By Akeem Oduyoye
Nigeria’s petrol import bill fell sharply in the first nine months of 2025, dropping by N6.07 trillion compared with the same period in 2024. Analysts attribute the decline to a boost in local refining and reduced reliance on imported fuel.
The National Bureau of Statistics data shows that imported motor spirit cost N5.42 trillion between January and September 2025, down from N11.50 trillion in the same period last year. This represents a 52.8 per cent reduction in petrol import spending.
Quarterly breakdowns reveal a consistent downward trend. In Q1, Nigeria spent N1.76 trillion on petrol imports, compared with N3.81 trillion in Q1 2024. Q2 fell from N4.36 trillion to N2.38 trillion, while Q3 saw the sharpest drop, from N3.32 trillion to N1.29 trillion.
Experts link the decline to improved domestic refining, particularly the ramp-up of the Dangote Petroleum Refinery in Lekki. The 650,000-barrel-per-day facility began diesel and aviation fuel production in January and added petrol output in September, easing dependence on foreign supply.
The refinery has also increased competition in the downstream market, helping to stabilize fuel prices across the country. Early operational challenges, such as a temporary halt in local currency sales due to crude oil being purchased in dollars, were resolved with government support.
Aliko Dangote, President of the Dangote Group, described the refinery as central to Nigeria’s goal of fuel self-sufficiency. “Now that the President has visited and given us additional energy, we will inform you soon. This will be one of the major shakeups in the entire country,” he said.
Dangote added that the refinery would follow a “massive trajectory” in the coming years and would be listed on the stock exchange, starting with the fertiliser company this year. He also noted that the refinery offers significant benefits to Nigeria’s economy and citizens, helping reduce fuel queues.
Plans are underway to expand the refinery from 650,000 barrels per day to 1.4 million, which would make it the largest in the world. According to S&P Global, Middle Eastern funding is being sought to support this expansion, positioning Nigeria as a net exporter of diesel and jet fuel while producing vast quantities of petrol locally.
Dangote emphasized that the project is part of a broader effort to achieve African energy independence. “We have to build the refinery again, either here or somewhere else. But really, somewhere else is not possible because we already have the infrastructure here,” he said, underscoring Nigeria’s potential as a regional energy hub.