Dangote renews legal battle over fuel import licences

Dangote Petroleum Refinery has filed a fresh lawsuit challenging fuel import licences issued to oil marketers and the Nigerian National Petroleum Company Limited, reviving tensions over competition and supply control in Nigeria’s downstream petroleum sector.

Court documents reviewed by Reuters show the refinery is asking the Federal High Court in Lagos to nullify import permits granted or renewed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

The refinery argues that the licences violate an earlier court directive to maintain the status quo and conflict with provisions of Nigerian petroleum law, which it says permit fuel imports only when local supply is insufficient.

The case marks a renewed confrontation between Dangote and regulators nearly a year after the company withdrew an earlier lawsuit challenging similar import approvals issued to the NNPC and fuel traders.

The NMDPRA had not responded to requests for comment at the time of reporting, according to Reuters.

Regulators and petroleum marketers have consistently defended continued fuel imports, arguing they remain necessary to prevent shortages and stabilise supply while domestic refining capacity gradually expands.

Nigeria has historically depended heavily on imported petrol due to years of underperforming state-owned refineries. The commissioning of the $20 billion Dangote Refinery — Africa’s largest single-train refinery with a 650,000 barrels-per-day capacity — was widely expected to significantly reduce or eliminate that dependence.

However, imports have continued as the refinery ramps up production and distribution across domestic and export markets.

The latest legal action highlights ongoing friction over how quickly Nigeria should transition from an import-dependent fuel market to one driven primarily by domestic refining.

The dispute also underscores broader questions around market competition, regulatory policy, pricing dynamics, and access to supply in one of Africa’s largest fuel-consuming economies.