The federal government says the loading of Premium Motor Spirit (PMS), also known as petrol, from Dangote Refinery for local consumption, will begin on Sunday, September 15, 2024.

This was announced on Friday night by the Presidential Committee on the Sale of Crude Oil and Refined Products at the end of its meeting in Abuja.

The outcome of the meeting was disclosed by the Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr Zacch Adedeji, who represented the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun.

Adedeji revealed that the Nigerian National Petroleum Company Limited (NNPCL) would supply 385 kbpd of crude oil to the refinery beginning from October 1, adding that it would be paid for in Naira.

According to the committee, it has been agreed that the Dangote Refinery would sell petrol to only NNPCL, while any other marketer could buy diesel to also be sold in Naira.

“Recall that the FEC, under the leadership of Mr. President, approved the sale of crude to local refineries in Naira and corresponding purchase of petroleum products in Naira,” Adedeji said.

“This initiative will help reduce pressure on the naira, eliminate unnecessary transaction costs, and improve the availability of petroleum products in the country.

“Since then, the implementation committee chaired by the Hon. Minister of Finance and the technical committee have worked intensely with NNPCL and Dangote Refinery to fashion out the details of the modalities for the implementation of the FEC approval.

“I am glad to announce that all agreements have been completed and loading of the first batch of PMS from the Dangote Refinery will commence on Sunday, 15th September.

“From 1st October, NNPC will commence the supply of about 385 kbpd of crude oil to the Dangote Refinery to be paid for in Naira.

“In return, the Dangote Refinery will supply PMS and diesel of equivalent value to the domestic market to be paid for in Naira.

“Diesel will be sold in Naira by the Dangote Refinery to any interested off-taker. PMS will only be sold to NNPC, NNPC will then sell to various marketers for now.

“All associated regulatory costs (NPA, NIMASA, etc.) will also be paid for in Naira.

“We are also setting up a one-stop shop that will coordinate service provision from all regulatory agencies, security agencies, and other stakeholders to ensure a smooth implementation of this initiative. This will be located in NPA, Lagos.

“We would sincerely like to thank Mr. President for championing this novel initiative and would like to assure Mr. President that he can count on us to implement his vision.”