Nigerian court orders regulator to issue licenses to fuel importers — Premium Times Nigeria
The Federal High Court in Abuja, Nigeria, has ordered the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to continue issuing and renewing petroleum product import licenses for Matrix Energy, AA Rano and AYM Shafa. Justice Inyang Ekwo ruled that the regulator’s refusal to issue or renew such licenses contradicts the Petroleum Industry Act.
As Premium Times Nigeria reports, the court ordered the NMDPRA to grant, extend, renew or reissue licenses, permits and other authorizations for midstream and downstream petroleum operations, including petroleum product imports. This must be done provided that the companies meet all requirements established by law and the regulator.
The companies’ lawsuit
The three oil-trading companies filed a lawsuit in June, challenging the NMDPRA’s refusal to regularly issue or renew their import licenses. AA Rano Nigeria Limited Executive Director Sabiu Saidu Mahuta stated in a court filing that since July 2025, the regulator had done so only intermittently.
According to Mahuta, the NMDPRA’s actions and inaction contributed to the dominance of local refineries in the downstream segment of the industry. The companies also said they had collectively invested more than $20 billion in infrastructure, logistics and retail networks. In their view, the simultaneous presence of imports and local refining should strengthen competition and prevent monopolistic practices and price fixing.
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Regulator’s powers and dispute with Dangote
The court also noted that the NMDPRA retains exclusive authority to issue, amend, extend, renew, suspend, revoke or terminate licenses and permits. At the same time, the judge ruled that the exercise of these powers in violation of the Petroleum Industry Act and other relevant regulations is invalid.
The ruling was delivered amid a separate court dispute over import licenses. Dangote Refinery argues in its lawsuit that fuel imports should be allowed only when local refineries cannot meet domestic demand. The company filed a 100 billion naira lawsuit against Nigeria’s Attorney General of the Federation, while Matrix Energy, AA Rano and AYM Shafa submitted applications to join the case.
According to NMDPRA data cited by the publication, average daily gasoline supplies from local refineries rose in August to 35.9 million liters from 25.8 million liters in July. At the same time, average daily gasoline imports fell from 19.7 million to 14.6 million liters.
