NNPC Tells Court: Fuel Imports Must Continue to Prevent Supply Crisis
By Aboki Forex —
The Nigerian National Petroleum Company Limited has asked the Federal High Court in Lagos to allow fuel importation to continue. The state oil company warns that restricting import licences could trigger supply shortages, price volatility, and energy security risks.
NNPC is opposing a lawsuit filed by Dangote Petroleum Refinery seeking to cancel import permits. In court documents seen by Reuters, NNPC argued that halting imports would harm Nigeria's energy security and reduce market competition.
The company stated that Dangote Refinery failed to provide credible evidence that it can meet Nigeria's petrol demand consistently nationwide without interruption. Under the Petroleum Industry Act, regulators have the discretion to grant import licences to both local processors and international trading firms.
Regulator Approves New Imports Despite Domestic Refining
The Nigerian Midstream and Downstream Petroleum Regulatory Authority recently approved six companies to import 720,000 tonnes of petrol. The firms include NIPCO, AA Rano, Matrix Energy, Shafa, Pinnacle Oil, and Bono Energy.
Hammed Fashola of the Independent Petroleum Marketers Association of Nigeria supported the move. He said Dangote should compete on price rather than seek to halt imports. The Petroleum Products Retail Outlets Owners Association of Nigeria warned that cancelling import licences could cause instability and rising prices.
Dangote Refinery’s Capacity and Legal History
Dangote Refinery reached its maximum 650,000 barrel-per-day capacity in February 2026. It supplied almost 80% of Nigeria's daily petrol consumption in April. The refinery previously sued over the same issue in 2024 but withdrew the case after government intervention.
The case is expected to be heard in the coming weeks. Meanwhile, Nigeria's state-owned refineries in Port Harcourt and Warri continue to struggle with sustained operations despite billions of dollars in government investment. NNPC recently signed a memorandum of understanding to revive them through a technical equity partnership with Chinese companies.