Tinubu Promises Refinery Revival, Vows to Fix Oil Sector Challenges

President Bola Ahmed Tinubu has assured Nigerians that the country's state-owned refineries will resume operations, declaring that his administration is undertaking far-reaching reforms to transform the facilities into profitable and…

Sulaiman Umar August 13, 2026  ·  12:00 AM
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Tinubu Promises Refinery Revival, Vows to Fix Oil Sector Challenges
Tinubu Promises Refinery Revival, Vows to Fix Oil Sector Challenges

President Bola Ahmed Tinubu has assured Nigerians that the country's state-owned refineries will resume operations, declaring that his administration is undertaking far-reaching reforms to transform the facilities into profitable and sustainable national assets.

The president gave the assurance on Thursday while hosting the leadership of the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) at the Presidential Villa in Abuja, where he reaffirmed his commitment to overhauling the nation's oil and gas sector.

Speaking during the meeting, Tinubu said the ongoing reforms were focused on fundamentally restructuring the business model of the refineries to ensure they can operate efficiently, generate value and contribute meaningfully to the economy.

According to him, the success of the refineries should not be measured merely by activity within the facilities but by their ability to function sustainably and deliver long-term benefits to Nigerians.

"The refineries will work again. What we are doing now is laying a solid foundation and redesigning the economic structure around them so they can operate successfully and remain viable," the president said.

Tinubu acknowledged the longstanding challenges that have plagued Nigeria's petroleum sector, noting that his administration inherited both the assets and liabilities of previous governments but remains determined to tackle the problems head-on.

He said fixing the sector was a responsibility he was prepared to shoulder in order to maximise benefits for the country's growing population.

The president also highlighted the administration's Compressed Natural Gas (CNG) programme, describing it as a key component of efforts to reduce transportation costs and strengthen Nigeria's energy security.

While expressing satisfaction with the growing adoption of CNG, Tinubu said the benefits of the initiative must extend beyond transport operators and vehicle owners to ordinary Nigerians who rely on public transportation.

He observed that much of the immediate gains from the programme appeared concentrated among truck owners and fleet operators, stressing the need for wider distribution of its economic advantages.

The president used the occasion to commend NUPENG for maintaining constructive engagement with government and supporting reforms in the energy sector despite difficult economic circumstances.

Reflecting on the controversial removal of fuel subsidy, Tinubu said the decision was taken after extensive consultations and was necessary to prevent deeper fiscal challenges and put the economy on a sustainable path.

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He argued that resources previously consumed by subsidy payments are now being redirected toward critical national development projects and infrastructure investments.

Among the projects cited by the president were the Lagos-Ibadan Expressway, the Abuja-Kaduna-Kano highway and the ambitious Sokoto-Badagry Super Highway, which he said are benefiting from the government's reform-driven fiscal strategy.

Tinubu appealed to Nigerians to remain patient as the administration continues implementing economic reforms, insisting that democracy often requires sacrifice, resilience and collective commitment before the benefits become evident.

He expressed confidence that the current challenges would eventually give way to improved living conditions and stronger economic opportunities.

Earlier, NUPENG President, Sulaimon Oladiti, praised government efforts to revitalise the nation's refining sector but urged the president to intervene in what he described as the growing casualisation of labour in the oil and gas industry.

According to him, many workers, particularly in the upstream petroleum sector, remain trapped in unstable employment arrangements despite repeated engagements with industry operators.

Oladiti said attempts by the union to address the issue with some companies had yielded little success, prompting an appeal for presidential intervention.

He called on the government to protect workers' rights and promote decent employment practices across the sector.

The labour leader also urged the administration to accelerate the rehabilitation of facilities belonging to the Nigerian Pipelines and Storage Company (NPSC), arguing that restoring the nation's pipeline and depot infrastructure is critical to improving petroleum distribution and strengthening energy security.

The meeting comes amid renewed efforts by the Federal Government to reform Nigeria's oil and gas industry, boost domestic refining capacity and reduce dependence on imported petroleum products.

Written by

Sulaiman Umar

Sulaiman Umar is an editor and reporter with extensive experience in economic journalism, analyzing financial and agricultural developments in Northern Nigeria.

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