Plans have been unveiled to significantly increase the capacity of the Dangote Refinery, more than doubling its current output from 650,000 to 1.4 million barrels daily.

Aliko Dangote, who heads the Dangote Group, shared these development plans during a media engagement held in Lagos on Sunday, with First Bank’s Chairman, Femi Otedola, present at the event.

READ ALSO: Dangote Refinery alleges marketers demand ₦1.5trn subsidy 

The expansion is intended to position the facility as the world’s largest refinery, exceeding the capacity of India’s Jamnagar facility.

Advertisement

Construction activities for this ambitious project are set to commence immediately, according to the announcement.

The project will require approximately 65,000 construction workers, with Nigerian citizens comprising 85 percent of this workforce.

Additional improvements include increasing the facility’s electricity generation capability from 500 megawatts to 1,000 megawatts.

The refinery will also upgrade its fuel production standards to Euro 6 specifications, representing an improvement from the current Euro 5 level.

Plans are underway to offer the refinery’s shares publicly through the stock exchange in 2026, enabling Nigerian citizens to acquire ownership stakes.

Advertisement

Dangote expressed gratitude to President Bola Tinubu for governmental backing of the initiative.

The complete expansion timeline is projected at three years.

The Central Bank of Nigeria (CBN) has rolled out a comprehensive order requiring commercial banks and financial entities to reimburse clients for unsuccessful ATM withdrawals within 48 hours, aiming to bolster customer safeguards and rebuild trust in financial services.

This instruction appears in a fresh draft paper called “Exposure of the Draft Guidelines on the Operations of Automated Teller Machines in Nigeria,” released on Saturday.

READ ALSO:  New CBN Limit: PoS agents can’t withdraw past N1.2m daily 

Musa I. Jimoh, from the Payments System Policy Department, signed the draft, which was sent to banks, payment providers, card networks, and standalone ATM managers, seeking input by October 31, 2025.

Advertisement

The plan demands immediate reversal of botched “on-us” deals—those at a customer’s own bank’s machines. If tech glitches block quick fixes, manual payouts must occur within 24 hours.

For “not-on-us” cases at rival banks’ ATMs, full refunds are due in 48 hours.

“Customers must not be made to suffer for failed transactions caused by system errors or network failures,” the circular stressed.

Banks and operators must install tech for automatic fixes on incomplete or failed deals, sparing users from lodging formal gripes. Any held funds from botched payouts need prompt reconciliation and return.

The central bank highlighted that this tackles ongoing issues like delayed reimbursements, subpar support, and user dissatisfaction, while updating payment networks and matching international norms.

Advertisement

The rules will also revamp ATM placement and oversight across the country. Banks and card providers must ensure one machine per 5,000 active cards, with rollout goals of 30% by 2026, 60% by 2027, and 100% by 2028.

All ATM additions, moves, or shutdowns require CBN greenlight in advance.

For safety and ease, machines need skimmer-proof tech, video monitoring, and placement in bright or sheltered spots. They must meet Payment Card Industry security rules, keep transaction records, and show active support contacts.

No less than 2% of ATMs should have features for the sight-impaired.

Additionally, ATMs must release money prior to card return, permit no-cost PIN updates, print receipts for all deals except checks, show fees upfront, and only output crisp notes. Emergency power is mandatory to avoid blackouts.

Advertisement

Outages are limited to 72 hours straight; beyond that, operators must announce causes and projected fixes publicly.

The CBN will monitor adherence via regular checks, site visits, and required monthly reports on ATM sites and counts. Non-compliant entities face penalties, though specifics weren’t detailed.

The bank explained the changes stem from rising failed deals, online threats, and service declines, stating “the goal is to build a payments system that works seamlessly for everyone, urban and rural users alike.”

Industry players can offer suggestions before the guidelines are finalized, with rollout slated before year-end.

Advertisement

The Nigerian power sector experienced fresh difficulties during Q2 2025, with both electricity production and consumption dropping by more than five percent.

During this period, distribution companies operating across the country collectively lost N158.05 billion in potential revenue.

Market liquidity also tightened as bilateral electricity purchasers—both within Nigeria and internationally—defaulted on payments exceeding N1.4 billion and $8.5 million respectively to the power market, data from the Nigerian Electricity Regulatory Commission (NERC) shows.

NERC’s Q2 2025 quarterly report indicates that average hourly electricity production nationwide decreased by 5.65 percent, sliding from 4,770.59MWh/h during the first quarter to 4,501.06MWh/h in the second, representing total output of 9,830.31GWh.

Advertisement

READ ALSO: FG tackles Falana on tariff increase *We’re still paying subsidy – Adelabu

Concurrently, the average power supplied to distribution companies at their collection points fell by 199.32MWh/h (representing a 5.27 percent decline) from 3,781.94MWh/h in Q1 to 3,582.62MWh/h in Q2.

NERC linked the production decline partially to decreased electricity demand from customers connected to the national grid, including the distribution companies themselves.

Although distribution companies obtained 7,824.43GWh of electricity, they invoiced customers for merely 6,449.82GWh, achieving an energy accounting efficiency rate of 82.43 percent. The regulator observed that billing shortcomings, combined with poor revenue collection, persistently drain market liquidity.

The regulator’s findings show that weaknesses in energy accounting, customer billing, and payment collection continue undermining the sector’s financial health, notwithstanding marginal gains in market payment compliance.

Advertisement

Data revealed that the composite Aggregate Technical, Commercial, and Collection (ATC&C) loss rate across distribution companies reached 37.92 percent, substantially above the 20.54 percent benchmark established in the 2025 Multi-Year Tariff Order (MYTO). These inefficiencies produced a combined N158.05 billion revenue deficit for the quarter.

“The weighted average ATC&C loss across all DisCo in 2025/Q2 was 37.92per cent, comprising technical and commercial loss (18.39per cent) and collection loss (23.93per cent). The ATC&C loss of 37.92per cent is 17.38pp higher than the 2025 MYTO target (20.54 per cent per cent) and translates to a cumulative revenue loss of 158.05 billion across all DisCos.

“While this marks a 1.69 percentage point improvement from the 39.61 per cent loss recorded in the first quarter, only Eko DisCo achieved its performance target, with Kaduna DisCo recording the worst performance 70.98 per cent against a target of 21.32 per cent,” the report stated.

Distribution companies issued invoices totaling N742.34 billion from electricity supplies valued at N909.59 billion, achieving an 81.61 percent billing efficiency. Total collections reached N564.71 billion, representing 76.07 percent collection efficiency—a modest increase from the previous quarter’s 74.39 percent.

Advertisement

Regarding upstream payment obligations, distribution companies transferred N399.20 billion of their N417.35 billion combined invoices to the Nigerian Bulk Electricity Trading Plc (NBET) and Market Operator (MO), demonstrating 95.65 percent compliance—slightly below the preceding quarter’s 95.86 percent.

In contrast, bilateral and international purchasers demonstrated considerably lower payment compliance. Six international bilateral buyers paid just $9.01 million against total invoices of $17.54 million, creating an $8.53 million deficit, equivalent to 51.33 percent remittance.

Domestic bilateral purchasers similarly paid N1.4 billion of N2.8 billion invoiced, leaving more than N1.4 billion outstanding, representing 50.1 percent remittance.

“International bilateral customers purchasing power from the grid-connected GenCos made a cumulative payment of $9.01 million against the $17.54 million invoice issued to them by the MO for services rendered in 2025/Q2 (remittance rate 51.33per cent).

Similarly, the domestic bilateral customers made a cumulative payment of N1,401 million against the N2,796.29 million invoice issued to them by the MO for services rendered in 2025/Q2 (remittance rate 50.10per cent),” it added.

Advertisement

Sources indicate that the continued poor performance of bilateral purchasers represents an escalating liquidity threat to the market, compromising the bilateral trading framework’s objective of improving cost recovery and reducing strain on bulk trading mechanisms.