Nigerian oil marketers have declared that local refining will save at least N70 per litre off petrol prices when it becomes fully operational.
The national controller operations, the Independent Petroleum Marketers Association of Nigeria (IPMAN), Mike Osatuyi, made the assertion while speaking on the benefits of the federal government investing in functional refineries.
He noted that even though the contracts for revamping of refineries had been awarded, it would be an excellent advantage for repairs to be completed as soon as possible to ease the stress and massive finance of importation on the country.
“The contract was already awarded before the new government came into office. IPMAN doesn’t know the context of the contract, but if the refineries are working, it would cut freight and ship-to-ship transfer costs,” he told Punch.
“Not less than N60/N70 per litre will be off if the refineries start working.”
The IPMAN controller also mentioned some of the advantages of having operational local refineries as, reduction in insurance costs, reduction in product delivery time, and increase in employment.
A former chairman of the Major Oil Marketers Association of Nigeria and Chairman/Chief Executive of 11 Plc, Tunji Oyebanji, said marketers did not prefer products importation over local production.
“We want local refineries to work because we don’t enjoy importing,” he said.
