Why three major marketers sued the Dangote Refinery

• Three lipid marketers person asked a Federal High Court successful Abuja to halt what they called a determination by Dangote Refinery to power the Nigerian vigor sector
• The marketers disclosed that allowing the mega refinery to power the Nigerian lipid assemblage would beryllium disastrous for Nigeria
• The refinery, successful an earlier suit, questioned the necessity of licenses issued to cardinal lipid marketers to import refined petroleum products into Nigeria

Legit.ng’s Pascal Oparada has reported connected tech, energy, stocks, concern and the economy for implicit a decade.

On Wednesday, November 6, 2024, 3 salient lipid marketers successful Nigeria asked the Federal High Court successful Abuja to halt Dangote Refinery's crippled to instrumentality implicit the vigor sector.

The marketers are AYM Shafa Limited, A.A. Rano Limited, and Matrix Petroleum Services Limited. They maintained that allowing the mega refinery to power the lipid assemblage successful Nigeria would not extremity good for the country.

Chairman of the Dangote Group, Aliko Dangote Credit: PIUS EKPEI UTOMI/Bloomberg/Contributor
Source: Getty Images

Marketers question Dangote Refinery’s stand

The Dangote Group has yet to respond to inquiries astir the suit.

However, the lipid marketers filed the suit successful reply to situation the competence of the suit the refinery filed to annul the licenses they secured to import petroleum products into Nigeria.

The marketers' different partners successful the suit see the Nigerian Mindstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Nigerian National Petroleum Company Limited (NNPC).

Dangote Refinery moves to halt petrol import

The refinery, successful an earlier suit, questioned the necessity of licenses issued to cardinal lipid marketers to import refined petroleum products into Nigeria erstwhile it had not failed to conscionable up to its accumulation capacity.

Dangote Refinery averred that the NMDPRA breached Sections 317(8) and (9) of the Petroleum Industry Act (PIA) by issuing licences to import petroleum products to the defendants.

The refinery told the tribunal that the licenses were issued to the marketers contempt Dangote Refinery's diesel and aviation substance accumulation exceeding Nigeria's regular depletion requirements.

It asked the tribunal to grant N100 cardinal successful damages against the regulator, NMDPRA, for allegedly continuing to contented import licences to NNPC and lipid marketers to import petroleum products.

Vanguard reports that it prayed to the tribunal for an bid to seal disconnected each vessel farms, retention facilities, warehouses, and stations utilized by the marketers to store each refined petroleum products imported into Nigeria. 

Marketers allege crippled to power Nigeria’s vigor sector

However, successful a suit dated November 5, 2024, the 3 marketers told the tribunal that Dangote Refinery does not nutrient capable products for Nigerians’ regular consumption, stating that determination was thing for the tribunal to prove.

They told the tribunal they were suitable and entitled to beryllium fixed licenses by the NMDPRA to import petroleum products into Nigeria successful enactment with provisions of Section 317(9) of the PIA Act.

They stated that giving the refinery the powerfulness to power the energy marketplace successful Nigeria’s petroleum manufacture would termination contention and competitory pricing of petroleum products and further deteriorate the economy.

Oil marketers vow to clang petrol prices

Legit.ng earlier reported that marketers person vowed to import petroleum products to clang prices beneath the 1 sold by the Dangote Refinery.

They disclosed that they had registered a concern portion to guarantee the import of cheaper petroleum products earlier December.

Meanwhile, Africa’s largest refinery had crashed its petrol prices further down to N990 per litre.

NNPC replies implicit inferior substance claims

Legit.ng earlier reported that NNPC has categorically stated that it does not import inferior fuel and is not liable for the caller petrol terms increases.

In effect to calls for Mele Kyari’s resignation implicit petrol terms increases, the authorities lipid steadfast said the protesters were misinformed astir the causes of the substance terms increase.

The NNPC Chief Corporate Communications Officer, Olufemi Soneye, clarified this connected Tuesday, November 5, 2024, arsenic helium besides addressed the substance prime distributed by the NNPC.

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Source: Legit.ng