Trouble For Dangote Refinery as FG Moves to Restart Petrol, Diesel Imports, Unveils Date to Begin
- Nigeria is planning to resume petrol and diesel import permits by mid-February 2026 amid supply concerns
- The development comes as Dangote Refinery faces challenges with falling crude deliveries and rising petrol prices
- Dangote Industries has affirmed Vision 2030 strategy despite market uncertainties and plans significant expansions
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Nigeria is set to resume the issuance of petrol and diesel import permits as early as mid-February 2026, a move that could reshape supply dynamics in the downstream market and pose fresh challenges for the Dangote Refinery.
Industry sources say approvals by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) may begin later this month or, at the latest, early March.
Source: Getty Images
If implemented, this would mark the first batch of import licences for 2026, following a temporary regulatory pause aimed at restricting imports to volumes needed only to cover gaps in domestic refining output.
The decision signals government concern about a potential tightening of fuel supply amid shifting market conditions.
Regulatory pause and leadership transition
According to a ThisDay repport, sources quoted by Argus linked the delay in issuing permits to leadership changes at the NMDPRA after the exit of its former chief executive, Farouk Ahmed, in December.
The transition reportedly slowed internal decision-making at the authority during the early weeks of the year.
Traditionally, import permits are issued on a quarterly basis and remain valid for three months.
Issuing licences midway into the first quarter has raised questions among market participants about how the existing framework will be applied and whether approvals will be prorated.
Lower crude intake at Dangote Refinery
Market pressure has also intensified following a drop in crude deliveries to the Dangote Refinery. .
Receipts reportedly fell to around 250,000 barrels per day in January, down from roughly 350,000 barrels per day in December, the lowest level in about 16 months.
The decline points to lower run rates at the refinery’s crude distillation unit and increases the likelihood of refined product shortfalls.
Earlier reports indicated maintenance activities on key processing units, including the residue fluid catalytic cracking unit that produces petrol.
Although petrol demand eased during the Christmas and early January holidays, traders say tighter local supply and rising refinery asking prices have renewed interest in imported cargoes.
Rising prices rekindle import interest
Petrol asking prices climbed by about 14 per cent to N799 per litre by late January, after falling to around N699 per litre in December. The rebound has made imported fuel more competitive in recent trading sessions.
Market participants believe new import permits would allow marketers to supplement domestic supply while regulators continue to prioritise local refining. However, increased imports could dilute Dangote Refinery’s growing dominance in the downstream market.
Dangote warns of higher pump prices
Amid the shifting landscape, the Dangote Refinery has warned that petrol pump prices could approach N1,000 per litre if marketers increasingly rely on coastal transportation rather than gantry loading for fuel evacuation.
In a statement, the refinery said coastal logistics can add about N75 per litre to petrol costs due to port charges, maritime levies and vessel-related expenses.
With Nigeria’s daily consumption estimated at 50 million litres of petrol and 14 million litres of diesel, the extra cost could translate into an annual burden of roughly N1.75 trillion if passed on to consumers.
The company stressed that gantry loading remains the most cost-efficient option and that marketers are free to choose their preferred evacuation method.
It cautioned, however, that widespread reliance on coastal shipping would undermine recent price relief achieved through domestic refining.
Dangote reaffirms expansion and Vision 2030
Despite near-term challenges, Dangote Industries Limited has reiterated its commitment to its Vision 2030 growth strategy.
The conglomerate is set to lead exhibitors at the 15th Gateway International Trade Fair in Ogun State, themed “Promoting Business through Partnership.”
Source: UGC
Group Chief Branding and Communication Officer, Anthony Chiejina, said the strategy targets $100 billion in revenue by 2030 and focuses on expanding capacity across energy, manufacturing and agriculture.
Planned projects include increasing refinery capacity to 1.4 million barrels per day, expanding fertiliser output to 12 million metric tonnes annually and growing cement capacity to 90 million tonnes.
Dangote Group also plans to deepen investments in agriculture, including six large-scale rice mills across northern states, as part of efforts to boost food security and reduce import dependence.
Dangote reduces petrol pump price at filling stations
Legit.ng earlier reported that the Dangote Refinery said local refining has helped reduce petrol prices at filling stations across Nigeria, with the current rate now at N839 per litre.
The company noted that, while this is an increase from the previous N739 per litre announced in December 2025, it still marks a huge drop from the N1,250 per litre Nigerians once paid.
The company, in a statement released on X on Thursday, February 5, said petrol pricing reflects its commitment to improving domestic fuel supply and making petrol more affordable for consumers.
Source: Legit.ng
