Importation of fuel into Nigeria is killing local refining, says Dangote. Meanwhile, oil marketers reject call to ban fuel imports, citing monopoly and inflation risks
The President of the Dangote Group, Alhaji Aliko Dangote, has urged President Bola Tinubu to extend the Federal Government’s ‘Nigeria First’ policy to include refined petroleum products. The appeal, made during the Global Commodity Insights Conference in Abuja, was swiftly rejected by oil marketers and analysts, who warned of monopolistic risks.
“The Nigeria First policy announced by His Excellency, President Bola Tinubu, should apply to the petroleum product sector and all other sectors,” Dangote said, adding that fuel imports were “killing local refining” and discouraging investments.
Dangote alleged that some imported fuels were “toxic” and subsidised abroad, resulting in unfair competition. He said, “Due to price caps on Russian petroleum products, discounted fuel now finds its way to Africa, undercutting our local production.”
Citing recent exports, Dangote claimed Nigeria had become a net exporter of fuel. “We have exported about one million tonnes of PMS in the last 50 days,” he said.
However, oil marketers dismissed the proposal. “If the government does that, we will not be able to check inflation and monopoly,” said Chinedu Ukadike of IPMAN. “Importation won’t kill local refineries; it will strengthen them.”
Billy Gillis-Harry of PETROAN argued that “no one company should dominate” the sector, while energy expert Prof. Dayo Ayoade warned a ban could violate trade laws and compromise energy security.
Despite the pushback, Dangote urged regulators to revoke unused refinery licenses and reiterated his refinery’s readiness to meet local demand. Now operating at 650,000 barrels per day, the plant is expected to hit 700,000 BPD by December.