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Home Economy

NMDPRA approves controversial petrol import licences

Victory Emmanuel by Victory Emmanuel
May 8, 2026
in Economy
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NMDPRA

NMDPRA approves petrol import licences for six marketers despite claims that Dangote refinery can meet local fuel demand

The Federal Government, through the Nigerian Midstream and Downstream Petroleum Regulatory Authority, has approved controversial petrol import licences for six oil marketers to bring in 720,000 metric tonnes of Premium Motor Spirit amid growing debate over Nigeria’s refining capacity.

Also read: EFCC probes petition against Ex-NMDPRA boss Farouk Ahmed over $7m school fees

The approved marketers are NIPCO, AA Rano, Matrix, Shafa, Pinnacle and Bono, according to industry findings confirmed by an official of the regulatory authority in Abuja on Thursday.

The official, who spoke anonymously because he was not authorised to comment publicly, said the licences were issued as part of efforts to guarantee national energy security and avoid supply disruptions.

Under the approvals, NIPCO is expected to import 120,000 metric tonnes of petrol, while AA Rano and Matrix received approvals for 150,000 metric tonnes each.

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Shafa and Pinnacle were cleared for 120,000 metric tonnes respectively, while Bono secured approval for 60,000 metric tonnes.

The latest petrol import licences come despite repeated assurances by the NMDPRA that the Dangote Petroleum Refinery now supplies more than 90 per cent of Nigeria’s daily petrol consumption needs.

The regulator had earlier maintained that no import licences were issued in the first quarter of 2026 because domestic refining capacity, driven largely by the Dangote refinery, was sufficient to meet local demand.

However, a senior NMDPRA official clarified on Thursday that the authority never imposed a ban on fuel importation, insisting that a combination of locally refined and imported products remained necessary to ensure supply stability.

“There was never an embargo on importation. Energy security for the nation is paramount,” the official said.

The development has intensified tensions between regulators and the Dangote refinery over the future direction of Nigeria’s downstream petroleum market.

Former NMDPRA Chief Executive Saidu Mohammed had previously argued that Nigeria should avoid returning to large-scale fuel importation after years of dependence caused by the collapse of state-owned refineries.

Speaking earlier this year in Abuja, Mohammed warned that vested interests were still pushing for a return to what he described as an era of excessive import dependence despite improvements in local refining.

He noted that more than 200 tank farms emerged during the period of heavy import reliance, creating profitable opportunities for fuel importers across the country.

According to him, Nigeria had now entered a transformative phase with the operational commencement of the Dangote refinery.

But President of the Dangote Group, Aliko Dangote, disagreed with claims that fuel imports had stopped, insisting that import approvals were still being granted to marketers.

Senior officials at the refinery had earlier indicated that the company could begin exporting refined products more aggressively if authorities continued issuing petrol import licences.

A top management source at the refinery warned that continued import approvals could undermine local refining investments and weaken efforts to build Nigeria’s domestic petroleum industry.

The official argued that several countries were prioritising protection of local industries amid mounting global energy concerns linked to tensions in the Middle East.

“If they know there will be fuel scarcity, why are they giving import licences when the whole world is trying to protect their local industries?” the source asked.

Also read: Dangote demands probe into NMDPRA chief’s lavish spending

The debate over petrol import licences is expected to remain a major issue within Nigeria’s energy sector as policymakers balance fuel supply stability with the long-term goal of strengthening domestic refining capacity.

Victory Emmanuel
Victory Emmanuel

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