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Rainoil

Modular refineries strategically situated near major demand hubs are essential for guaranteeing Nigeria’s long-term energy security and preventing supply shocks, according to Emmanuel Omuojine, Managing Director of Rainoil Limited.

Speaking on market liberalization, public value, and commercial opportunities during a panel session at the recent Association of Energy Correspondents of Nigeria (NAEC) conference in Lagos, Omuojine warned against over-reliance on a single fuel supplier, describing such a structure as highly vulnerable.

“We don’t want a single supply that is sweet, but fragile. If there is any disruption, whether it is refinery maintenance, geopolitical tension, or logistics constraints, the whole market feels the shock immediately,” Omuojine stated.

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Addressing the conference theme, Access to Assets: Empowering Players and Driving Growth, the Rainoil boss advocated for the strategic expansion of modular refining capacity across Nigeria and the wider West African region. He noted that decentralized, localized production fosters healthy competition in the downstream sector while safeguarding the domestic market against supply chain disruptions.

Omuojine also reiterated the necessity of market-driven pricing mechanisms, arguing that government-enforced price controls undermine investment, distort competition, and trigger artificial scarcity.

“Pricing should not be fixed by the government, but should be market-driven. As a producer you want to sell at the best price, as a buyer you want the cheapest. Everyone should have the opportunity to compete,” he said.

He further emphasized that domestic coastal refineries and suppliers must be permitted to operate under market-reflective terms, noting that forcing producers to sell below international parity suppresses efficiency and discourages capital investment in the energy ecosystem.