The Minister of State for Petroleum Resources (Oil), Mr Heineken Lokpobiri, has called for urgent collaboration among African nations to reduce the continent’s annual $120 billion expenditure on fuel imports.
He said the continent must retain more value by building refining capacity and energy infrastructure.
Mr Lokpobiri, who made the call in a statement shared on X, said Africa’s growing energy demand presents enormous opportunities that must be strategically harnessed to achieve regional self-sufficiency and long-term economic stability.
“The African energy market is vast, our resources are abundant, and the demand for energy continues to grow exponentially,” the Minister said.
“Therefore, we must leverage every available measure and strategy to diversify our energy mix, address supply challenges, and attract more investment into our energy sector,” he added.
According to him, Nigeria is leading the charge through sweeping energy reforms and fiscal incentives aimed at creating an investor-friendly environment that supports local refining, cleaner fuels, and cross-border collaboration.
“Nigeria is championing this cause through far-reaching reforms and fiscal incentives that continue to make the Nigerian energy market increasingly competitive and attractive to investors.”
The Minister said that Africa’s dependence on imported petroleum products remains unsustainable and undermines the continent’s economic resilience.
He described the $120 billion annual fuel import bill as a wake-up call for leaders to act decisively in building regional refining networks and value chains.
“For Africa to be spending over $120 billion annually on the importation of hydrocarbon products clearly indicates how vast and promising our energy market is,” he said. “This reality calls for deliberate efforts to retain a significant portion of that value within the continent by developing our refining capacity, infrastructure, and market systems.”
Mr Lokpobiri emphasized that Nigeria’s energy policy reforms, including incentives for modular refineries, investments in gas monetization, and the rehabilitation of state-owned refineries, are part of the country’s strategy to reduce dependency on imports and support regional trade.
He highlighted that the West Africa Reference Market, WARM, initiative, which seeks to harmonize fuel standards, prices, and logistics across the subregion, is a major step toward achieving energy integration and sustainability.
“This is precisely what the West Africa Reference Market seeks to achieve,” he explained, “creating a framework that enhances regional self-sufficiency, competitiveness, and collaboration.”
The Minister also reiterated Nigeria’s strategic role as a continental leader in energy production, refining, and trade, stressing that cooperation across borders is vital to unlocking Africa’s full potential.
“Nigeria remains strategically positioned to continue playing a leading role in realizing this vision for Africa’s energy future,” he said.
This stance reflects growing consensus among African producers to prioritize refining and value retention, especially following the planned expansion of Dangote Refinery to 1.4 million barrels per day that could define Africa’s downstream dynamics.
Mr Lokpobiri’s remarks come as the continent intensifies talks on harmonizing petroleum policies under the African Continental Free Trade Area (AfCFTA) aiming to create a single, competitive market for oil and gas products.