Importers and petroleum marketers have kicked against the reported plan by the Dangote Petroleum Refinery and Petrochemicals to stop selling Premium Motor Spirit (petrol) to marketers who import petrol, describing the move as an attempt to block imports.

The marketers also challenged the refinery to provide evidence that imported petrol entering the Nigerian market is below the required quality standard.

The reaction followed the refinery’s reported consideration of restricting sales of PMS to major marketers that continue to import petrol into the country.

Sources familiar with the refinery’s position had said on Sunday that the proposed measure could take effect as early as this week, subject to further consultations and any last-minute intervention.

The refinery’s immediate concern is that some marketers are allegedly blending imported PMS with products purchased from the Dangote refinery before distributing the blended product to the market.

It is concerned that such practices could make it difficult to distinguish between products supplied directly by the refinery and products subsequently blended or handled by third parties.

“It is difficult to understand why we would invest heavily in producing high-quality petroleum products for Nigerians, only for those products to be mixed with imported products of uncertain quality and the resulting product to be associated with the refinery,” an official of the plant, who spoke in confidence due to lack of authorisation to speak on the matter, stated.

But speaking with The PUNCH, different marketers who spoke on condition of anonymity because of the sensitivity of the matter accused Dangote of trying to prevent the importation of petrol.

“We know what Dangote is trying to do.

He is just trying to block imports,” one of the marketers said. The marketer argued that a company that sells petrol could not dictate whether a consumer should combine its product with fuel purchased from another supplier.

Using the example of motorists buying petrol from different filling stations, the marketer said Dangote could not prevent consumers from combining products sourced from different suppliers.

“For example, when you buy petrol from a TotalEnergies station, and you go down the road, and your petrol is almost finished, you then buy from MRS. Can TotalEnergies say you should not mix its petrol with MRS petrol? No, it can’t. I don’t understand the game that the Dangote refinery is playing,” he stated.

Another marketer also argued that the Federal Government had a responsibility to ensure an adequate petrol supply and protect consumers, insisting that imports remained necessary when domestic production fell.

“Let me just give you some data.

The refinery has tried many ways to try to block imports, but when the government was not allowing imports, what happened? Was that not when the World Bank complained that the fuel price in Nigeria became 50 per cent higher?” he asked.

The marketer said the government should not restrict imports at the expense of consumers. “Is it not the government’s job to protect all of us? The job of the government is to protect everybody. So the government must allow people to import.

“Do you want the government to wait until the World Bank reprimands them again as they did in March? Should the government wait until they are reprimanded internationally for not protecting their people? So, the way in which they are now saying, please import, are they not doing their job?” he asked.

On the argument by local refiners that petroleum imports should stop as domestic refining capacity increases, another marketer said the government had allowed imports because of a decline in the Dangote refinery’s production in July, as reported by the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

He stated, “If you look at the authorities’ report for July, you will see that the refinery had a downtime for one week. The refinery’s Residual Fluid Catalytic Cracking unit was down.

“I just feel the company is just trying to fight the government for allowing imports. Last month, if you look at the reports from the authority, the RFCC unit was down; it produced less, and that is the basis why the government increased imports.

“For two months, the refinery was producing at 100 per cent, and then in the next month, it produced at 71 per cent, according to the report. And then the government allowed imports. Is the government not looking out for Nigerians to do that?”

An importer also questioned the basis for the refinery’s concern over the quality of imported petrol, demanding evidence that the products entering the country failed to meet regulatory specifications.

“Is there any evidence that the petroleum products coming in are below quality standards? There is no evidence. So why did they say that marketers are bringing in substandard products? Where is the proof of that?” the importer asked.

Meanwhile, the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, expressed belief that the Dangote refinery is open to doing business with anyone.

He said independent marketers remained willing to buy and sell petrol, while noting that they were not currently involved in importing the product. While saying he would not know if importers truly blend Dangote’s petrol with imported one, he said Dangote is in the best position to determine whatever it can do to discourage blending.

“I believe that the Dangote refinery is open for business and that it will continue to sell to marketers. The issue of blending, I cannot say yes or no, because I’m not part of those who are importing. Independent marketers are not importing yet; we are just marketers who buy and sell.

“So, if there is any measure to discourage adulteration of petroleum products by Dangote, I think the refinery and its experts know the best. They know the best way to deal with that. But our own is to continue to buy and sell to marketers. If there is a way to discourage adulteration of petroleum products, I won’t stop Dangote from doing so,” Ukadike added.

The development comes barely days after Dangote Refinery said rising petrol imports were creating uncertainty around domestic demand and forcing it to export excess stocks.

The refinery had said imported PMS accounted for approximately 43 per cent of fuel supplied into the Nigerian market in July, despite its capacity to meet and exceed domestic requirements.

It said the continued entry of imported PMS was making production and inventory planning increasingly difficult because of limited visibility over the volume of imports expected into the country. The refinery said surplus products that were not immediately absorbed by the domestic market had to be exported to regional and international markets.

“Consequently, DPRP’s export volumes have increased in recent months, not because local demand cannot be met, but because excess inventory generated by market uncertainty must be evacuated to avoid unnecessary storage and financing costs,” the refinery said.

Dangote had called for greater transparency, improved market coordination and policies that support local refining, enhance energy security, conserve foreign exchange and maximise the economic benefits of Nigeria’s investments in domestic refining capacity.