*The Independent Petroleum Marketers Association of Nigeria kicks against the Federal Government’s move to issue new licences to companies for importation of petroleum products, arguing the move is worsening price volatility of petroleum products while exerting needless pressure on the Naira
Isola Moses | ConsumerConnect
The Independent Petroleum Marketers Association of Nigeria (IPMAN) has moved against issuance of fresh licences to some companies for importation of petroleum products into the West African country.
Chinedu Ukadike, National Publicity Secretary of IPMAN, disclosed the Association made this decision through a voice note released to reporters Sunday, July 19, 2026, in Abuja, FCT.
The Association said the move to license more fuel oil importers was worsening price volatility of petroleum products in the country, as well as putting unnecessary pressure on the Naira.
Ukadike who spoke with regard to recent developments in the downstream sector of the petroleum industry, said independent marketers had studied the developments closely, especially price volatility, the import licencing regime, and the sale of petroleum products in Dollars.
He disclosed the Association concluded that the recent issuing of licences to some companies for importation of petroleum products is not in the best interest of Nigerian energy consumers.
IPMAN leadership, therefore, urged the Federal Government to look into the matter transparently through the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), with a view to reviewing the decision.
IPMAN’s key argument against more fuel importation licences
Issuing more licences for the importation of petroleum products, which is meant to serve as a check on the prices of domestically refined petroleum products, is not achieving the results expected by independent marketers, stated Ukadike.
The National Publicity Secretary of IPMAN further explained that landing price of petrol is N1,350, or about 20 percent higher than the price being sold by Dangote Petroleum Refinery.
He also contended that makes the importation of the product counterproductive in the downstream petroleum sector.
According to him, importing petroleum products at a higher cost than locally available products does not make economic sense.
Ukadike as well linked the granting of licences for the importation of petroleum products to recent pressure on the Naira which has led to the depreciation in the exchange rate of the currency to N1,400 to the Dollar, which he said, in turn, was affecting the pump price of petroleum products across the country.
He noted that the one major gain Nigeria has recorded from local refining is a continuous, uninterrupted supply of petroleum products, something the country struggled with in the past when it depended heavily on imports.
He asked stakeholders: “If we have a continuous, uninterrupted supply, our problem is pricing.
“Is it not better to sit down and see how this issue can be controlled than to sign unnecessary import licences that will further inflate the price of petroleum products in our country?”
IPMAN advocates increased local oil-refining capacity
Ukadike urged stronger support for local refining capacity, including government-owned refineries alongside Dangote Refinery, describing this as necessary for the country’s energy security.
He said Nigeria should prioritise its own oil-refining capacity rather than depend on imports from overseas.
Since the Dangote Refinery came on stream, scarcity of petroleum products which was a perennial problem has become a thing of the past.
He, therefore, urged the Federal Government to look inward and support the domestic refining of petroleum products to guarantee energy security, ensure sufficient local supply, and generate additional Foreign Exchange (Forex) for the country through exports.