The petrol import market in Nigeria has received a fresh legal boost after a Federal High Court in Abuja ordered the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to keep the market open to three oil marketers.

The order affects Matrix Energy, A.A. Rano and AYM Shafa, three companies that have been involved in the long-running dispute over the issuance and renewal of petrol import licences in Nigeria.

The ruling was delivered by Justice Inyang Ekwo on Monday, September 28, in a case concerning the marketers’ efforts to maintain access to licences that allow them to import petrol into the country.

The development comes at a sensitive time for Nigeria’s downstream petroleum sector, as the country continues to increase domestic refining while imported petrol remains part of the wider supply chain.

Court Orders Continued Access to Petrol Import Market

Justice Ekwo ruled that eligible marketers should be allowed to obtain, extend or renew their petrol import licences as long as they satisfy the relevant legal and regulatory requirements.

The decision means NMDPRA cannot simply shut the three companies out of the import market without regard to the statutory conditions governing petroleum product imports and the rights of eligible operators.

The case has its roots in a wider dispute over the role of imported petroleum products in Nigeria’s fuel market, particularly as domestic refining capacity has expanded significantly in recent years.

The three marketers had previously challenged restrictions surrounding their import licences, arguing that continued access to the market was necessary to maintain competition and prevent a situation where supply becomes concentrated among a limited number of domestic producers.

The court’s position also touches on competition within the downstream petroleum industry, with relevant provisions of the Petroleum Industry Act and the Federal Competition and Consumer Protection Act forming part of the legal arguments around the matter.

For the marketers, maintaining access to import licences provides another route through which they can participate in the supply of petrol, while NMDPRA retains its regulatory responsibility over who can bring petroleum products into Nigeria and under what conditions.

Nigeria Balances Domestic Refining With Petrol Imports

The latest ruling comes as Nigeria continues to adjust to a changing fuel-supply structure following the growth of domestic refining, particularly with the increasing contribution of the Dangote Petroleum Refinery.

NMDPRA approved permits covering about 830,000 metric tonnes of petrol imports for the fourth quarter of 2026, with Matrix Energy, A.A. Rano, AYM Shafa, NIPCO, Pinnacle Oil and Bono Energy listed among the beneficiaries. The regulator said the approvals were intended to help prevent supply gaps during the final months of the year.

The approval has kept imported petrol in Nigeria’s supply mix despite the significant increase in domestic refining capacity. NMDPRA data cited by Vanguard showed that domestic refineries supplied about 76.7 per cent of the country’s petrol supply in the first quarter of 2026, while petrol imports had fallen by roughly 60 per cent year-on-year.

The figures demonstrate how the structure of Nigeria’s petrol market has changed, with local refineries now providing a much larger share of the fuel consumed across the country than in previous years.

However, the continued approval of import permits shows that imported products have not completely disappeared from the supply chain, with regulators still maintaining access to foreign supplies as part of the broader effort to prevent shortages.

The issue has also become closely linked to the ongoing legal disagreement involving Dangote Petroleum Refinery and petrol import licences, with the refinery previously challenging the issuance of licences to marketers and arguing that imports should be restricted where domestic supply is sufficient.

The marketers, on the other hand, have argued that maintaining access to imports supports competition and energy security, particularly when market conditions or domestic production levels create potential supply concerns.

The latest court order therefore adds another development to the continuing debate over how Nigeria should balance domestic refining with imported petroleum products.

For consumers, the effect of the ruling will depend on how the wider market responds, including the volume of petrol supplied by domestic refineries, the quantity actually brought in by licensed importers and the prices at which both locally refined and imported products reach the market.

As Nigeria moves toward the final quarter of 2026, the petrol import market is likely to remain an important part of discussions about fuel availability, competition and the future structure of the country’s downstream petroleum industry.

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