Dangote refinery will boost Nigeria’s economy, check fuel scarcity, fx differences – Abiodun

Governor Dapo Abiodun of Ogun State has said the commencement of fuel production by the Dangote refinery will strengthen the nation’s economy by eliminating constant shortages, which accounts for fuel scarcity, boost foreign reserves and check unfavourable foreign exchange differences in favour of Nigeria’s naira.

Petrol produced from the 650,000 barrels per day Dangote refinery is expected to hit filling stations in the next 48 hours as modalities with the Nigerian National Petroleum Company Limited (NNPCL)have been formalised.

Governor Abiodun, in a press statement issued on Tuesday in Abeokuta, Ogun State Capital signed by Lekan Adeniran, the Governor’s Chief Press Secretary, said that with the refinery coming on stream, one of the most significant challenges faced by Nigeria for more than three decades—reliance on fuel importation—will be solved.

According to the statement, with the Warri and Port Harcourt refineries also being prepared to begin production, Nigerians will heave a sigh of relief from constant fuel shortages, while the economy will also receive a boost.

The governor praised Aliko Dangote for his determination to see through the multi-billion dollar projects against all odds.

He also commended President Bola Tinubu for his intervention in ensuring that the refinery came onstream during his administration.

He praised the President’s commitment to the revitalization of other refineries in the country, which, he said, would drastically reduce fuel prices when all of them start production.

Read also: Dangote Refinery to slash FX demand by 40%

He said: “This significant achievement marks a transformative milestone not only for you as an entrepreneur but also for Nigeria and the broader African continent. The establishment of this refinery represents a pivotal shift in the energy landscape of the region, showcasing the power of vision, resilience, and unwavering commitment to economic development.

“The Dangote refinery is poised to be a game-changer in the production of petrol, addressing one of the most pressing challenges faced by Nigeria: reliance on imported fuel. This dependency has not only strained our foreign exchange reserves but has also hindered our potential for self-sufficiency.

“By producing petrol locally, the refinery will drastically reduce the outflow of foreign currency, thereby strengthening our economy. This move aligns perfectly with the President Bola Tinubu-led administration’s efforts to achieve economic diversification and reduce reliance on oil exports alone.

“Moreover, the economic impact of the refinery extends beyond just fuel production. It is expected to generate thousands of jobs, both directly and indirectly, thus contributing to the reduction of unemployment rates. The ripple effect of this employment generation will invigorate local economies, stimulate growth in ancillary industries, and enhance the livelihoods of countless families across Nigeria.

“In addition to bolstering local employment and economic activity, the refinery’s operations are expected to enhance energy security in Nigeria. With the capacity to produce a substantial volume of petrol, the country will be better equipped to meet its energy needs, reducing the volatility associated with fuel shortages and price fluctuations.

“This stability will inevitably create a more favourable environment for businesses and attract foreign investments, further boosting economic growth.”