Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) show that no import licences were issued in February, while the Crude Oil Refineries Association of Nigeria (CORAN) confirmed that none have been granted so far in March. The move signals a clear shift by Nigerian authorities toward prioritising local refining output.
The policy adjustment is seen as a victory for domestic refiners, particularly the Dangote Refinery, which last year initiated legal action against the regulator and the national oil company to halt imports that undercut local production. Under the PIA, import permits may only be granted when domestic production is insufficient to meet national demand, marking a departure from previous practices.
The former regulator, who stepped down last year, had argued that continuing to issue import licences was necessary to maintain market competition and prevent dominance by local refiners.
Recent volatility in global oil markets has added pressure on local prices. Fuel pump prices in Nigeria surged more than 54% following recent U.S. and Israel strikes on Iran, with NMDPRA spokesperson George Ene‑Ita attributing the sharp increase to escalating tensions in the Middle East. Despite these pressures, domestic consumption has declined slightly, averaging 56.9 million litres per day in February, down from 60.2 million litres in January 2026.
In the same month, the Dangote Refinery supplied 36.5 million litres of petrol and 8 million litres of diesel to the domestic market. The regulator considered these volumes sufficient, prompting its decision to withhold import licences.
Eche Idoko, spokesperson for CORAN, welcomed the regulator’s decision, noting that protecting local production is a positive step for the industry. “For us, anything that safeguards domestic refining is a good move. The challenge now is to sustain the momentum,” he said, emphasizing the importance of consistent policy enforcement to ensure long-term viability for local refineries.
The suspension of import licences reflects a broader government effort to strengthen domestic refining capacity, reduce dependency on imported fuels, and support local industry margins, particularly as international market volatility continues to affect petroleum prices.