Dangote Refinery has blamed Nigeria's fuel import regulator for the country's continued reliance on foreign petrol, according to Daily Post Nigeria. The company said licences issued by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) are the reason petrol imports have increased.
The refinery, which is Africa's largest, said these imports are now taking up 43% of Nigeria's petrol market, as reported by Business Insider Africa. Because of this, the $20 billion facility is being forced to export its surplus fuel instead of selling it domestically.
Daily Post Nigeria reports that Dangote Refinery directly attributes the rise in imports to the NMDPRA's licensing decisions. The company's position is that these licences allow foreign fuel to flood the market, undercutting local production.
TheCable also covered the refinery's complaint, noting that rising fuel imports are pushing the company to export excess petroleum products. This situation highlights a paradox: Nigeria, a major oil producer, is still importing petrol while its own refinery exports fuel.
The development comes as the United States has praised the refinery's output. Vanguard News reported that the US hailed Dangote Refinery as Nigeria's petroleum exports surged sevenfold. This suggests the refinery is producing well beyond what the domestic market can absorb, partly because imports are filling the gap.
The tension between the refinery and the regulator has been a recurring theme in Nigeria's energy sector. The refinery has previously clashed with the NMDPRA over issues like pricing and quality standards.
What to watch next is whether the NMDPRA will respond to these latest claims or adjust its licensing policy in light of the refinery's complaints.
