Rising tensions between Dangote Refinery and regulators spark fears of petrol scarcity, higher prices, and long queues nationwide
Nigeria may be heading toward another fuel crisis as the Dangote Refinery threatens to export all its refined petroleum products amid an ongoing dispute over fuel import licences.
The development follows complaints by Africa’s richest man, Aliko Dangote, who accused regulators of continuing to issue licences for petrol importation despite the refinery’s capacity to meet local demand.
According to reports, the refinery—which has the capacity to produce millions of litres of petrol daily—warned that the continued issuance of import licences undermines its operations and distorts the domestic market.
Industry experts say if the refinery proceeds with exporting all its products, Nigeria could face immediate fuel shortages. This may trigger long queues at filling stations and further increase pump prices across the country.
The dispute comes amid conflicting positions within the downstream petroleum sector. While regulators have recently moved to prioritise local refining and limit imports under the Petroleum Industry Act, tensions persist over market control and competition.
Stakeholders warn that reduced domestic supply could reverse recent gains in fuel availability, placing additional pressure on consumers already grappling with high energy costs.
The Dangote Refinery, located in Lagos, is Africa’s largest with a refining capacity of about 650,000 barrels per day and was widely expected to end Nigeria’s dependence on imported fuel.
However, ongoing disputes over policy direction, crude supply challenges, and import licensing continue to create uncertainty in the sector.
As the situation unfolds, Nigerians are bracing for possible fuel scarcity, price hikes, and renewed strain on the economy if no resolution is reached soon.
