Aliko Dangote, the billionaire businessman and owner of the Dangote Refinery, filed a lawsuit against the Nigerian National Petroleum Company Limited (NNPCL) in September 2024. The legal action arose from allegations that the NNPC continued to import refined petrol in large quantities, despite the availability of locally produced fuel from Dangote’s state-of-the-art refinery. This importation, according to Dangote, undermined his business, as it led to market oversupply and made it difficult for his refinery to operate competitively.
The dispute centers on petrol pricing and market control. NNPC had reportedly purchased petrol from the Dangote Refinery at a cost of ₦898 per liter, a price that Dangote claims included additional costs imposed by NNPC, not reflecting the actual production cost of his fuel. This has led to tension, with Dangote maintaining that his locally refined petrol was around 15% cheaper than imported alternatives.
Amid the ongoing lawsuit, Dangote has requested ₦100 billion in damages from the NNPC and other regulatory agencies, accusing them of preventing his refinery from effectively distributing its products. The lawsuit further highlighted the inefficiencies in the fuel distribution network, with private marketers also voicing concerns over the NNPC’s dominance, which they claim prevents them from accessing Dangote’s petrol directly. Independent marketers have since appealed for more direct access to Dangote’s products, suggesting that it could help reduce costs for consumers.
