FG halts petrol imports as Dangote dominates fuel supply

Nigeria’s petrol supply is now largely driven by local refining, with the Dangote Petroleum Refinery accounting for about 92 per cent of the country’s daily supply in February after the Federal Government of Nigeria paused the importation of Premium Motor Spirit (petrol).

Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) show that domestic refineries supplied about 36.5 million litres of petrol per day in February 2026, while imports contributed just three million litres daily, bringing total national supply to 39.5 million litres.

Industry sources confirmed that the regulator has not issued any petrol import licences this year, noting that current domestic production is considered sufficient to meet national demand.

“At the moment, local production is meeting national requirements, so there is no need for importation,” a source at the NMDPRA said.

The development marks a sharp shift from Nigeria’s long-standing reliance on imported fuel. In January 2026, petrol imports averaged 24.8 million litres per day, while domestic refineries supplied 40.1 million litres daily, bringing total supply to 64.9 million litres.

Currently, the Dangote refinery remains the only facility producing petrol at scale in the country, while other modular refineries mainly produce Automotive Gas Oil (diesel).

The regulator noted that the sharp drop in imports caused overall petrol supply to decline significantly in February. According to its report, total daily supply fell by 25.4 million litres compared with January levels.

Despite the surge in local refining, concerns have emerged among some industry operators about the growing dominance of the Dangote refinery in the downstream sector.

One industry operator warned that the absence of imports could create monopolistic tendencies, arguing that competition is necessary to maintain balanced pricing in the market.

Meanwhile, petrol prices at filling stations remained high on Tuesday despite a reduction in the refinery’s gantry price. The Dangote refinery cut its price by N100—from N1,175 to N1,075 per litre—but many retail outlets continued selling petrol between N1,200 and N1,330 per litre in cities including Lagos and Abuja.

The refinery said the price adjustment followed a decline in global crude oil prices, with Brent Crude dropping below $90 per barrel after briefly exceeding $100 amid tensions linked to the conflict involving the United States and Iran.

The company maintained that its pricing reflects global market dynamics and reiterated its commitment to ensuring adequate fuel supply across the country while strengthening Nigeria’s energy security.