FG Approves 720,000MT Petrol Imports for 6 Marketers Despite Dangote Refinery Output
- The Federal Government has approved six fuel marketers to import 720,000 metric tonnes of petrol into Nigeria.
- The approval came even though the Dangote Petroleum Refinery is said to supply over 90% of the country’s petrol needs.
- The NMDPRA said fuel importation was never banned and that combining imports with local refining will help prevent fuel shortages
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
The Federal Government, through the Nigerian Midstream and Downstream Petroleum Regulatory Authority, has approved fresh licences for six fuel marketers to import 720,000 metric tonnes of Premium Motor Spirit (PMS), commonly known as petrol.
The approved companies include NIPCO, AA Rano, Matrix Energy, Shafa Energy, Pinnacle Oil and Gas, and Bono Energy.
Source: UGC
According to findings by Punch, NIPCO, Shafa, and Pinnacle are each expected to bring in 120,000 metric tonnes of petrol, while AA Rano and Matrix will import 150,000 metric tonnes each.
Bono Energy received approval to import 60,000 metric tonnes, bringing the combined volume to 720,000 metric tonnes.
Fresh import licences raise questions
The latest approvals have sparked reactions because the regulatory agency had earlier suggested that petrol imports were no longer necessary following increased local refining capacity, especially from the Dangote Petroleum Refinery.
Earlier this year, the NMDPRA maintained that no import licences were issued during the first quarter of 2026 because the Dangote refinery could meet Nigeria’s fuel demand.
However, a senior official of the agency clarified that petrol importation was never prohibited. The official explained that the government’s focus remains on ensuring an uninterrupted fuel supply across the country.
According to the official, combining locally refined fuel with imported products is part of efforts to prevent shortages and maintain energy security nationwide.
NMDPRA defends dual supply strategy
The regulator stressed that maintaining a balance between domestic refining and fuel imports would help stabilise the downstream petroleum sector.
In March, former NMDPRA chief executive Saidu Mohammed had stated that Nigeria was making progress in reducing dependence on imported petrol due to improvements in local refining capacity.
He also warned against attempts to return the country to large-scale fuel importation, insisting that Nigeria must protect the gains achieved through domestic refining initiatives.
Nigeria’s shift from import dependence
Mohammed explained that Nigeria’s petroleum industry has gone through several phases over the years. According to him, the country once relied heavily on local refineries before the collapse of state-owned facilities pushed Nigeria into massive fuel importation.
Source: Getty Images
He noted that the era of heavy imports led to the rise of more than 200 tank farms along Nigeria’s coastal areas, reflecting the country’s strong dependence on foreign fuel supply.
Despite the growing output from the Dangote refinery, the latest approvals indicate that the government is still relying on a mix of local production and imports to guarantee nationwide fuel availability.
Dangote explains why fuel prices may remain high
Legit.ng earlier reported that the MD/CEO of Dangote Petroleum Refinery, David Bird, said petrol prices may not decline even as the refinery operates at full capacity, citing volatility in global oil markets and rising supply chain costs.
Bird made the remarks during a media chat, explaining that the refinery operates within the international commodities market, which directly influences the cost of crude oil and refined products.
According to him, the refinery purchases crude oil at global benchmark prices, including crude sourced locally under the crude-for-naira programme.
Source: Legit.ng
