The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has issued new petrol import licences following supply disruptions linked to the ongoing conflict in the Middle East, despite earlier assurances that domestic production was sufficient to meet national demand.

According to a report by S&P Global, the regulator approved import permits to address a shortfall triggered by global supply shocks.

An official at the downstream authority said the decision became necessary after the agency had initially withheld import licences in February due to improved local supply.

“The NMDPRA did not issue import licenses for gasoline in February on the strength of improved domestic supply then. But the Middle East crisis came and we have had a shortfall. So to bridge the gap, import licenses were issued,” the official said.

The report indicated that six oil marketers were granted licences to import a total of 180,000 metric tonnes of petrol to stabilise supply in the country.

This development comes just weeks after the NMDPRA stated that it had suspended the issuance of new petrol import licences, citing sufficient domestic production. Data for February showed no import permits were issued, reinforcing the regulator’s earlier position.

The shift reflects the impact of external supply disruptions on Nigeria’s fuel market, even as the government continues efforts to prioritise local refining under the Petroleum Industry Act (PIA), which allows imports only when domestic output is inadequate.

Industry data showed that Nigeria’s average daily petrol consumption dropped to 56.9 million litres per day in February 2026, compared to 60.2 million litres in January. During the same period, the Dangote Refinery contributed significantly to local supply, delivering 36.5 million litres of petrol and 8 million litres of diesel to the domestic market.

The regulator had earlier maintained that these volumes were sufficient to meet national demand, justifying its decision to halt import licences before the Middle East crisis disrupted global supply chains.

However, concerns have been raised by Dangote Industries Limited President, Aliko Dangote, who warned that continued importation could undermine Nigeria’s refining sector and distort the market.

Dangote argued that Nigeria has the capacity to meet its fuel needs locally, stating that his refinery alone can produce up to 75 million litres of petrol daily. He added that despite growing local production and exports, import licences were still being issued, a situation he said could affect energy security and investor confidence.

Meanwhile, the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has called on the Federal Government to urgently introduce temporary relief measures to cushion the economic strain caused by rising petrol prices across the country.

In a statement issued by its National Public Relations Officer, Dr. Joseph Obele, the association warned that the persistent increase in pump prices is exerting mounting pressure on citizens, businesses, and the broader economy.

Similarly, the Nigeria Employers’ Consultative Association (NECA) has raised concerns over the rising cost of energy in Nigeria, warning that increasing global oil prices are placing significant strain on businesses and households.

PETROAN’s National President, Dr. Billy Gillis-Harry, noted that the surge in fuel costs has already triggered a ripple effect, leading to higher transportation fares, increased prices of essential commodities, and a noticeable decline in household purchasing power.

While acknowledging the role of global market forces in shaping domestic fuel pricing, the association stressed that timely and pragmatic government intervention is critical to prevent further economic hardship, particularly for vulnerable households and small-scale enterprises.

To address the situation, PETROAN outlined several short-term recommendations for immediate implementation.

Top among them is the introduction of transportation relief measures aimed at reducing the burden of high commuting costs on Nigerians. The association also urged the government to strengthen the Naira-for-Crude policy to improve local refining capacity and help stabilize fuel prices.

PETROAN further called for an urgent directive to the Nigerian National Petroleum Company Limited (NNPCL) to ensure the full and sustained operation of the Port Harcourt Refinery, noting that improved domestic refining could enhance supply security and reduce pricing pressures.

In addition, the group advocated temporary interventions to address rising food prices, warning that inflation in the food sector is compounding the hardship caused by expensive fuel.

It also emphasized the need to accelerate the adoption of alternative energy sources such as Compressed Natural Gas (CNG) and Liquefied Petroleum Gas (LPG), describing them as more affordable and sustainable options for both transportation and household energy use.