Nigeria must now not be uploading gas, now we have capability to satisfy native call for — Dangote

Editor-in-chiefDecember 2, 20257 Mins read7

Nigeria must now not be uploading gas, now we have capability to satisfy native call for — Dangote

Nigeria’s Fuel Import Dilemma: Dangote’s Call for Domestic Capacity and Policy Reform

**Article Title:** Nigeria must now not be uploading gas, now we have capability to satisfy native call for — Dangote

**Published:** December 2, 2025 | **Source:** Vanguard News

**Introduction**
Alemika Dangote, President and Chief Executive of Dangote Industries Limited, has delivered a formidable critique of Nigeria’s gas import practices, saying that the country possesses the inherent capability to satisfy its home petroleum call for with out reliance on imported crude or subtle merchandise. Speaking all over a discuss with to the Dangote Petroleum Refinery and Fertiliser Complex in Lagos, Dangote pinpointed systemic problems throughout the petroleum technology, basically connected to the exploitation of regulatory loopholes via multinational oil corporations (IOCs). His statements underscore a important problem to Nigeria’s financial self-sufficiency and commercial commercial space trajectory, without delay difficult the reason for persevered gas imports in spite of important home refining infrastructure.

**Analysis of Fuel Import Practices**
Dangote’s core argument facilities at the Petroleum Industry Act (PIA), which he contends establishes a transparent framework prioritizing home crude provide. However, he alleges that IOCs circumvent this intent via diverting Nigerian crude oil to their buying and selling subsidiaries, predominantly primarily based in Switzerland. This diversion forces native refineries, together with the large Dangote Refinery, to buy subtle merchandise from those offshore entities at an important top rate – Dangote estimates a 4 to 5 greenback according to barrel markup. Crucially, Dangote highlights the inequity: whilst Nigerian refiners pay this top rate for imported merchandise, they obtain no such top rate when promoting their very own in the neighborhood produced subtle fuels. This apply, he argues, creates a man-made tech dynamic that undermines native refiners’ competitiveness and profitability.

**Legal Implications and Regulatory Gaps**
The PIA used to be designed to handle exactly those issues via mandating home provide duties. Dangote’s formal letter to the Federal Government underscores the felony measurement, urging government to implement royalties and taxes according to the real worth paid for imported crude. This enforcement, he believes, is very important to forestall finance leakage and to penalize the practices that downside native refineries. The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) information, appearing the refinery equipped best 17.08 million litres towards 56.74 million litres fed on in October 2025, additional illustrates the space between regulatory mandates and operational fact. Dangote’s name for legislative backing for the “Nigeria First Policy” emphasizes the will for more potent felony frameworks to compel compliance with present home provide provisions.

**Summary**
Alemika Dangote has forcefully condemned Nigeria’s persevered reliance on imported gas, saying the country’s home refining capability is enough to meet native call for. His number one complaint objectives IOCs for diverting Nigerian crude to their buying and selling subsidiaries out of the country, forcing native refiners to shop for again merchandise at inflated costs. While acknowledging the NNPC’s adherence to home provide duties, Dangote highlights the Dangote Refinery’s want for considerably extra crude (20 cargoes/month vs. present 5-6) to function optimally. He perspectives the present import apply as unsustainable and a barrier to Nigeria’s objective of turning into a pace-setter in value-added African manufacturing and attaining its one trillion-dollar financial environment goal. Dangote advocates for stringent enforcement of the PIA, coverage give a boost to for home manufacturing, and a strategic shift clear of uncooked subject matter export in opposition to commercial cost addition.

**Key Points**
1. **Capacity Assertion:** Nigeria has the capability to satisfy its complete home gas call for with out imports.
2. **PIA Framework:** The Petroleum Industry Act establishes a felony foundation for prioritizing home crude provide.
3. **IOC Diversion:** International oil corporations divert Nigerian crude to their offshore buying and selling subsidiaries (e.g., Switzerland).
4. **Premium Pricing:** Local refineries are pressured to shop for imported subtle merchandise at a 4-5 greenback according to barrel top rate.
5. **Revenue Loss:** Paying premiums for imports whilst now not receiving premiums on exports ends up in important finance loss.
6. **NNPC Supply:** The Nigerian National Petroleum Corporation (NNPC) meets home duties however inadequate for optimum refinery operation.
7. **Refinery Demand:** The Dangote Refinery calls for ~20 cargoes/month vs. present ~5-6 for optimum operation.
8. **Unsustainability:** Current import practices are unsustainable for authentic commercial commercial space and financial diversification.
9. **Policy Need:** Legislative backing is a very powerful for the “Nigeria First Policy” to be efficient.
10. **Value Addition:** Africa’s long term financial commercial space relies on shifting clear of uncooked subject matter exports in opposition to value-added manufacturing.

**Practical Advice**
1. **Regulatory Enforcement:** Authorities will have to carefully implement the PIA, making sure home provide duties are met and combating crude diversion.
2. **Premium Pricing Review:** Implement mechanisms to verify native refiners don’t seem to be deprived via top rate pricing on imported merchandise.
3. **Policy Support:** Advocate for and give a boost to legislative measures that bolster the “Nigeria First Policy” and give protection to home technology.
4. **Infrastructure Investment:** Continued entrepreneur in home refining and petrochemical infrastructure is necessary to satisfy rising call for.
5. **Transparency:** Demand higher transparency from IOCs referring to crude allocation and pricing practices affecting native markets.

**Points of Caution**
1. **Global Market Dynamics:** Global crude costs and provide chain complexities can affect refining economics.
2. **Infrastructure Limitations:** Existing refinery capability (even at complete operation) won’t instantaneously meet *all* call for with out concurrent infrastructure upgrades somewhere else.
3. **Policy Implementation Risk:** Enforcement of latest or bolstered insurance policies will also be gradual and face resistance.
4. **Market Stability:** Sudden shifts in import/export insurance policies may purpose tech volatility.
5. **Competition:** Local refineries face festival from imported merchandise, requiring efficient tech law.

**Legal Implications**
The core felony implications revolve across the **Petroleum Industry Act (PIA)**. The Act mandates home provide duties for crude oil to refineries and prohibits practices like crude diversion that undermine this function. Dangote’s formal letter to the Federal Government highlights the will for **enforcement** of royalties and taxes according to the *exact worth paid for imported crude*. This suggests a possible hole between the PIA’s *intent* (home provide) and its *enforcement* referring to *pricing and finance assortment* from imported merchandise. Legal demanding situations may rise up if the PIA’s provisions are deemed violated thru non-compliance with home provide quotas or thru regulatory frameworks that inadvertently facilitate top rate pricing reaping rewards offshore entities. The NMDPRA’s function in tracking and implementing compliance is legally mandated and demanding to addressing those implications.

**Conclusion**
Alemika Dangote’s statement that Nigeria possesses the capability to stop gas imports and meet home call for is a formidable indictment of present technology practices and regulatory enforcement. His center of attention at the exploitation of the PIA’s framework via multinational oil corporations diverting crude to offshore buying and selling fingers exposes a important flaw in Nigeria’s earnings to useful resource usage and commercial branding. While acknowledging the NNPC’s partial compliance, Dangote underscores the Dangote Refinery’s want for considerably higher crude allocation to function successfully. The trail ahead, as he advocates, lies in stringent enforcement of present regulations, legislative reinforcement of the “Nigeria First Policy,” and a decisive shift in opposition to leveraging home refining capability for cost addition and financial commercial space. This transition isn’t simply about preventing imports; it is essentially about development a sustainable, self-reliant petroleum finance that fuels Nigeria’s broader commercial ambitions.

**FAQ**

1. **What is Dangote’s major argument towards gas imports?**
* Dangote argues Nigeria has the home refining capability to satisfy all native gas call for with out imports. He blames multinational oil corporations for diverting Nigerian crude to their offshore buying and selling subsidiaries, forcing native refineries to shop for again merchandise at a top rate.

2. **How does the Petroleum Industry Act (PIA) consider?**
* Dangote states the PIA establishes a felony framework prioritizing home crude provide. He believes the Act’s intent is being undermined via IOC practices, and more potent enforcement and legislative backing are wanted.

3. **What proof does Dangote cite referring to refinery capability?**
* He states the NNPC supplies 5-6 cargoes of home crude per month to refineries, however the Dangote Refinery on my own calls for 20 cargoes/month to function optimally. The NMDPRA information appearing best 17.08 million litres equipped vs. 56.74 million fed on in October 2025 is cited as proof of the shortfall.

4. **What are the monetary affects of uploading at a top rate?**
* Local refineries pay a 4-5 greenback according to barrel top rate for imported merchandise. Dangote argues this ends up in important finance loss for Nigeria and downsides home refiners who can not fee equivalent premiums on their very own merchandise.

5. **What answers does Dangote suggest?**
* He requires strict enforcement of the PIA, making sure royalties and taxes are according to the real worth paid for imported crude. He additionally advocates for legislative give a boost to to toughen the “Nigeria First Policy” and shift in opposition to home cost addition.

6. **Is Nigeria’s objective of a one-trillion-dollar financial environment achievable?**
* Dangote believes it’s possible thru disciplined coverage execution, stepped forward energy era, and reviving the metal finance, along leveraging home refining capability for cost addition.

7. **How does this relate to Nigeria’s broader financial industry?**
* Dangote perspectives lowering gas imports and maximizing home refining as very important steps in opposition to Nigeria’s transition from being a uncooked subject matter exporter to a pace-setter in value-added African manufacturing and sustainable financial commercial space.

8. **What function does the NMDPRA play?**
* The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) is answerable for regulating the downstream finance and tracking compliance with provide duties just like the PIA. Dangote’s figures spotlight a possible compliance factor.

9. **What is “dumping” on this context?**
* Dangote accuses entrepreneurs of “dumping” imported subtle merchandise into the Nigerian tech, flooding it in spite of the rustic having enough home manufacturing capability, which undercuts native refiners.

10. **Where can I in finding the unique supply?**
* The unique article used to be printed on Vanguard News on December 2, 2025: [www.vanguardngr.com](http://www.vanguardngr.com)

**Sources**
* Vanguard News. (2025, December 2). *Nigeria must now not be uploading gas, now we have capability to satisfy native call for — Dangote*. Retrieved from [www.vanguardngr.com](http://www.vanguardngr.com)
* Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). (2025, October). *Monthly Market Data Report*. (Referenced information level: October 2025 intake vs. provide figures).
* Petroleum Industry Act (PIA), 2021 (Relevant sections on home provide duties and licensing).