The Crude Oil Refiners Association of Nigeria says imported petroleum products are not cheaper than locally refined fuel, arguing that differences in pricing reflect quality variations rather than efficiency.
The association’s publicity secretary, Eche Idoko, said in an interview that local refineries are disadvantaged by premium crude costs and what he described as unfair comparisons with blended imported products.
Idoko’s comments follow a World Bank Group report that suggested imported petrol was cheaper than fuel refined domestically and urged the federal government to reopen the market to fuel imports. The report has since been deleted following public backlash.
In its Nigeria Development Update, the World Bank said imported petrol was about 12% cheaper than fuel supplied by the Dangote Refinery, citing an estimated import-parity price of N1,122 per litre compared with about N1,275 per litre for locally refined petrol.
But Idoko said the comparison was flawed because imported products are often blended and of lower grade than locally refined fuels.
“Some of the products that have been imported are blended products coming from Kazakhstan and Far Eastern European countries. They blend just to get the parameters they need in this country,” he said. “In terms of quality, they would not compete with the quality that we produce from our refineries here.”
He argued that price comparisons must account for specifications such as density, flash point and pour point, noting that different fuel grades command different prices.
“The World Bank has failed to tell us what the density was, what the flash point was, what the pour point was,” he said. “It has to be apple with apple and not apple with pear or apple with orange.”
Idoko also said blending is legal but typically produces lower-grade fuels that are cheaper to produce.
“Blending does not mean adulterated fuel,” he said. “But it doesn’t give you the grade in terms of quality as a fully refined product.”
He added that local refiners face higher costs due to limited crude supply and the lack of pricing incentives, saying refiners in Nigeria often buy crude at premium rates without discounts.
The World Bank report said the suspension of petrol import licences since early 2026 had reduced competition and contributed to price distortions, recommending that qualified marketers be allowed to resume imports.
“Reopen the PMS market to competition,” the report said. “Allowing qualified marketers to resume imports would restore competition, reduce pricing distortions, and better align domestic prices with global benchmarks.”
The report triggered criticism from Nigerians on social media, prompting the World Bank to remove it and clarify that its position was not an outright endorsement of fuel imports but part of broader market reforms aimed at improving efficiency and consumer protection.
The Dangote Refinery has supplied more than 90% of Nigeria’s petrol consumption in recent months, according to industry data, as regulators continue to adjust import policies in the downstream sector.
