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NNPCL Fails to Stop Dangote’s N100bn Lawsuit Over Fuel Importation

The Federal High Court in Abuja on Tuesday dismissed an application by the Federal Competition and Consumer Protection Commission (FCCPC) to be joined in a lawsuit filed by Dangote Petroleum Refinery against the Nigerian National Petroleum Company Limited (NNPCL) and oil marketers.

Justice Inyang Ekwo ruled that the FCCPC was not a necessary party in the case and that the dispute could be effectively determined without its involvement.

Dangote’s Lawsuit Against Fuel Importation

Dangote Refinery, in suit FHC/ABJ/CS/1324/2024, sued the Nigeria Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), NNPCL, and five oil marketing companies—AYM Shafa Limited, A.A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited.

The refinery is seeking a court order nullifying the import licenses issued by NMDPRA to NNPCL and the five companies for importing refined petroleum products.

Dangote Refinery argued that NMDPRA violated Sections 317(8) and (9) of the Petroleum Industry Act by issuing import licenses when there was no established shortfall in local petroleum supply.

The company also demanded ₦100 billion in damages from NMDPRA for allegedly continuing to issue import licenses despite its capacity to meet local demand.

FCCPC’s Failed Attempt to Join the Case

The FCCPC had filed a motion seeking to be joined in the suit, arguing that Dangote’s lawsuit aimed to create a monopoly in the petroleum industry, which contradicted the FCCPC’s mandate to promote market competition.

“The main thrust of Dangote Refinery’s suit borders on anti-competition and monopoly in the petroleum industry,” the FCCPC stated.

However, Dangote Refinery opposed the move, describing the FCCPC as a “meddlesome interloper” with no role in a case concerning the Petroleum Industry Act.

Justice Ekwo sided with Dangote, rejecting the FCCPC’s application.

NNPCL’s Failed Jurisdiction Challenge

NNPCL also filed a preliminary objection, arguing that the court lacked jurisdiction to hear the suit. The company claimed that Dangote sued a non-existent entity, as the second defendant in the case was listed as “NNPC”, whereas its registered name is “Nigerian National Petroleum Company Limited”.

NNPCL urged the court to strike out its name from the suit, questioning Dangote’s legal standing to file the case.

Justice Ekwo, however, dismissed NNPCL’s objections, ruling that the challenge lacked merit. The court also granted Dangote permission to amend the suit to correctly reflect NNPCL’s official name.

Next Hearing Scheduled

Following these rulings, Justice Ekwo adjourned the case to March 6 for further proceedings.

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