By Abigail Philip David
Nigeria’s petrol imports doubled in 2024, reaching an all-time high of N15.42tn, despite increased domestic refining capacity, according to a report by the National Bureau of Statistics (NBS).
The latest foreign trade statistics reveal a 105.3% surge in petrol import costs from N7.51tn in 2023 to N15.42tn in 2024. This sharp rise comes at a time when the country was expected to reduce its dependence on foreign fuel, following substantial investments in local refining.
The Dangote Petroleum Refinery (650,000 barrels per day capacity) and the recently revived Port Harcourt and Warri refineries were anticipated to ease import reliance. However, the data suggests that these facilities have yet to reach full production capacity to meet domestic demand.
Rising Petrol Import Costs Over the Years
Nigeria’s fuel import bill has steadily increased over the past five years:
- 2020: N2.01tn
- 2021: N4.56tn
- 2022: N7.71tn
- 2023: N7.51tn
- 2024: N15.42tn (highest ever recorded)
Continued Fuel Imports Despite Local Refining
Despite local refining efforts, oil marketers imported 2.3 billion litres of petrol between September and December 2024. This contradicts earlier announcements by some marketers to prioritize domestic supply over imports.
The Dangote Refinery in Lagos, Port Harcourt Refining Company (PHRC) (currently producing 60,000 bpd from its old plant), and Warri Refining and Petrochemical Company (WRPC) were expected to cut down import reliance. However, major oil marketers imported 6.38 billion litres of petrol and diesel in the past five months, costing Nigeria approximately N6tn—a move that further pressured the country’s forex reserves.
Marketers Defend Importation
The Major Energies Marketers Association of Nigeria (MEMAN) defended fuel imports, arguing that competition between imported and locally refined fuel helps maintain competitive prices at the pump.
MEMAN’s Executive Secretary, Clement Isong, stated:
“Importation contributes to market competitiveness. The price movements and market competition you see are because of importation. We want local refining, but competition ensures that locally refined fuel remains affordable.”
While Nigeria pushes for self-sufficiency in fuel production, the sharp rise in petrol imports raises concerns over domestic refining efficiency and forex stability.
