Nigeria’s petrol imports increased significantly in 2024, escalating by 105. 3% to N15. 42 trillion, despite considerable investments in domestic refining, as reported by the National Bureau of Statistics.
The most recent foreign trade statistics disclosed that the expenditure on petrol imports surged from N7. 51 trillion in 2023 to N15. 42 trillion in 2024.
This substantial rise occurred during a period when optimistic projections anticipated a reduction in dependence on external supply following the initiation of operations at the 650,000-barrel-per-day capacity Dangote Petroleum Refinery and ongoing revitalization initiatives at other local refineries.
Over the preceding five years, Nigeria’s petrol import costs have consistently increased. In 2020, the nation allocated N2. 01 trillion for fuel imports, more than doubling to N4. 56 trillion in 2021.
By 2022, the amount further escalated to N7. 71 trillion before experiencing a slight decrease to N7. 51 trillion in 2023.
However, in 2024, fuel import expenditure soared to a record high of N15. 42 trillion, marking the highest petrol import bill in Nigeria’s history.
It is noteworthy that despite the initiation of petrol production by three major refineries in Nigeria, oil marketers persisted in importing and distributing the product nationwide.
Marketers imported 2. 3 billion liters of petrol between September 11 and December 5, 2024.
The ongoing importation of petrol contradicts a prior public statement made by a coalition of marketers who had expressed their intention to cease petrol imports and concentrate on domestic supply.
The local refineries include the 650,000 barrel per day capacity Dangote Petroleum Refinery located in Lagos and the 210,000 bpd capacity Port Harcourt Refining Company in Rivers State.
Clement Isong, the Executive Secretary of the Major Energies Marketers Association of Nigeria, elucidated that importation fosters competition, thereby helping to reduce the price of PMS.
“What importation does for us is that it enhances the competitiveness of the market. The price fluctuations you are experiencing and the market rivalry are outcomes of importation. Importation is beneficial. “
Isong further remarked, “We advocate for local refining. Let’s be clear. We desire local refining. What guarantees the most competitive price is that the prices of locally refined fuel must contend with imported prices. That is what maintains our pump prices as low as possible. “
The Nigerian National Petroleum Company Limited, via its gas marketing subsidiary and partners, has executed a Gas Sale and Purchase Agreement (GSPA) with Ssonic Petroleum Ltd. to provide natural gas to the company’s proposed Liquefied Natural Gas (LNG) facility in the Lekki Free Trade Zone, Lagos State.
As per a statement from the company’s spokesperson, Olufemi Soneye, the agreement was formalized as part of initiatives to ensure energy security in Nigeria.
