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Nigeria has suspended the issuance of Premium Motor Spirit (PMS) import licenses for a second consecutive month, a move widely seen as a significant boost for the Dangote Refinery and other domestic refiners.

The decision reflects regulators’ growing enforcement of the Petroleum Industry Act (PIA), which allows petrol imports only when local production cannot meet national demand. Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) shows that no import permits were issued in February. The Crude Oil Refineries Association of Nigeria (CORAN) also confirmed that none have been granted so far in March, signalling a stronger push to prioritize locally refined fuel.

Several oil marketing firms—including a unit of TotalEnergies, Conoil Plc, and MRS Nigeria Plc—previously imported about a quarter of Nigeria’s petrol supply in January but have now had their licenses suspended, according to Bloomberg.

The shift underscores the federal government’s intent to strengthen domestic refining capacity. It also represents a win for the Dangote Refinery and other local operators, which last year challenged the NMDPRA and the Nigerian National Petroleum Company (NNPC) Limited in court over continued fuel imports.

Under the PIA, import permits can only be issued when domestic output is insufficient to meet national demand. While some stakeholders had argued that imports were necessary to maintain competition and avoid market dominance, the regulator now appears focused on supporting local production.

Meanwhile, petrol prices have surged by more than 50 percent following recent military strikes by the United States and Israel on Iran, which have driven volatility in global oil markets. NMDPRA spokesperson George Ene Ita attributed the sharp increase in pump prices to escalating tensions in the Middle East.

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Nigeria’s average daily petrol consumption fell to 56.9 million litres in February 2026, down from 60.2 million litres in January. During the same period, the Dangote Refinery supplied about 36.5 million litres of petrol and 8 million litres of diesel to the local market each day. The remaining shortfall—estimated at around 20 million litres per day—was covered by existing imported stock. According to the NMDPRA, these available supplies were adequate, leading to the decision to withhold new import licenses.