Tank Farm owners reject DAPPMAN’s planned suit against Dangote Refinery, urge FG to cancel fuel import licences

By Adelabu Jumoke 

Members of the Jetties and Petroleum Tank Farm Owners of Nigeria (JETFON) have distanced themselves from a proposed lawsuit reportedly being planned by the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) against the Dangote Petroleum Refinery.

In a communiqué made available to journalists through its Executive Secretary, Olayiwola Temitope, JETFON clarified that it does not share DAPPMAN’s position on the recent issuance of fresh fuel import licences by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

The group’s reaction follows reports that the NMDPRA recently issued fuel import licences totalling over 600,000 metric tonnes, a move that has drawn criticism from several stakeholders in the downstream sector.

While some marketers have argued that restricting imports could create a monopoly, JETFON maintained that Nigeria’s growing refining capacity is sufficient to meet domestic fuel demand, making continued importation economically unjustifiable.

JETFON also called on the Federal Government and the NMDPRA to immediately halt fuel importation and cancel all active import licences, warning that the continued approval of import permits undermines local refining investments and weakens industrial growth.

According to the association, the issuance of import licences devalues major domestic investments, including the Dangote Refinery, and discourages further private sector participation in Nigeria’s refining industry.

The group stressed that reliance on local refining capacity remains the most sustainable path to economic independence and long-term energy security.

“Relying on foreign refined products leaves the local economy vulnerable to external supply chain shocks, international logistics disruptions, and continuous foreign exchange pressures that weaken the Naira,” the communiqué stated.

JETFON referenced the NMDPRA’s April 2026 factsheet, which it said reflects significant changes in the country’s fuel supply and demand dynamics.

According to the regulator’s data, Nigeria’s daily Premium Motor Spirit (PMS) consumption rose to 51.1 million litres per day in April 2026, up from 47.3 million litres per day recorded in March.

At the same time, fuel importation by marketers reportedly fell by 37.3 percent to 3.7 million litres per day in April, compared to 5.9 million litres per day imported in March.

The association noted that domestic refining, driven largely by the Dangote Refinery, accounted for about 40.7 million litres of PMS supplied daily to the local market, demonstrating the capacity of local production to significantly reduce Nigeria’s dependence on imported fuel.

JETFON argued that with stronger government support for local refineries, Nigeria could cut down drastically on foreign exchange demand for fuel imports, ease pressure on the Naira, and preserve external reserves.

“Beyond forex stability, a thriving local refining sector serves as a massive catalyst for economic growth, generating direct and indirect employment for thousands of skilled Nigerian youths, stimulating industries, and ensuring that wealth generated from natural resources remains within the domestic economy,” the statement added.