Fuel Import Licences: Dangote Refinery Challenges FG in Court

The Dangote Petroleum Refinery has filed a lawsuit against the Federal Government following the approval of new petrol import licences for major oil marketers.

The case comes after the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) granted fresh import permits to six companies — NIPCO, AA Rano, Matrix Energy, Shafa Energy, Pinnacle Oil and Gas, and Bono Energy — for the importation of between 600,000 and 720,000 metric tonnes of Premium Motor Spirit (PMS).

Industry documents showed that the allocations ranged from 60,000 to 150,000 metric tonnes per marketer.

The decision signals a shift in policy after the regulator reportedly suspended the issuance of new import permits earlier in February and March 2026 due to increased domestic refining output.

NMDPRA figures indicated that the Dangote refinery supplied about 36.5 million litres of petrol daily in February 2026, accounting for more than 90 per cent of Nigeria’s domestic demand, while daily imports dropped to around three million litres.

In the suit before the Federal High Court in Lagos, the refinery contended that the import approvals contravene provisions of the Petroleum Industry Act (PIA), which permits fuel imports only where local production cannot meet demand.

The refinery argued that persistent importation could weaken local refining operations and discourage investment in Nigeria’s refining sector.

The latest development has generated mixed reactions across the industry. Supporters of the licences insist the move encourages competition and ensures supply stability, while critics argue it may hurt local refiners and increase Nigeria’s dependence on imported petroleum products.

During an interview with Nicolai Tangen, Chief Executive Officer of Norway’s Sovereign Wealth Fund, Aliko Dangote accused influential fuel importers of attempting to obstruct the refinery’s success.

According to him, vested interests benefiting from fuel imports and subsidy payments viewed the refinery as a direct threat to their businesses.

Dangote said Nigeria spent nearly $10 billion yearly on fuel subsidies, creating massive profit opportunities for importers, traders and shippers.

“In Nigeria, we had fuel queues for more than 50 years. People queued for days during Christmas just to buy petrol in an oil-producing country,” he said.

Speaking further on the refinery project, he noted: “We launched the project in 2013. Land acquisition alone delayed us for five years.”

He added that despite opposition and infrastructure challenges, the refinery project was pursued to improve Nigeria’s and Africa’s energy security.

“These are the people that are not agreeing for us to settle down because they believe that, no, we are coming here to displace them. Of course, that’s what we have done now,” Dangote stated.

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