Improved infrastructure, stable policy key to growth of downstream sector - Abbas

By Olakunle Oke 

Speaker of the House of Representatives, Rt. Hon. Tajudeen Abbas has stated that the success of the downstream sector depends on improved infrastructure, stable policy frameworks, and increased local investments, especially in Liquefied Petroleum Gas (LPG) and Compressed Natural Gas (CNG) facilities.

Speaking on Monday at the First Annual Downstream Petroleum Week, organised by the House Committee on Petroleum (Downstream), the Speaker highlighted that the energy sector remains critical to unlocking Nigeria’s industrial and economic potential.

Reaffirming the commitment of the government to comprehensive energy reform, the Speaker called on relevant stakeholders to overhaul the nation’s downstream petroleum sector for greater efficiency and economic growth.

Abbas noted that despite spending over $18 billion on turnaround maintenance of the Port Harcourt, Kaduna, and Warri refineries, Nigeria still depends on imported petroleum products a challenge being addressed by the completion of the Dangote Refinery.

Declaring the conference open, Abbas described the initiative as a major step toward achieving energy sufficiency and sustainability.

“Nigeria is at a critical point in its drive for industrialization. This conference could not have come at a better time,” he said. “Our duty as legislators is to provide policies and oversight that will strengthen the downstream sector for a more secure, efficient, and resilient economy.”

He also called for practical solutions to challenges affecting the sector, including energy insecurity, pipeline vandalism, price instability, and the full implementation of the Petroleum Industry Act (PIA) 2021.

“This maiden Annual Downstream Week reflects our commitment to evidence-based policymaking and stakeholder engagement. We expect innovative ideas that can transform our downstream sector and move our economy forward,” Abbas added.

In his remarks, the Chairman, House Committee on Petroleum Resources (Downstream), Hon. Ikenga Ugochinyere, commended the progress made in the sector, noting that recent innovations have positively impacted the Nigerian economy.

He cited major ongoing projects such as the 650,000 barrels-per-day Dangote Refinery, the expansion of the Waltersmith Modular Refinery in Imo State from 5,000 to 50,000 barrels per day, the OPAC Refinery in Delta State, and the Indorama Petrochemical expansion, which is boosting fertiliser production and gas utilisation.

“The transformation we are witnessing is born of courage, clarity, and innovation,” Ugochinyere said. “Our downstream sector is now more open, efficient, and ready for investment. Nigeria must refine what it produces and consume what it refines,” Ikenga said.