Energy Transparency Group Condemns NMDPRA Decision to Resume Fuel Imports Citing Risks to Domestic Refining Sovereignty

Energy Transparency group warns NMDPRA's fuel import resumption risks flooding Nigeria with substandard products and undermining local refineries.

By: AXL Media

Published: Mar 26, 2026, 5:21 AM EDT

Source: The information in this article was sourced from The Nation

A Regressive Shift in Downstream Policy

Nigeria’s petroleum regulatory landscape faces renewed scrutiny following the Nigerian Midstream and Downstream Petroleum Regulatory Authority’s decision to reopen the doors to fuel imports. This move, which marks a significant departure from earlier claims that domestic capacity could satisfy national demand, has been met with stiff resistance from industry watchdogs. The Energy Transparency and Market Justice Initiative (ETMJI) characterized the shift as a policy backslide that prioritizes short term relief over the long term structural integrity of the nation's energy sector, arguing that such inconsistencies destabilize the path toward fuel self sufficiency.

Concerns Over Product Quality and Oversight

A primary point of contention involves the potential influx of lower quality petroleum products under the guise of emergency stabilization. Dr. Salako Kareem, representing the ETMJI, cautioned that reintroducing large scale imports without rigorous, watertight quality assurance mechanisms is a dangerous gamble with consumer safety. The group contends that the regulator’s move to authorize 180,000 metric tonnes of petrol imports could bypass essential specifications, reviving historical issues of product adulteration that have previously plagued the Nigerian downstream market and damaged vehicle engines across the country.

The Impact on Local Refining Confidence

The advocacy group further argued that the NMDPRA’s oscillation between supporting local production and expanding imports sends a chilling signal to private investors. For those who have committed substantial capital to building domestic refining capacity, such regulatory volatility creates a climate of uncertainty that discourages long term planning. According to the ETMJI, the regulator cannot credibly advocate for import substitution while simultaneously lowering the barriers to foreign fuel at the first sign of distribution inefficiencies or global market fluctuations, effectively undermining the competitive edge of home grown refineries.