FUEL SUPPLY SHOWDOWN: AGF, NNPC transfer to protect vitality security 

By Nnamdi Ojiego

The Nigerian National Petroleum Company Restricted (NNPC Ltd.) and the Spot of job of the Felony expert Customary of the Federation (AGF) have launched a vigorous correct field in opposition to a original lawsuit filed by Dangote Refinery searching for to discontinuance the issuance and renewal of petroleum product import licences all over the country, arguing that the transfer poses an instantaneous likelihood to national vitality security.

The suit, marked FHC/L/CS/857/2026 and pending previous to the Federal High Courtroom in Lagos, represents the most modern and most dramatic escalation within the continuing correct and industrial battle over Nigeria’s downstream petroleum market.

Dangote Refinery is asking the court docket to restrain the Federal Authorities and all regulatory agencies from issuing or renewing import licences for Top price Motor Spirit (PMS), Automotive Gas Oil (AGO), and Jet A1, contending that its rep refining capability is now adequate to meet the whole lot of national ask.

As correctly as to the import ban depend on, the refinery has also formally accused the Federal Authorities and its agencies, including NNPC Ltd., of failing to be determined adequate coarse oil present to enhance its operations.

Alternatively, documents and submissions now previous to the AGF existing that NNPC Ltd. is strongly opposing the suit.

The national oil firm insists that the reliefs sought by Dangote may per chance per chance well fundamentally undermine Nigeria’s fuel security framework and disrupt statutory present obligations imposed on the firm beneath the Petroleum Industry Act (PIA).

The splendid battle of phrases took a dramatic procedural turn after the Federal High Courtroom, on April 29, ordered all events, including NNPC Ltd., to preserve the predicament quo pending additional court docket cases. Courtroom records existing that NNPC became once formally served with the enrolled remark on Might per chance well well 4, following which the AGF requested the firm’s official build on Might per chance well well 7.

NNPC spoke back with out warning the following day, ahead of the scheduled hearing mounted for Might per chance well well 13. Sources unsleeping of the deliberations instructed this newspaper that NNPC’s response to the AGF argues that the most modern case is severely identical to an earlier suit filed by Dangote Refinery in 2024, marked FHC/ABJ/CS/1324/2024. That previous case, insiders mentioned, became once by hook or by crook discontinued after what became once described as a vigorous correct field mounted by the defendants. NNPC contends that the 2026 suit merely seeks to revive the identical claims beneath Sections 317(8) and 317(9) of the Petroleum Industry Act.

The national oil firm is which ability of this truth searching for to be joined as a important celebration within the matter whereas simultaneously not easy the competence of the suit. In an intensive submission to the AGF, NNPC argued that Portion 317(9) of the PIA can splendid draw pursuant to a formally activated Backward Integration Protection beneath Portion 317(8).

Seriously, the firm eminent that no gazette, directive, or official policy instrument has been issued to spark off such provisions. NNPC additional maintained that the law, despite the whole lot, applies to its rep operations thanks to its long-standing procuring and selling actions and possession pursuits within the Port Harcourt, Warri, and Kaduna refineries.

Presumably most enormously, NNPC pressured in its submission that beneath Portion 64(m) of the PIA, it remains the statutory vendor of ultimate resort. Officers unsleeping of the matter outlined that this accountability requires NNPC to have interplay in actual import planning, strategic fuel storage administration, and nationwide distribution readiness in yelp to damage shortages and safeguard vitality security.

The firm warned the AGF that granting Dangote’s requests may per chance per chance well at once impair its ability to acknowledge with out warning to present emergencies or likely scarcity eventualities.

The firm also argued that NNPC, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), and the Nigerian Upstream Petroleum Regulatory Fee (NUPRC) are all factual and important events to the suit because they comprise important operational and regulatory knowledge pertaining to to coarse allocation, import planning, refinery operations, storage logistics, and nationwide product distribution.

Industry observers divulge the damage outcomes of the case may per chance per chance well enormously reshape Nigeria’s petroleum present framework, competition construction, and fuel import regime within the publish-subsidy generation.

As of press time, the court docket has mounted Might per chance well well 13 for added court docket cases, with all events ordered to preserve the predicament quo.

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