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Eche Idoko, the publicity secretary of the Crude Oil Refinery-owners Association of Nigeria (CORAN), has clarified that the Federal Government can help reduce increasing domestic fuel prices in Nigeria by implementing a comprehensive strategy that encompasses all aspects of the petroleum value chain.

Idoko stated on Wednesday in a release issued during ongoing fluctuations in global crude oil prices that pump prices are affected by not just refining capacity but also by more extensive economic and structural factors.

He stated that three main factors currently influence fuel prices in Nigeria: international crude oil prices, foreign exchange pressures, and the high costs of logistics and distribution.

He observed that unless these fundamental problems are dealt with, gasoline prices will keep going up, even if local refining is ramped up.

Idoko emphasized that although boosting crude allocation to the Dangote Refinery and other local refineries would assist in alleviating supply constraints, this action must be carried out with careful strategy.

He urged the government to rigorously implement the Domestic Crude Supply Obligation (DCSO) to guarantee that local refineries have priority access to crude oil before it is exported.

He promoted the establishment of an equitable domestic crude pricing model, contending that the crude supplied to Nigerian refineries should exclude full international export costs like freight and insurance, as this would reduce refining and pumping expenses.

Additionally, the CORAN spokesperson called on authorities to stabilize the naira-for-crude framework in order to mitigate the effects of exchange rate fluctuations on fuel prices. They also urged an increase in crude oil production to enhance supply for domestic consumption and export.

Idoko stressed the importance of wider support throughout the refining sector, pointing out that in addition to the Dangote Refinery, modular refineries like Waltersmith Refinery, Aradel Holdings, and Duport Midstream Company should also be supported by the government to improve competition and guarantee supply stability.

He remarked that a reduction in downstream logistics costs—including transportation, port charges, inadequate road infrastructure, and multiple levies—would greatly decrease the final price consumers see at the pump.

Idoko responded positively to the question of whether a higher allocation of crude oil would assist in lowering fuel prices, but cautioned that this allocation needs to be predictable, fairly priced, and applicable to all operational refineries.

“Nigeria must not just refine locally but must also price and allocate crude strategically for domestic energy security,” he said, emphasizing that this is the eco-friendly route to reducing fuel costs.

His remark coincides with the drop in crude oil prices on Tuesday to below $100 per barrel, igniting demands for a reduction in the gantry petrol price at the Dangote Refinery following multiple increases in March 2026.

According to ZINGTIE, petrol retail pump prices in Abuja and its surroundings have increased by over 50 percent to between N1,361 and N1,380 per liter since the commencement of operations involving Iran and the United States-Israel on February 28, 2026.

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