By Michael Ajayi/Aderogba George
Prof. Kayode Soremekun of the Lagos State University (LASU), has listed implementation of “Naira for Crude” policy and strategic utilization of the country’s refineries as elements that will transformation the petrochemical industry.
He said this in Abuja on Thursday at a one-day symposium organised by ClassMasters Limited, a Non-Governmental Organisation (NGO) with the theme “Nigeria petroleum industry: The way forward”.
The Professor who is of the Department of Political Science of the University said that Nigeria’s petroleum industry stands at a critical point where attention is seriously needed.
He said that the country’s own refineries, along with dangote’s refinery has the power to lightning up and pave way for other refineries in the country.
Soremekun emphasized the importance of reducing Nigeria’s dependence on foreign currencies for crude oil transactions which he said it has the potential to stabilize the country’s economy.
He said that such measure also has the capacity to protect currency, promote local investments in refining petrochemicals products
The Professor highlighted the benefits of integrating the refinery’s capabilities with a local currency-focused crude exchange system.
“By linking crude allocation to Dangote Refinery and similar ventures through Naira payments, we are not just boosting our economy but also encouraging industrial growth and employment.
“A shift in policy is long overdue. The refining of the petrochemical sectors hold the key to sustainable economic growth.
“If managed properly, initiatives like this could redefine Nigeria’s petroleum industry,” he stressed.
He warned against the perils of unearned wealth, likening Nigeria’s oil revenue to the inheritance of a rich but unproductive heir, adding that without sustainable management, such wealth is fleeting.
The Professor stressed the importance of reclaiming sovereignty over Nigeria’s oil resources, while also advocating for solutions tailored to benefit the country’s citizens rather than external interests.
According to him, awareness and understanding of global forces are essential to addressing Nigeria’s challenges in the oil sector.
He called on the government to adopt solutions for self-reliance and equitable resource management.
Prof Osang Oshita, Executive Director of Ubuntu Centre for Africa Peace building and Development (UCAP) proposed want Nigeria to leverage on the opportunities provided by the Petroleum Industry Act (PIA)
He said that leveraging on PIA could be a way forward for the Nigeria Petroleum Industry.
Oshita said that if the country can focus on getting the benefits of the PIA, Nigeria would be heading in the right direction especially for oil communities.
He emphasized that the Niger Delta region remains one of Nigeria’s most underdeveloped regions despite being the source of the nation’s oil wealth.
Oshita attributed the ongoing insecurity in the sector to lack of tangible benefits for oil-bearing communities.
“The whole country depends on that oil, but the people where the oil is found don’t get any benefit from it. This is why security challenges will continue, people must fight for their right,” he said.
Oshita also highlighted issues such as the “soft underbelly” of oil production, which he described as underlying problems not widely discussed in public discourse.
Paddy Ezeala, Managing Director of ClassMasters Limited, while addressing potential amendments to PIA, acknowledged the diverse interests at play, including those of local communities, environmentalists, and oil companies.
He emphasised the importance of ensuring that environmental consciousness becomes a mandatory practice for all oil operators.
Ezeala explained that the there was need to bring on board actionable solutions for the industry that had shaped Nigeria’s economy for nearly 70 years.
According to him, there is need to bring together industry experts, stakeholders, and environmentalists to explore challenges facing the oil sector.
NEWS AGENCY OF NIGERIA