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Fuel price may crash to N500 per litre-Marketers

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Strong indications emerged at the weekend that prices of Premium Motor Spirit (PMS), popularly called petrol, may crash further in 2025.

Industry experts, who spoke to Saturday Sun, noted that petrol, which currently sells for between N900 and N950 in many fuel stations, may have its price further crashing to as low as N500 a litre in the course of the year.

According to oil stakeholders, the likely drop in prices of petrol in 2025 is premised on a strong downstream sector propelled by the deregulation policy of the federal government.

According to industry players, other reasons for the price drop include stable foreign exchange policy, price competition, Naira-for-crude policy and the coming on stream of the Port Harcourt, Warri, and Dangote refineries. They also affirmed that for the refineries to sell their products in the domestic market and accept payment in naira will contribute to price fall.

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The Federal Executive Council (FEC) had last July approved the sale of crude to local refineries for payment in naira.

In addition to this is the rebound of activities by modular refineries, which are now upbeat about the downstream sector and have concluded plans to add petrol refining to their stable of products in addition to diesel which hitherto was their sole product line.

This comes as Nigeria’s current daily petrol consumption has hit approximately 40 million litres with local production. According to truck out data from the Nigerian Midstream and Downstream Regulatory Authority (NMDPRA), Dangote Refinery contributes an average of seven million litres while NNPCL controls 1.2 million litres, bringing the total to 8.2 million litres.

Modular refineries are out of the picture as they only produce diesel for now. The country currently has about 25 licensed modular refineries but only five are in operation.

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This means that only 20.5 per cent of the country’s petrol need is met through local refining, while the remaining 79.5 per cent or 31.8 million litres are imported.

At the moment, the Dangote Refinery is producing about 30 million litres of petrol but only injects about seven million litres into the domestic market, a figure which increased by five million litres in October, up from its initial 25 million litres.

On the contrary, the 125,000 barrels per day Warri Refining and Petrochemical Company (WRPC), which commenced operations a few days ago, is operating at 60 per cent capacity with the production of Kerosene, Diesel and Naphtha.

Prior to the commencement of operations of Warri refinery, the 60,000 barrels per day old Port Harcourt Refinery, which commenced operations over a month ago, is injecting about 1.4 million litres of petrol via blending with straight-run gasoline, 1.5 million litres of diesel and 2.1 million litres of LPFO.

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According to the Group Chief Executive Officer (GCEO), NNPC Ltd, Mr Mele Kyari, the 150,000 Port Harcourt Refinery 2 is currently undergoing rehabilitation and is at 90 per cent completion stage, ditto for the Kaduna Refinery which is also undergoing rehabilitation. But a presidency source told Saturday Sun that the Kaduna Refinery may not come on stream anytime soon due to the huge cost implication and other technical reasons.

Though Kyari had recently said NNPC was no longer importing petrol, major marketers and some private depot owners were still importing about 30 million litres daily to bridge supply shortfall.

But the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Mr. Ukadike Chinedu, in a telephone interview with Saturday Sun, said the coming on stream of Port Harcourt and Warri refineries is a game changer for the downstream sector as it will promote a healthy price competition as already being witnessed.

He said both the Nigerian National Petroleum Company Ltd and Dangote have reduced prices in the last three weeks, a signal to the gains of multiple sources of production.

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Besides, he said the coming on stream of the NNPC Ltd refineries in addition to Dangote’s gives petroleum marketers and consumers the option of multiple sources of products as against a monopoly market.

Ukadike was upbeat that this development will see prices of petrol drop further below N500 per litre in 2025 as more players add capacity to refining petroleum products.

Again, he said the foreign exchange policy of the Federal Government is already yielding some positive results with a dollar exchanging for less than N1,800, adding that if this trend is sustained, petroleum prices would crash further because more foreign exchange would be conserved when products are no longer imported.

He further disclosed that more modular refineries are now beginning to take steps to add petrol refining to their line of product because they are now certain of the market through improved product demand.

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According to him, all these improvements being witnessed in the sector is as a result of the deregulation of the downstream sector, which promotes efficiency, healthy rivalry and price competition among players to the benefit of the consumers.

The IPMAN Publicity Secretary further pointed out that the naira-for crude policy of the Federal Government is a major factor that will shape petrol prices in 2025 as it would tame inflation and reduce foreign exchange pressure

Also speaking, the President of the Petroleum Products Retail Owners Association of Nigeria (PETROAN), Mr Billy Harry, aligned with Ukadike.

Harry assured that the coming on stream of the Port Harcourt and Warri refineries would lead to cheaper fuel options for Nigerians.

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The PETROAN President maintained that the possibility of affordable petrol for Nigerians is very feasible in 2025.

‘’As you can see, NNPC has reduced its ex- depot price from N1, 045 per litre to N899 per litre for marketers, translating to N925 per litre at the pumps for the end users. This, I must say, is very commendable. These are not small drops, but massive drops from N1, 045 to N899 ex- depot is a lot of drop.”

On the other hand, he said the Dangote refinery equally implemented a similar ex- depot price slash from N970 to N899.50 per litre. He pointed out that with the consistent availability of petroleum products, competition will set in and prices of petroleum products will drop further in the New Year.

In his submission, the Publicity Secretary of Crude Oil Refiners Association of Nigeria (CORAN), Mr Iche Idoko, said Nigerians would gradually begin to witness the gains, which is typical of a deregulated market.

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“Price drop is one of the characteristics of deregulation we had highlighted. As the industry settles in to the regime of full deregulation, we are bound to see competitions amongst players, which ultimately will benefit the consumers.”

According to him, these competitions will be around prices, product quality, and credit lines available to bulk buyers.

This, he said, are the advantages that local refining brings. As more local refineries come on stream in the coming months, the industry shall see these positive trends of refiners and suppliers wooing consumers with price reduction and all manner of incentives.

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Reps Pass For Second Reading Bill To Enhance Rural Agricultural Innovation

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By Glori Ikibah 

The House of Representatives has passed through second reading, a bill seeking to amend the Agricultural Research Council of Nigeria Act, by expanding its mandate to establish specialised training institutions across the country to deepen national agricultural productivity capacity.

The piece of legislation is titled, ” A Bill for an Act to Amend the Agricultural Research Council of Nigeria Act, Cap. A12, Laws of the Federation of Nigeria, 2004, to Provide for the Establishment of Certain Specialised Colleges; and for Other Related Matters”, was sponsored by the Deputy Speaker, Rep. Benjamin Kalu and six others.

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Leading the debate on the general principles, on Wednesday at plenary, Rep. Kalu restated that agriculture remains a vital part of Nigeria’s economy and a key driver of rural development, job creation, food security, and national GDP. 

According to him, Nigeria continues to face glaring gaps in research and innovation, especially in regions where unique agricultural potential remains untapped due to the absence of tailored educational institutions. 

That is what this bill seeks address,  by bridging this gap. He explained that the amendment will not simply be adding institutions, but will serve as an investment in untapped potential, and empowerment of those whose hands feed the nation. 

Kalu is hopeful that when the bill is signed into law, it will lead to stronger agricultural research ecosystem; more employment and entrepreneurship opportunities for Nigerians; greater food security and overall economic growth. 

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He said: “this is not merely to introduce a legislative proposal, but to lay before this Peoples House a vision to take agricultural education into the fabric of our national development strategy and effort. A vision that recognises that research and innovation must not remain in silos or city centres, but must live where the land is tilled, where the livestock roam, where the rivers run. 

“Through this amendment, we are not simply adding institutions — we are answering a national call -a call to invest where there is untapped potential, to empower those whose hands feed the nation, and to deepen our national agricultural productivity capacity by expanding the mandate and reach of the Agricultural Research Council of Nigeria through the establishment of specialised training institutions in various parts of our great nation by establishing certain specialised agricultural colleges in strategic locations across the six geo-political zones. 

“This bill which comprises three clauses principally seeks to amend the Third Schedule of the Principal Act to provide for the establishment of the following specialized colleges of agriculture – (a) Federal College of Veterinary and Medical Laboratory Technology, Bende, Abia State; (b} Federal College of Land Resources Technology, Takum, Adamawa State.

“(c) Federal College of Land Resources Technology, Ikole Ekiti, Ekiti State; (d) Federal College of Freshwater Fisheries Technology, Ikot Ekpene, Akwa Ibom State; (e) Federal College of Anima} Health and Production Technology, Dange Shuni, Sokoto State; (f} Federal College of Animal Health and Production Technology, Olamaboro, Kogi State.”

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Nigeria Congratulates Friedrich Merz on Election as Germany’s New Chancellor

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By Gloria Ikibah

The Federal Government of Nigeria has extended heartfelt congratulations to the Federal Republic of Germany on the election of Friedrich Merz as the new Chancellor.

Merz, leader of Germany’s conservative bloc, secured his position with 325 votes in the 630-seat Bundestag during a vote held on Tuesday, May 6, 2025. His emergence marks a new chapter in German leadership and has been hailed by Nigeria as a demonstration of the strength and maturity of Germany’s democratic system.

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In a statement signed by Kimiebi Imomotimi Ebienfa, spokesperson of the Ministry of Foreign Affairs, Nigeria praised the peaceful and transparent electoral process that led to Merz’s victory and commended Germany for its steadfast commitment to democratic values.

“Nigeria commends Germany’s strong democratic traditions and values, which have once again been demonstrated through a peaceful and transparent electoral process.

“We are confident that under Friedrich Merz’s leadership, Germany will continue to play a pivotal role in advancing global peace, stability, and prosperity”, the statement read.

The statement reaffirmed the long-standing ties between Nigeria and Germany, highlighting key areas such as trade, investment, security, and sustainable development as critical pillars of cooperation.

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“As longstanding partners, Nigeria looks forward to deepening bilateral relations with Germany in areas of mutual interest”, Ebienfa said, as he stressed Nigeria’s readiness to collaborate further in multilateral spaces like the United Nations.

Nigeria conveyed best wishes to the new Chancellor for a successful tenure and reiterated its willingness to work closely with Germany for the mutual benefit of both countries and the international community.

Friedrich Merz succeeds Olaf Scholz as Chancellor, taking the reins at a time of significant political and economic shifts in Europe.

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High Airfare Costs Hindering West African Unity – Speaker Ibrahima

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…as ECOWAS say airfare within the region is highest

By Gloria Ikibah

Speaker of the ECOWAS Parliament, Hon. Mémounatou Ibrahima, has raised concerns over the soaring cost of air travel across West Africa, warning that it poses a serious threat to regional integration and the free movement of citizens.

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Speaking on Tuesday at the opening session of a regional parliamentary meeting in Lomé, Togo, Ibrahima said the current state of air transport within the sub-region is far from ideal, especially for a region that has long preached the gospel of unity and seamless mobility.

“Without affordable and efficient transport systems, the dream of a truly integrated West Africa will remain out of reach,” she said.

The meeting, which falls under the Sixth Legislature’s delocalised sessions, brought together members of the ECOWAS Parliament’s Joint Committee on Infrastructure, Energy and Mines, Agriculture, Environment, and Natural Resources. The session is themed: “Air Transport as a Means of Integration for West African Peoples: A Strategy for Reducing Airline Ticket Costs.”

Participants included aviation experts, policymakers, and civil society actors, all focused on developing workable strategies to address the high cost of airfares—a problem many say discourages both business and cultural exchanges among member states.

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Ibrahima underscored the importance of air transport not only for economic growth but as a symbol of unity in a region where road networks remain underdeveloped and borders, though open in theory, are still difficult to cross in practice.

She blamed the soaring airfares to multiple taxes and charges imposed across airports in the region, fragmentation of the aviation market and poor infrastructure.

She said: “The theme that brings us together today, ‘Air Transport as a Means of Integration for West African Peoples: A Strategy for Reducing Airline Ticket Costs,’ is of paramount importance to our community. It reflects a major issue facing our citizens: the prohibitive costs of air travel between our countries, which hinder the free movement of people and compromise our ambitions for regional integration.

“Therefore, there is no need to emphasize the importance of air transport in a country’s economy, especially within a sub-regional community. Indeed, air transport is an essential lever for economic development and sub-regional integration. It promotes trade, stimulates tourism, strengthens cultural and social ties, and contributes to the growth of our economies. In reality, there can be no free movement without transport facilitation. And among these facilitations, transport costs figure prominently.

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“These airports contribute financially to state budgets in several ways, including landing fees, air ticket taxes, security taxes, non-aviation taxes, and revenues from commercial activities at the airport. However, it is clear that all these fees make air ticket costs prohibitive within the ECOWAS region, thus hampering a major driver of development: tourism.

“For my part, several factors may contribute to the high cost of air fares in our region. These include, among others: excessive taxation and high airport fees; a fragmented aviation market, with national airlines operating in isolation rather than in synergy; a lack of modern infrastructure adapted to the needs of air transport; weak implementation of agreements liberalizing African airspace, notably the Yamoussoukro Declaration.”

The Speaker further warned of the implications for the region’s long-term goals, noting that the ECOWAS Vision 2050 would remain elusive without an efficient and affordable air transport system.

“If we are to achieve the objectives of the third pillar of ECOWAS Vision 2050, ‘Economic Integration and Interconnectivity,’ it is up to us, as representatives of the peoples of ECOWAS and in view of our responsibility in the Community’s decision-making process, to explore viable and sustainable solutions. Our role is crucial in the realization of these reforms”, she warned.

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Ibrahima therefore urged the Legislature to develop strong recommendations that would guide Member States and relevant institutions in establishing a policy framework for more accessible regional air transport.

“I am convinced that the discussions that will take place during this meeting, to which we have invited African air transport experts and leaders, will be fruitful and will lead to concrete proposals to address this major challenge.

“Together, let us commit to working towards more efficient regional aviation, serving the integration and development of our community and for significant progress towards the Sustainable Development Goals (SDGs) and the aspirations that underpinned the African Union’s Agenda 2063”, she added.

Delivering the keynote address, Vice-President of the Togolese National Assembly, Dzereke Yao, described the theme of the meeting as both timely and crucial. He stressed that the issue of air travel within West Africa can no longer be treated as secondary, given its central role in connecting economies and people across the sub-region.

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Yao warned that the high cost of airline tickets is steadily eroding the progress made toward regional integration, arguing that it discourages interaction, trade, and mobility among citizens of ECOWAS member states.

He also used the occasion to commend President Faure Essozimna Gnassingbé for what he called his consistent commitment to African unity and cross-border collaboration.

According to him, “Togo continues to play a pivotal role in ECOWAS affairs, thanks to the President’s leadership and the country’s steady investment in aviation and transport infrastructure”.

Yao urged delegates to approach the meeting with a clear sense of purpose, insisting that the deliberations must result in actionable outcomes  and not just talk.

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“This gathering must produce more than a communique,” he said. “The citizens of West Africa are waiting for real solutions that will make regional travel less of a luxury and more of a right.

“This paradoxical situation merits our attention because our community boasts considerable potential, whether in population size, economic growth, or youthful dynamism.

“I therefore hope that it will lead to solid, pragmatic, and ambitious recommendations,” he urged, adding that a competitive and open airspace would benefit all citizens in the region”, he said.

Yao explained that the geographical location of Togo and modern facilities, gave the country a strategic edge in facilitating regional air mobility.

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The vice-president also ememphasised the importance of translating political will into sustainable reforms that will boost connectivity and unlock economic opportunities across the sub-region.

Alao ECOWAS Commissioner for Infrastructure, Energy and Digitalization, Sédiko Douka, disclosed that recent studies conducted by renowned organizations showed that air transportation within West Africa is still less than 10 percent, which represents the lowest.

According to Douka, this situation has become a barrier to the integration of the region. This is as he said the ECOWAS leadership was concerned with the situation and has mandated the Commission to coordinate and harmonize the air transport policies, programs, and projects of Member States.

He stressed the importance of the Lome meeting to address the gap, revealing that the meeting has the blessing of the Heads of State and Government.

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He said: “The air tariff in West Africa remains excessively high compared to other countries in the world. In this case, it is less expensive to make the flight to another African country than to travel between two countries in ECOWAS. This situation is counterproductive for the future of the West African region and the collective airspace.

“That recent studies conducted by renowned organizations in 2024 have shown low growth in air transport in West Africa (less than 10%). This, at a time when other regions, for example, record 40.4% for North Africa, 21.4% for Southern Africa, and 20.5% for East Africa. Other comparisons made in terms of domestic flights, intra-African travel, major airlines, and airport size have also shown that West Africa lags far behind these same regions mentioned above.

“In response to this instruction, a meeting of Ministers responsible for Air Transport was convened on November 8, 2024, here in Lomé. The meeting concluded with modalities for the gradual reduction of taxes, fees, and charges aimed at making air transport more affordable. Thus, an Additional Act A/SA.2/12/24 6, relating to the common policy on fees, taxes and air transport charges in ECOWAS Member States and its implementation strategy, were adopted by the Ministers and submitted to the Conference of Heads of State and Government of ECOWAS on December 15, 2024, which endorsed them.”

“Our primary concern is to comply with ICAO principles and recommendations on setting charges, which are: (i) non-discrimination between users, (ii) transparency, appropriate pricing for services provided, and (iii) user consultation.”

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“The recommendations made by the Ministers to Member States for efficient regional air transport include, among others: Commit to eliminating all taxes in accordance with these ICAO principles and recommendations;”

“Reduce the passenger service charge and the security charge by 25%; reduce the cost of aviation fuel, etc.”

“All this, with the aim, I say, of making our region efficient in terms of air transport, with its 400 million inhabitants”, he said.

He also charged the meeting to consider the issue of common rules for passenger compensation in the event of denied boarding, cancellation, or significant delays of a flight within the ECOWAS region.

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“The task now lies in working towards the implementation of these community texts by ECOWAS member states, whose effective implementation start date has been set for January 1, 2026, a 15-month period to allow them to prepare, particularly from a budgetary perspective”, he stated.

The ECOWAS Commissioner also charged Members of Parliament that the region is counting on them “to implement the community texts that the states themselves initiated and participated in the development, review, and adoption process.”

He therefore urged them to engage strongly with member states to raise awareness about the implementation of these additional acts with a view to the sustainable development of air transport in West Africa.

“As ECOWAS celebrates its 50th anniversary, it is an opportune time to highlight the organization’s visibility. While many achievements have been made in various areas/sectors of regional integration, these remain largely unknown to ordinary citizens, either due to a lack of awareness, communication, or simply the highly political orientation given to ECOWAS’s vision by stakeholders. Opportunities such as these allow you, as a Representative of the People, to gain a comprehensive view of the challenges, issues, strengths/weaknesses, opportunities/threats, and sectoral achievements,” he added.

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