nigerians will be informed of the outcome of the investigations.
Neither NIPCO Plc nor Dagazau had publicly responded to the petitions as of the time of the briefing.
Committee backs Dangote refinery, marketers
On the wider industry, Ugochinyere commended Dangote over the ongoing initial public offering of the Dangote Petroleum Refinery, saying it had brought “fresh momentum” to the downstream market.
He described the refinery, valued at approximately $20 billion, as an investment of strategic national importance, adding that the committee would protect it while ensuring fair competition.
The chairman also praised the Major Oil Marketers Association of Nigeria (MOMAN), the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) for investments in depots, jetties, trucks and filling stations.
He said members of the associations had “stepped in to close the gap” whenever domestic production fell short.
The committee also reaffirmed its commitment to advancing the Petroleum Industry Act (Amendment) Bill to strengthen provisions on crude feedstock, licensing, protection of local refiners and regulation of petroleum imports.
Ugochinyere said the measures were aimed at consolidating domestic refining, strengthening energy security and ensuring a more stable downstream petroleum market.
