President of Dangote Industries Limited, Aliko Dangote, has alleged that Nigeria’s downstream regulator is still issuing licences for the importation of petrol, contrary to public assurances that the practice has been halted to support local refining.
Dangote warned that the continued inflow of imported refined petroleum products could undermine the operations of the Dangote Petroleum Refinery and pose risks to the country’s long-term energy security.
Speaking in an interview with THISDAY, Dangote said the refinery currently has the capacity to produce up to 75 million litres of petrol daily—enough to meet Nigeria’s domestic demand—yet import licences are still being granted to market participants.
“They are still issuing licences despite the fact that we can meet the demand. They are importing and we are exporting. Yes, we can produce about 75 million litres daily, but they are still back-loading,” he said.
His remarks come amid claims by the Nigerian Midstream and Downstream Petroleum Regulatory Authority that it had stopped issuing new permits for petrol imports as local refining capacity improves.
According to the regulator, the policy aligns with provisions of the Petroleum Industry Act, which allows fuel import licences only when domestic production cannot meet national demand.
The agency also stated that no new petrol import licences had been issued in 2026, noting that output from domestic refineries—particularly the Dangote refinery—was now sufficient to support a large share of the local market.
However, recent data released by the NMDPRA showed that Nigeria consumed about 24.8 million litres of imported petrol daily in January 2026. The figure dropped sharply to about 3 million litres per day in February, reflecting a growing contribution from domestic refining.
Dangote further alleged that several companies importing petrol into Nigeria do not operate filling stations, raising concerns that imported products could be diverted or smuggled after arriving in the country.
According to him, unchecked imports could replicate the challenges experienced in Nigeria’s rice sector, where local producers were undermined by large volumes of imported products.
“When they bring the goods, they smuggle them because they don’t have any filling stations. These importers don’t have filling stations. It’s affecting us. It’s the same thing they did with rice,” he said, stressing the importance of protecting domestic production to create jobs and strengthen energy security.
Nigeria has historically relied heavily on imported refined petroleum products due to the poor performance of its state-owned refineries. However, expectations have risen following the commencement of operations at the Dangote refinery, which has a nameplate capacity of 650,000 barrels per day, making it the world’s largest single-train refinery.
The facility is widely regarded as central to Nigeria’s ambition to end decades of dependence on imported fuel.
Meanwhile, Nigeria’s Minister of Foreign Affairs, Yusuf Tuggar, has called on Gulf oil and gas producers to partner with Nigeria to diversify global energy supply, particularly amid geopolitical tensions in the Middle East.
Speaking to Reuters, Tuggar said disruptions linked to the Iran conflict and threats to shipments through the Strait of Hormuz highlight the need for alternative sources of crude oil and gas.
He noted that Nigeria’s vast untapped hydrocarbon reserves could provide a strategic opportunity for cooperation with Gulf producers rather than competition.
Nigeria has increased oil output to about 1.7 million barrels per day from roughly 1.4 million barrels when President Bola Tinubu assumed office in 2023, with prospects for further growth if investments flow into new oilfields and pipeline infrastructure.
Tuggar added that expanding domestic refining capacity, particularly through the Dangote refinery, would also help Nigeria cushion the impact of global supply disruptions, especially as the country currently imports significant volumes of refined products.
According to him, global demand for hydrocarbons remains strong, with world oil consumption hovering around 105 to 106 million barrels per day, suggesting that oil will remain a critical component of the global energy mix for years to come.
