The Nigerian House of Representatives Committee on Petroleum Resources has called for urgent legislative intervention in the dispute between the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Dangote Refinery. The committee warned that a prolonged standoff could trigger an energy crisis capable of crippling the economy. The disagreement centers on regulatory approvals and operational compliance issues involving petroleum product pricing and distribution.
The committee made the call at a workshop held in Abuja, where the Chairman, Odianosen Okojie, underscored the strategic importance of the midstream sub-sector to Nigeria’s oil and gas value chain. He noted that efficient processing, transportation, and storage infrastructure are critical to achieving energy security, industrial growth, and economic diversification. Okojie reaffirmed the committee’s commitment to robust legislative oversight, policy support, and stakeholder engagement aimed at removing operational bottlenecks and unlocking investment in the sector.
The dispute between the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Dangote Refinery has played out publicly in recent months, with allegations of regulatory inconsistencies and unfair practices. The President of the Dangote Group, Aliko Dangote, accused officials of the NMDPRA of frustrating the operations of his $20 billion Lekki-based refinery. The NMDPRA has denied the allegations, insisting that its decisions were guided strictly by the provisions of the Petroleum Industry Act and existing quality and safety standards.
The face-off has heightened concerns within the sector, prompting calls for legislative mediation to prevent regulatory uncertainty from undermining investment and energy security. The committee’s call for intervention is seen as a crucial step in resolving the dispute and ensuring the stability of the petroleum industry. The workshop featured a technical session led by industry experts, who provided an overview of the midstream sector, highlighted emerging challenges, and outlined strategic options for achieving seamless processing.
Participants engaged in interactive discussions, offering practical perspectives on regulatory gaps, infrastructure deficits, gas utilization strategies, and ways to enhance private sector participation. The conference concluded with expressions of optimism from stakeholders, who commended the committee for creating a platform for constructive engagement. They expressed confidence that the outcomes of the workshop would translate into stronger policies and decisive legislative actions, essential to improving efficiency, attracting investment, and repositioning the petroleum midstream sector as a key driver of Nigeria’s economic growth.
