By Ali Elias
Aliko Dangote, Africa’s richest man and President of the Dangote Group, has reiterated his commitment to the survival of his $20 billion refinery in Lekki, Lagos, amidst ongoing challenges.
Speaking at an investor forum in Lagos, Dangote expressed confidence in overcoming obstacles posed by entrenched interests benefiting from Nigeria’s long-standing fuel importation regime.
“We’re fighting, and the fight is not yet finished. But I have been fighting all my life, and I am ready and 100 percent sure I will win at the end of the day,” Dangote stated.
The 650,000 barrels per day refinery, which began petrol production in September 2024, aims to reduce Nigeria’s reliance on imported refined fuel. However, Dangote has accused certain groups of sabotaging the refinery’s operations by hindering crude oil supply and resisting the government’s removal of petrol subsidies.
Devakumar Edwin, Vice President of Oil and Gas at Dangote Industries Limited, has also alleged that International Oil Companies (IOCs) are deliberately frustrating the refinery’s efforts by inflating crude prices above market rates, forcing the refinery to import crude from distant countries like the United States.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has responded by warning oil producers that failure to meet domestic supply obligations could result in the denial of export permits.
Industry stakeholders have expressed mixed reactions. The Independent Petroleum Marketers Association of Nigeria (IPMAN) supports Dangote’s efforts, acknowledging the challenges posed by competition. Conversely, the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) advocates for a level playing field, emphasizing the need for healthy competition in the downstream sector.
The ongoing struggle underscores the broader issue of entrenched interests resisting reforms that threaten their economic dominance. Such resistance not only hampers industrial progress but also poses a significant threat to national economic development and energy security.