DAPPMAN Defends NMDPRA Against Dangote's License Lawsuit

The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) has pushed back against a lawsuit filed by Dangote Petroleum Refinery, which seeks to invalidate fuel import licenses issued by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). DAPPMAN argues that the challenge to the licenses is not merely administrative but a legal issue under the Petroleum Industry Act (PIA), which ensures the country's fuel supply security.

The dispute arises as Dangote's refinery, which operates at 650,000 barrels per day, claims that ongoing issuance of import licenses undermines local refining efforts and discourages investment. DAPPMAN maintains that NMDPRA is acting within its statutory powers to approve licenses to ensure uninterrupted fuel supply across Nigeria.

They emphasize that the attempt to retroactively void licenses creates uncertainty in the downstream sector, especially as Nigeria faces critical fuel supply challenges. DAPPMAN warns against monopolistic practices in the industry, asserting that the market should remain competitive with multiple players.