Diesel Prices Near N2,000, CORAN Calls for Action

As of September 9, the price of diesel in Nigeria is approaching N2,000 per litre, raising significant concerns regarding production costs and inflation. The Crude Oil Refinery Owners Association of Nigeria (CORAN), represented by Publicity Secretary Eche Idoko, has urged the government to intervene urgently to strengthen domestic refining.

CORAN emphasized that the rising diesel costs affect various sectors, including factories, farms, transport operators, and telecommunications, warning that continued increases could exacerbate food inflation and operational costs for manufacturers. The association advocates for a focus on enhancing all domestic refineries, including the Dangote Petroleum Refinery and modular plants, rather than viewing them as competitors.

CORAN noted that Nigeria's modular refineries have a combined capacity of approximately 35,000 barrels per day, potentially producing between 2.2 million and 2.8 million litres of diesel daily. Despite this capacity, Nigeria imported about 244.9 million litres of diesel in July, highlighting the need to improve refinery utilization and address existing constraints.