Energy expert and lecturer at the Ignatius Ajuru University of Education, Port Harcourt, Dr Joseph Obele, has called on the Federal Government and the Nigerian National Petroleum Company Limited (NNPCL) to urgently restart the government-owned refineries to address the rising cost of petroleum products.
Obele said restoring domestic refining capacity remained an immediate and practical response to the increasing prices of Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO), urging the government to maximise all viable refining capacity in the country.
“The immediate approach to the recent rise in petroleum prices is to restart the government-owned refineries,” he said.
According to him, bringing government-owned refineries back into production would increase domestic supply, reduce dependence on imported refined petroleum products and contribute to stability in the downstream petroleum market.
He, however, stressed that the move should complement, rather than undermine, private-sector investment and competition in the downstream sector.
Obele expressed concern over the impact of rising international crude oil prices, amid tensions involving the United States and Iran and concerns over possible disruptions around the Strait of Hormuz.
He cited Brent crude as having closed at about $105.83 per barrel on September 16, 2026, while West Texas Intermediate (WTI) closed at approximately $102.43 per barrel.
The energy expert said the development was already affecting Nigeria’s downstream market, with PMS reportedly selling for between ₦1,400 and ₦1,500 per litre in some locations, while AGO had risen above ₦2,000 per litre.
He warned that sustained increases in petroleum prices would have far-reaching consequences for the economy, particularly transportation, food, healthcare and other essential services.
“The continuous increase in the cost of petroleum products will invariably affect the prices of virtually all commodities and services. It will create additional inflationary pressure and deepen the financial hardship being experienced by Nigerians,” he said.
Obele therefore urged the Federal Government and NNPCL management to commence production at the Port Harcourt and Warri refineries, arguing that restoring domestic refining capacity had become critical as the cost of petroleum products continued to rise.
He said getting the Port Harcourt Refinery back into sustainable production before the 2027 general elections would be significant for Nigeria’s energy security and public confidence in the government’s efforts to revive critical national assets.
According to him, the prolonged inactivity of government-owned refineries has had economic and employment implications across the petroleum value chain, affecting workers, contractors, marketers, transporters, businesses and other dependants of the industry.
He said a functional Port Harcourt Refinery would stimulate activities across the value chain, create employment opportunities and restore confidence among industry stakeholders.
“The Port Harcourt Refinery should become a measurable demonstration of government’s commitment to the welfare of Nigerians. If the refinery is successfully restarted before the 2027 elections, it will give citizens an opportunity to assess the administration’s performance in the petroleum sector based on tangible results,” he said.
Obele also linked the performance of the refineries to the economic concerns of petroleum-sector workers, businesses and other Nigerians who depend directly or indirectly on the industry.
He said the 2027 elections would provide citizens an opportunity to assess government performance, including its handling of the petroleum sector, refining capacity, employment and the cost of living.
“The people are looking for results. A functional Port Harcourt Refinery will restore confidence, support economic activities and demonstrate that Nigeria can utilise its own petroleum resources for the benefit of its citizens,” he said.
Obele noted that the Port Harcourt Refinery had previously recorded production activities, arguing that attention should now be focused on resolving its operational challenges and returning the facility to sustainable production.
“The time to restart the Port Harcourt Refinery is now. Nigerians cannot continue to bear the unbearable cost of petroleum products when domestic refining capacity is available. Every viable refinery should be optimally utilised in the national interest,” he said.
He emphasised that reviving government-owned refineries should not be viewed as an attempt to undermine private-sector refineries.
Rather, he said, all viable refining assets, government and private, should be utilised to strengthen national energy security, improve petroleum supply and promote a competitive downstream petroleum market.
