Nigeria’s Petrol Imports Surge to N15.4tn Despite Local Refining

• Mar 10, 2025

Nigeria’s petrol import bill more than doubled in 2024, rising from N7.5 trillion to a record N15.4 trillion, despite the start of local refining operations. This increase, highlighted in the National Bureau of Statistics (NBS) foreign trade data for 2024, raises concerns about the country’s dependence on fuel imports even as refineries like Dangote, Port Harcourt, and Warri resumed production.

Petrol Imports Reach New Highs

In the last quarter of 2024, petrol imports dominated Nigeria’s foreign trade, pushing total merchandise trade to N36.6 trillion. A further breakdown of NBS data shows that fuel importation jumped by 105% over the past three quarters, marking the highest import bill in Nigeria’s history.

Over the years, Nigeria’s spending on petrol imports has steadily risen. In 2020, the country spent N2.01 trillion on imports, which more than doubled to N4.56 trillion in 2021. By 2022, the figure increased to N7.71 trillion before slightly dropping to N7.51 trillion in 2023. However, in 2024, the import cost soared to N15.42 trillion, despite the boost in local refining capacity.

Dangote Refinery vs. Fuel Imports

Despite the Dangote Refinery’s launch and the reopening of Port Harcourt and Warri refineries, Nigeria has yet to cut down on petrol imports. In February 2025 alone, oil marketers imported petrol worth N935 billion. Between October 2024 and January 2025, total fuel imports stood at N5.5 trillion, according to data from the NBS and the Nigerian Ports Authority.

While some industry players see fuel importation as beneficial, others argue that it undermines local production. Clement Isong, Executive Secretary of the Major Energies Marketers Association of Nigeria, stated that importation enhances market competition and helps stabilize prices.

However, Dangote Refinery President Aliko Dangote has opposed continued imports, insisting that his refinery’s 650,000 barrels-per-day capacity is enough to meet Nigeria’s fuel needs. Yet, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) reported that local refineries, including Dangote’s, supplied only 50% of Nigeria’s petrol needs in February 2025.

Petrol Prices and Market Impact

Despite increased local production, Nigerians are still paying high prices for petrol, with rates ranging between N860 and N970 per litre, depending on location. The ongoing price war between Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL) has led to a slight reduction in fuel prices, with petrol selling for as low as N860 per litre in Lagos and N880 in Abuja.

While NNPCL denies importing petrol in 2025, industry reports suggest that the country remains reliant on external fuel supplies. The growing import bill raises concerns about the effectiveness of Nigeria’s refining sector and the need for policies that promote energy self-sufficiency.