NNPC Accounts for 40% of Nigeria’s Fuel Imports Over Six Weeks

The Nigerian National Petroleum Company Limited (NNPC) imported 40% of Nigeria’s 1.947 million metric tonnes (MT) of petroleum products between October 1 and November 11, 2024, as the country navigates deregulation of its downstream oil sector. Documents reviewed by TheCable reveal that 110 fuel cargoes, including premium motor spirit (PMS or petrol), automotive gas oil (diesel), and aviation fuel (Jet-A1), were received at terminals in Warri, Port Harcourt, Calabar, and Lagos during the six-week period.

The imported volumes during this time included 1.52 million MT of petrol (2.02 billion litres), 414,018 MT of diesel (487.1 million litres), and 13,500 MT of Jet-A1 fuel (16.46 million litres). NNPC’s share amounted to 789,721 MT, or 1.05 billion litres of fuel, representing 40.5% of the total imports.

Despite these figures, NNPC’s Group Chief Executive Officer, Mele Kyari, stated on November 12 at the Nigerian Association of Petroleum Explorationists (NAPE) conference that the company had ceased fuel imports, relying solely on domestic refineries like the Dangote refinery. However, NNPC later clarified Kyari’s comments, emphasizing that while domestic refineries are prioritized, imports remain an option based on economic considerations. “NNPC is not obligated to be the sole off-taker of any refinery,” the company stated. “We evaluate the cost-effectiveness of local and imported fuel sources to meet market demands.”

The debate over fuel imports comes amid a push by the Dangote refinery to end Nigeria’s reliance on imported petroleum products. Aliko Dangote, chairman of Dangote Group, revealed on October 29 that the refinery had over 500 million litres of petrol in stock but was struggling to sell, blaming import competition. “I am expecting the NNPC or marketers to stop importing,” Dangote said, citing financial losses.

However, the Independent Petroleum Marketers Association of Nigeria (IPMAN) countered that the refinery’s prices were higher than imported alternatives, prompting them to continue sourcing fuel internationally. IPMAN accused the refinery of price rigidity and vowed to sell petrol below Dangote’s rates. The refinery responded, claiming any marketer selling below its price was likely importing substandard products, intensifying tensions within the industry.