By DAYO ADESULU
…Calls for Legislative Backing to Enforce ‘Nigeria First’ Energy Policy
President/Chief Executive of Dangote Industries Limited, Aliko Dangote, has insisted that Nigeria has no business importing crude oil or refined petroleum products, stating that the country possesses more than enough capacity to meet domestic demand — if existing laws are properly enforced.
Speaking during a visit by the South South Development Commission (SSDC) to the Dangote Petroleum Refinery and Fertiliser Complex in Lagos, Dangote said the Petroleum Industry Act (PIA) already provides a clear legal framework compelling oil companies to prioritise the domestic supply of crude. However, he warned that major operators continue to exploit loopholes in the system, frustrating Nigeria’s quest for self-sufficiency in refined products.
Oil Firms Divert Nigerian Crude for Profit, Dangote Alleges
According to him, several international oil companies (IOCs) routinely divert Nigerian crude to their foreign trading subsidiaries — particularly in Switzerland — where the same crude is resold to domestic refineries at a premium of four to five dollars per barrel.
“The crude is available. It is not a matter of shortage,” he said. “But these companies move everything to their trading arms, and we are forced to buy at a premium. Meanwhile, we do not receive any premium for our own products.”
Dangote revealed that he has written formally to the Federal Government, demanding a restructuring of royalty and tax payments to reflect actual crude prices, thereby preventing deliberate underpricing and revenue loss. He stressed that such changes would also discourage practices that weaken local refining.
NNPC Meeting Obligations, But Supply Remains Far Below Requirements
The business mogul acknowledged that the Nigerian National Petroleum Company Limited (NNPCL) remains the only supplier consistently honouring domestic crude obligations, delivering about five to six cargoes monthly. However, the Dangote Refinery — currently the largest in Africa — requires roughly twenty cargoes monthly from January 2026 to run at full capacity.
He described the current situation as “unsustainable for any nation intent on genuine industrial growth.”
Nigeria Losing Value Through Crude Export and Product Import
Dangote criticised a pattern he described as “economic self-sabotage,” pointing out that while the refinery exported 1.5 million tonnes of gasoline in June and July, Nigeria simultaneously continued to import large volumes of petrol.
“That is dumping,” he said. “A country cannot be exporting refined products while allowing imports to flood its market. It destroys local industry.”
His comments followed a report by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which claimed that the refinery supplied only 17.08 million litres of petrol out of the 56.74 million litres consumed in October 2025. Dangote countered that the refinery exports when regulatory practices encourage dumping by marketers.
Refinery to Supply 50 Million Litres Daily During Christmas and New Year
To stabilise supply during the festive period, Dangote pledged that the refinery would deliver 50 million litres of petrol every day throughout the Yuletide season. He said the company plans to make available 1.5 billion litres in December 2025 and another 1.5 billion litres in January 2026.
Calls for Legislative Backing to Strengthen Nigeria’s Energy Security
The industrialist praised President Bola Tinubu’s “Nigeria First” Policy but emphasised that the policy must be backed by law to prevent abuse.
“Without legislative enforcement, loopholes will continue to be exploited. We need laws that compel domestic value addition, not optional compliance,” he said.
Dangote added that Africa’s economic future depends on value addition, not continuous export of raw materials, arguing that the continent currently consumes more petroleum products than it refines. Africa’s demand is estimated at four million barrels per day, while regional refining capacity remains below one and a half million barrels.
Nigeria Can Reach a $1 Trillion Economy — But Only With Power and Steel
Addressing Nigeria’s ambition to reach a $1 trillion economy, Dangote insisted the target is realistic if the country focuses on power generation, steel development and industrial expansion.
“You cannot build a great nation without power and steel,” he said. “Every bolt and nut used here was imported. That should not be the case. Nigeria should be supplying steel to smaller African countries.”
Partnership With SSDC on Agriculture and Fertiliser Technology
Dangote announced new partnerships with the SSDC in soil testing and customised fertiliser formulation. He said many farmers experience poor yields because the fertilisers they use do not match their soil needs.
“We are setting up advanced soil testing laboratories. From next year, we will work with the SSDC to empower farmers with accurate soil assessments and customised fertiliser blends,” he said.
Electric Vehicles Are Not Yet Practical for Africa
Commenting on the global shift toward electric vehicles, Dangote said Africa will continue relying on petroleum products for the foreseeable future because more than 600 million Africans lack access to stable electricity.
“People talk about electric vehicles, but millions do not even have power for their fridge. Oil remains essential because over six thousand products come from it,” he said.
Dangote reaffirmed the refinery’s commitment to ensuring Nigeria emerges as a net exporter of refined products and petrochemicals, strengthening local industry and driving national economic growth.
