Africa’s refining capacity must reflect local purchasing power, industrial needs —Oyebanji

Africa must develop refining capacity and energy solutions that reflect the continent’s purchasing power, infrastructure limitations and industrial needs to strengthen energy security and improve the competitiveness of its downstream petroleum industry, Chairman of OTL Africa Downstream Energy Week, Adetunji Oyebanji, has said.

Oyebanji said that expanding refining capacity across the continent should go together with policies that recognise Africa’s peculiar economic realities, improve consumer access to energy and promote safety and environmental sustainability.

He spoke against the backdrop of growing investments in refining, natural gas, cleaner fuels and renewable energy, which he said were reshaping the continent’s energy landscape and influencing investment decisions.

According to him, the continent’s energy transition should be guided by practical considerations, as countries have different levels of economic development, infrastructure readiness and capacity to finance new energy projects.

He noted that cleaner fuels, natural gas, renewable energy and changing mobility patterns were increasingly shaping investment decisions, but stressed that the pace of adoption would differ across countries.

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On Nigeria’s downstream market, Oyebanji emphasised that balancing investment, market power and consumer protection remained a critical challenge requiring constructive engagement among industry stakeholders.

He said the discussions at the 20th anniversary edition of OTL Africa Downstream Energy Week would examine issues affecting the development and competitiveness of Africa’s refining industry, including regulatory convergence, regional market integration, refinery competitiveness, feedstock strategies, energy financing and shipping logistics.

He advocated greater cooperation among regulators, governments and private-sector operators to create a predictable investment environment and facilitate cross-border petroleum trade.

He said the event’s 20-year contribution included helping businesses establish supply relationships, identify technical solutions and engage directly with financiers and regulators.

“OTL cannot substitute for the decisions that companies and governments must make. It can make those decisions better informed and make the necessary relationships easier to build,” he said.

He urged participants to use the anniversary edition to develop partnerships and practical solutions capable of strengthening Africa’s refining and downstream petroleum capacity.

The celebration of the 20th anniversary edition of OTL Africa Downstream Energy Week brought together stakeholders across the energy value chain to discuss investment, refining capacity, market development, supply security and opportunities for greater regional cooperation.