Officials from the Dangote Petroleum Refinery and local crude oil refiners have voiced strong opposition to the planned importation of Premium Motor Spirit (PMS), commonly known as petrol, by major oil marketers in Nigeria.
They argue that the quality of imported fuels does not match that of locally produced petrol from the Dangote facility, a stance echoed by representatives of the $20 billion refinery located in Lekki.
According to reports, three significant oil marketers are anticipating the arrival of imported petrol shipments this week, contingent on no unexpected delays. It is estimated that around 141 million litres of PMS are being transported to Nigeria, following the recent full deregulation of the downstream oil sector by the Federal Government.
The recent increase in pump prices for petrol produced by the Dangote refinery, as announced by the Nigerian National Petroleum Company Limited, has opened the door for these imports. In response, officials from the Dangote refinery and the Crude Oil Refiners Association of Nigeria (CORAN) criticized the marketers, asserting that imported fuels not only increase the demand for U.S. dollars but are also of inferior quality.
A source from the Dangote refinery stated, “Marketers are bringing in substandard fuels that are harmful. If this continues, we risk overwhelming our market with low-quality products.” Another official emphasized the need for public awareness regarding the dangers of these inferior fuels, highlighting that the blending processes used for these imports raise significant concerns.
Eche Idoko, the Publicity Secretary of CORAN, supported these claims, alleging that some of the fuels are blended in countries like Malta and Togo. He called for increased domestic refining capacity, arguing that fears of Dangote monopolizing the market are unfounded due to the existing regulatory framework established by the Petroleum Industry Act.
Idoko noted, “The apprehension among marketers stems from uncertainty about this new environment. However, I assure you that the current system will ultimately benefit them more than the previous reliance on imports of substandard products.”
He further criticized the ongoing importation of fuel, suggesting that efforts should focus on exporting refined products rather than compromising quality through imports. Drawing attention to the foreign exchange challenges marketers face, Idoko stated that relying on imports does not resolve the underlying issues, as they still depend on access to dollars for transactions.
In addressing the concerns about fuel quality, the Nigerian Midstream and Downstream Petroleum Regulatory Authority reassured the public that all imported PMS would undergo rigorous testing before being approved for sale. Spokesperson George Ene-Ita explained that imported products would be subjected to comprehensive testing at various stages, including at the port and the origin of the fuels, to ensure compliance with established standards.
“The products must meet our testing protocols before they can be distributed,” Ene-Ita emphasized, outlining the agency’s commitment to maintaining quality standards in the market.
