Dangote, NNPCL Refineries Supplying Less Than 50% of Nigeria’s Fuel Demand – FG
Despite a combined refining capacity of 985,000 barrels per day, Nigeria’s three operational refineries contribute less than 50% of the nation’s daily petrol consumption, according to the Federal Government. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) revealed that the shortfall is being covered through fuel imports.
At a press conference in Abuja on Wednesday, NMDPRA’s Chief Executive, Farouk Ahmed, stated that Nigerians currently consume about 50 million litres of petrol daily. He noted that under the Petroleum Industry Act 2021, the authority continues to issue import licenses to bridge the supply gap, preventing potential shortages.
Two state-owned refineries, the 210,000 barrels-per-day Port Harcourt refinery and the 125,000 bpd Warri refinery, resumed operations in 2024 after being inactive for years. Earlier in the year, the 650,000 bpd Dangote refinery also commenced operations, raising hopes for improved local fuel supply.
Despite claims from refinery operators that production levels have significantly increased, Ahmed represented by Executive Director Ogbugo Ukoha acknowledged that the country still relies on fuel imports, with over 50% of its petrol sourced from abroad.
He also pointed out that national petrol consumption has dropped from an average of 66 million litres per day to 50 million litres following the removal of the fuel subsidy. However, none of the refineries have imported petrol this year.
Fuel Supply Stability Amid Rising Demand
Ukoha highlighted that the festive season was free of fuel scarcity, despite an increase in demand in previous years. He explained that before the current administration, daily petrol supply exceeded 60 million litres, averaging about 66 million litres per day.
Following President Bola Tinubu’s announcement of subsidy removal on May 29, 2023, petrol consumption declined sharply. Since then, daily usage has stabilized at around 50 million litres, with domestic refineries supplying less than half of that amount. The remaining shortfall continues to be covered through imports.
He reaffirmed that none of the oil marketing companies (OMCs) that own refineries in Nigeria have imported petrol this year, emphasizing that other OMCs are handling the imports necessary to prevent shortages. The NMDPRA remains committed to ensuring a stable fuel supply across the country.
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Fuel Quality Concerns Addressed
The NMDPRA also assured Nigerians that all imported fuel meets the quality standards set by the Standards Organisation of Nigeria and the Petroleum Industry Act 2021. Ukoha dismissed concerns about substandard products, attributing some misleading claims about fuel quality to misinformation on social media.
“People who engage in social media speculation must understand that Nigerians are not gullible,” he stated.
