During Nigeria’s 65th Independence Day broadcast, President Bola Tinubu described the removal of the fuel subsidy as a tough but necessary decision aimed at reviving the economy and ensuring the nation’s wealth benefits ordinary citizens.
Speaking at the OTL Africa Downstream Week 2025 in Lagos, the Chairman of MEMAN, Mr. Huub Stokman, said the deregulated environment is driving innovative business models such as Energy-as-a-Service, Virtual Power Plants, and peer-to-peer energy trading.
He noted that the development has redefined the downstream market, enabling private players to innovate, compete, and invest across the energy value chain.
“The downstream environment is evolving rapidly. With the Dangote Refinery now operational, dependence on imported fuel products is declining, reshaping local supply,” Stokman said.
He added that policymakers increasingly view natural gas as a cleaner transition fuel, with growing demand for compressed and liquefied natural gas across sectors.
Stokman also highlighted the adoption of sustainable and digital technologies such as solar power, biofuels, and advanced monitoring systems to improve efficiency and reduce emissions.
However, he emphasised the need for regulatory clarity and stability to attract investment and ensure long-term sectoral growth.
“Significant investment is still required in refining, storage, distribution, and low-carbon infrastructure to meet Nigeria’s energy transition goals,” he said.
Stokman described Africa’s energy landscape as facing a “dual reality” — tackling energy poverty while moving toward cleaner energy solutions.
He called for regional integration through cross-border gas pipelines, harmonised policies within ECOWAS and SADC, and diversification of investments into green hydrogen, battery storage, and decentralised solar.
To boost competitiveness, he advised downstream companies to embrace pay-as-you-go models, local micro-depots, and data-driven tools that enhance efficiency and reduce operational costs.
“The future of energy in Africa will be built on collaboration, technology, and sustainability,” Stokman concluded.
