NMDPRA Targets Strategic Fuel Reserves amid Global Supply Disruptions
The Authority Chief Executive, Mallam Rabiu Ahmed Umar, disclosed this recently at the Nigeria Oil and Gas, NOG, Energy Week 2026 in Abuja during a panel session titled, “Scaling Downstream Capacity: Optimising Africa’s Oil Value.”
Umar said recent geopolitical tensions, including the conflict in the Middle East and disruptions around the Strait of Hormuz, have underscored the need for Nigeria to build adequate fuel reserves against future supply shocks.
“There is now a stronger focus on building our national strategic reserves to provide a supply buffer in the event of similar crises in the future,” he said.
He noted that Nigeria’s downstream petroleum industry has undergone three major structural changes over the past five years, including the deregulation of petroleum product prices, implementation of the Petroleum Industry Act, PIA 2021, and the country’s transition from a net importer to a net exporter of petroleum products following the commencement of operations at the Dangote Petroleum Refinery.
According to him, the evolving market requires stronger regulatory oversight anchored on transparency, consistency and predictability.
“We remain committed to superintending the industry with higher standards of transparency, equity, accountability, consistency and predictability,” Umar said.
The NMDPRA boss also highlighted the strategic importance of the Ajaokuta-Kaduna-Kano, AKK, gas pipeline, describing it as critical to expanding domestic gas utilisation, strengthening energy security and supporting Nigeria’s energy transition agenda.
“Every effort has to be made to ensure our national energy security as well as deepening gas utilisation through the soon-to-be commissioned AKK gas pipeline, which is designed to ensure gas distribution from the southern part of the country to the north.”
He added that the project would boost electricity generation and support cleaner energy adoption across the country.
Source: Sweetcrude
