The Dangote Petroleum Refinery has filed a fresh lawsuit against the Federal Government over the continued issuance of petrol import licences to marketers and the Nigerian National Petroleum Company Limited, escalating tensions in Nigeria’s downstream oil sector.
Court documents revealed that the refinery is seeking an order from the Federal High Court in Lagos to nullify import permits recently granted or renewed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority. The company argued that the licences violate existing laws and undermine local refining efforts at a time when domestic production capacity has significantly increased.
According to the suit, Dangote Refinery maintained that petroleum importation should only be allowed when local refineries are unable to meet domestic demand. The company claimed that the continued approval of fuel imports despite rising output from its refinery was damaging its operations and discouraging investment in local refining infrastructure. ..READ THE FULL ARTICLE HERE .
The legal battle comes months after Dangote Refinery withdrew an earlier suit seeking similar reliefs against the NNPC and several oil marketers. In that previous case, the refinery had challenged import licences granted to firms including Matrix Petroleum Services, AYM Shafa Limited and A.A. Rano Limited, while also demanding massive damages.
The latest action is expected to intensify the debate over Nigeria’s fuel import policy and the future of the downstream petroleum sector. Although the Dangote Refinery has become a major supplier of petrol and other refined products in Nigeria, regulators and marketers insist that imports are still necessary to bridge supply gaps and prevent shortages across the country.
Recent data from the NMDPRA showed that petrol imports into Nigeria have dropped sharply in recent months due to increased local refining capacity. The development has largely been attributed to the operations of the Dangote Refinery, which began full scale petrol production and has continued to ramp up output from its massive Lekki based facility.
Industry observers believe the lawsuit could have major implications for fuel pricing, market competition and the government’s broader energy reforms. The case is also likely to reignite concerns about monopoly fears that have surrounded the refinery since it commenced operations.
The Federal Government and the NMDPRA are yet to officially respond to the new court action as of the time of filing this report.
