The Nigerian National Petroleum Company Limited has pushed back against a lawsuit filed by Dangote Petroleum Refinery over fuel import licences. NNPC told the court that restricting imports would risk creating supply gaps and handing too much control to a single player in the downstream sector.
In submissions to the Federal High Court in Lagos, NNPC argued that granting Dangote’s request to cancel or limit import permits could undermine Nigeria’s energy security. The company said a sudden clampdown would disrupt the steady flow of petroleum products across the country.
The filings warned that such restrictions could expose Nigeria to “supply disruptions, price instability and risks to national energy security.” NNPC’s position is that keeping the import window open remains necessary until local production can fully cover national demand. 
At the center of the case are import licences issued or renewed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority to marketers and NNPC itself. Dangote refinery went to court in April, naming the Attorney-General of the Federation as a defendant.
Dangote’s suit claims the licences undermine domestic refining and violate provisions of the Petroleum Industry Act. The refinery argues that giving marketers access to imports weakens the incentive to rely on local refining capacity.
Fuel marketers have already spoken out against the legal move, saying it could destabilise the downstream market. They argue that limiting competition would reduce options for supply and make pricing less stable for consumers.
NNPC dismissed the refinery’s claims, stating that the law allows import licences for companies with local refining permits and for firms with proven experience in international crude and product trading. The company added that the regulator has discretion under the backward integration policy to manage imports.
According to NNPC, there is no automatic ban on fuel importation. The only condition for stopping imports is when domestic production is proven sufficient to meet the country’s needs without interruption.
The company also denied allegations that it was withholding crude from Dangote or deliberately frustrating the refinery’s operations. NNPC said crude allocation follows operational, commercial, security, and logistical considerations, not arbitrary decisions.
The legal battle is widening. NMDPRA has filed to join the suit, and marketers remain opposed to any move that could weaken competition. The dispute unfolds as Dangote refinery prepares for its planned initial public offering in September, raising the stakes for how Nigeria manages its fuel supply mix.
