Connect with us

Business

Dangote refinery: NMDPRA mulls legal battle over access restriction

Published

on

The Nigerian Midstream and Downstream Petroleum Regulatory Authority is weighing its next move to prevent it from losing regulatory authority over midstream and downstream companies located in free trade zones.

Last week, a Federal High Court in Lagos issued an interim injunction restraining the NMDPRA from shutting down or interfering with the operations of the Dangote Petroleum Refinery in the Lekki Free Zone, Lagos.

Justice Akintayo Aluko made the order while ruling on a motion ex parte marked FHC/L/CS/1174/26, filed and argued by counsel to Dangote Petroleum Refinery Nigeria Limited, led by Olawale Akoni and Abimbola Akeredolu.

The refinery had approached the court following a letter dated August 24, 2026, in which the NMDPRA allegedly directed the suspension of the loading and truck-out of petroleum products from the refinery.

In his ruling, Justice Aluko said he had carefully considered the application, the affidavit evidence, exhibits and submissions of counsel, including the NMDPRA’s letter. The judge noted that the refinery’s case was that the NMDPRA lacked regulatory or oversight powers over operations within free zones, including the Dangote Industrial Free Zone.

Justice Aluko also referred to a letter dated March 2, 2026, issued by the Attorney-General of the Federation, which, according to the judge, stated that the NMDPRA was not entitled to exercise regulatory powers or oversight functions over operations within free zones.

The judge further held that the refinery had satisfied the conditions required for the grant of an interim injunction. “Accordingly, I find merit in the application, and the same is hereby granted in terms of the reliefs sought,” Aluko ruled.

See also  Airlines face disruptions as fuel costs soar

When contacted, the spokesman of the NMDPRA, George Ene-Ita, declined further comments on the matter, saying, “I can’t comment on a case before the court.”

While not denying the NMDPRA’s letter to shut the Dangote refinery, Ene-Ita refused to give details on why the regulator ordered the refinery to stop loading.

However, other senior officials within the NMDPRA disclosed that the regulator is weighing the next move as far as the case and the ruling are concerned. It was gathered that the agency’s legal team and its management “will decide the next line of action”.

In May, the NMDPRA declared that petroleum companies operating in free zones, export processing zones and other designated areas in Nigeria remain fully subject to the provisions of the Petroleum Industry Act 2021 and regulations issued under the law. The regulator stated this in an industry circular.

Free zones are designated areas created by the government to encourage investment and industrial activities through tax incentives, customs waivers and simplified business regulations. They include export processing zones, industrial parks and special economic zones where companies often enjoy exemptions from certain taxes and administrative procedures.

However, the NMDPRA stressed that such incentives do not exempt oil and gas operators from petroleum sector regulations under the PIA. “The operation of any midstream or downstream petroleum facility within a free zone, export processing zone or similar area does not exempt such facility and its operations from compliance with the provisions of the PIA and regulations made thereunder,” it stated.

In the circular addressed to managing directors and chief executives of oil and gas midstream companies, downstream firms, petrochemical and fertiliser companies, as well as import and export terminals, the authority reaffirmed its statutory powers over all midstream and downstream petroleum activities nationwide.

See also  Nigeria’s oil reserves no longer enough to win investors – PENGASSAN

It explained that the regulatory mandate of the agency extends to all midstream and downstream petroleum activities and applies throughout Nigeria, including the continental shelf, territorial waters, exclusive economic zone, free zones, export processing zones, industrial zones and any other designated areas.

The agency said it was the statutory regulator responsible for the technical, commercial, operational and licensing regulation of all midstream and downstream petroleum operations in Nigeria.

It informed operators that all midstream and downstream petroleum operations, including refining, processing, storage, bulk transportation, pipelines, gas transportation networks, terminals, jetties, wholesale supply, importation, exportation, distribution and the sale of natural gas and petroleum liquids, are subject to its regulatory oversight.

With the current ruling, the NMDPRA is expected to defend its authority over free zones while the court decides whether or not it has such powers.

In its application, the Dangote refinery has asked the court to restrain the regulator, its officers, agents, representatives, privies or any person acting under its authority from enforcing or implementing the directive to shut the facility pending the hearing and determination of its motion on notice.

The company also sought an interim injunction restraining the NMDPRA and its agents from entering, sealing, shutting down, restricting access to, obstructing, suspending, disrupting, inspecting, supervising, sanctioning or otherwise interfering with its refinery, petrochemical, terminal, storage, blending, loading, truck-out and related facilities and operations within the Lekki Free Zone.

After granting the injunction, the court subsequently adjourned the case until September 9, 2026, for hearing of the motion on notice.

See also  Only 44% of social benefits reach poor Nigerians – World Bank

Source: punchng.com

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Taiwo Oyedele rules out fuel tax, calls report fake news

Published

on

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has ruled out plans to introduce a fuel tax, describing reports suggesting otherwise as “fake news”.

Oyedele said the Federal Government had no plan to impose the levy, accusing some online reports of twisting his remarks during an interview with ARISE News.

In a post on X on Tuesday, the minister said, “In my interview with ARISE News, I was clear: a fuel tax is not on the table.”

He added, “Having removed the fuel subsidy, it would be insensitive for government to impose a fuel tax at this time.”

Oyedele’s clarification followed reports suggesting that the government intended to introduce a fuel tax once economic conditions improved and Nigerians’ incomes could accommodate the additional burden.

Dismissing the reports, he said, “Some online reports have since twisted this message into a claim that the government plans to introduce fuel taxes. That is FAKE NEWS.”

He urged Nigerians to disregard what he described as misleading headlines and watch his remarks on the issue.

During the interview, conducted on the sidelines of the 2026 annual meetings of the International Monetary Fund and the World Bank in Bangkok, Thailand, Oyedele explained that imposing a fuel tax while petrol was subsidised would have been counterproductive because the government would effectively be paying the tax itself.

He also argued that the priority should be to grow incomes faster than prices rise, rather than focus on suppressing prices.

The minister maintained that introducing a fuel tax under the prevailing economic conditions would place an additional burden on Nigerians still grappling with the effects of subsidy removal.

See also  Banks sent pretty ladies to woo me for deposits – Otedola

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Tinubu reveal no regrets on subsidy, won’t return to Egypt

Published

on

President Bola Tinubu has said he has no regrets over the removal of the fuel subsidy, vowing that Nigeria will never go back to it as he likened any return to asking the biblical Moses to go back to Egypt.

Tinubu spoke on Monday evening at the forum tagged ‘Together till 2027: An Evening with Original City Boy’, organised by the City Boy Movement in conjunction with the Relax-Tinubu-Is-Fixing-Nigeria movement, both of which are geared towards his reelection at the 2027 polls.

Recalling the start of his administration, the President said he scrapped the subsidy on his first day in office.

“I came, and I removed the subsidy the first day,” he said, adding that Nigeria was heading for bankruptcy, with “nothing left to pay subsidy.”

The President threw jabs at the African Democratic Congress presidential candidate, Atiku Abubakar, who promised a return to subsidy.

Citing what he called his studies of scripture in the Bible and the Holy Quran, Tinubu recalled how the Red Sea parted when Moses left Egypt.

He likened the end of the subsidy regime to the exodus of the ancient Israelites from Egypt, saying, “You cannot ask Moses to go back to Egypt.”

Continuing, he said, “I could listen to my political opponents promising a return to subsidy. Most of all, sometimes I remember my scripture studies, both the Bible and the Holy Quran. When Moses left Egypt, they faced the challenge, and the Red Sea parted and gave way.

“You cannot ask Moses to go back to Egypt. We wake up with ideas, original thoughts, and deep thinking to move this country forward. With your energy, your support, Nigeria will never go back to Egypt. No regrets.

“Before I left home, I saw one of the greatest Chinese economic news growing by 4.6 per cent or thereabouts. We are on the right trajectory. We are in good company. The economy is growing steadily. You will have a future, a future to believe in.”

The President added, “Nigeria must win this election before any candidate does. You are not campaigning for me. You are campaigning for your own future, and that future is renewed hope. There’s nothing that will push us back.”

Tinubu said the past three years had not been easy, adding that his administration “took hard decisions.”

He described the condition in which he took over, stating that, “We owed money to airlines. They were almost cutting their flights to Nigeria. Our foreign reserve was nothing. We printed currencies as if there were no tomorrow.”

He said that rather than dwell on the flaws of the past, he chose to assume the responsibility and liability of his predecessor.

“We understood that a nation cannot borrow its way to greatness,” Tinubu said, adding that many people had predicted that young Nigerians would turn their backs on the reforms.

See also  Nigeria’s oil reserves no longer enough to win investors – PENGASSAN

“They were wrong. You are here,” he said.

Turning to the January 16, 2027, presidential election, the President told the youths to take the message to their campuses, markets and villages.

“Make sure every young person you know has a PVC and use it. Tell them what we have done, and tell them what we will do. Campaign with your ideas.

“You are not campaigning for me. You are campaigning for your own future, and that future is Renewed Hope,” he stated.

On the Students Loan Act, which he signed in 2023, he said he also had no regrets, adding, “Today, more than a million students have been supported through NELFUND.”

Tinubu announced the end of the petrol subsidy when he took office on May 29, 2023.

The pump price rose from about N180 per litre to about N620 after the announcement, and to about N1,200 roughly a year later.

Atiku, on August 20, in an English rendering of a Hausa-language interview, said: “If elected, I will bring back the oil subsidy.”

He, however, proposed a capped, audited production subsidy tied to domestic refining, saying his proposal was not to resurrect the old subsidy regime.

The Presidency called the proposal a return to a “wasteful, corruption-ridden and financially burdensome” system.

At the event, Tinubu assured the City Boy Movement, especially the youth who had stood with him, that they would not be left behind.

“The future of this country does not belong to me, and it does not belong to my generation. It belongs to you.

“I am very proud, once again, that when I signed the Student Loan Act, I had no regrets.

“Today, more than a million students have been supported through NELFUND,” Tinubu stated.

On his son, Seyi, he said: “He is running after his father. Your young colleagues would have seen that you are investing your time effectively. We are with you. Thank you. You did it humbly.

“You did not ask for a title or an office. You went to the young people, your age mates, your group. You listened to them and organised them.

“I am proud of all of you. But I will tell you what every father tells a son: you have only started. Do more, not less. Serve harder. Set an example that your own children, my grandchildren, will be proud to follow.”

Speaking earlier, Vice President Kashim Shettima said Nigeria’s economy would have collapsed had President Bola Tinubu not taken what he called far-reaching decisions.

He said, but for the tough decisions, critics would by now be writing epistles on a collapsed economy from the comfort of their homes in Dubai, United Arab Emirates, and New York, United States.

The Vice President credited the President’s decisions for the economy’s recovery.

He said, “The President took those far-reaching decisions. He had the courage of conviction and the knowledge to take those far-reaching decisions that repositioned the Nigerian economy, so that now, the economy grew by 4.43 per cent in the last quarter.

See also  Aviation professionals outline paths to sector recovery

“Most importantly, our foreign reserves are now hovering at the level of $60bn.

“Remember how far we have come. It’s only those who have been in the deepest valley that will appreciate how magnificent it is to be on a mountain top.”

To the critics of the administration, Shettima said, “The same people that are crying wolf, if the President had not taken those far-reaching decisions, Walahi, I am not talking to you as a politician. I am talking to you as a Nigerian; our economy would have collapsed.

“These people, by now, would be writing epistles on a collapsed economy from the comfort of their homes in Dubai, in New York, or in marriage with their young Moroccan wives. I have not mentioned anybody’s name.”

He admitted that Nigerians had endured hardship, but said it could have been worse.

“Your Excellency, distinguished ladies and gentlemen, the President has to be commended, not demonised. Yes, Nigerians have gone through some tough times, but it could have been worse.

“Be reassured that in the coming weeks, the President will come up with robust responses to agricultural challenges, and prices of foodstuffs will certainly come down,” he stated.

The Vice President said efforts were being made to reposition the economy, citing the Nigerian Education Loan Fund and investments in infrastructure.

He then asked the youth to carry the message to the streets.

“I urge the youth of Nigeria. I beseech thee. I implore you to go out to the streets and tell the truth to other Nigerians,” he stated.

At the inauguration of the All Progressives Congress Presidential Campaign Council on October 14, Shettima mocked the former Vice President, Atiku Abubakar, and the former Anambra State governor, Peter Obi, over their economic proposals.

Also speaking at the event on Monday, the Deputy Senate President, Barau Jibrin, commended the City Boy Movement, describing it as a “special purpose political vehicle” that was not only human-driven but also technology- and AI-driven.

He said he believed no other political organisation in the country was doing what the group was doing, and urged others to take a cue from it.

Jibrin asked the movement to build Tinubu’s ideology and philosophy into its AI content, citing his “spirit of philanthropy, the spirit of resilience, the spirit of perseverance, and of course patriotism.”

The Deputy Senate President also urged the group to load its AI platform with questions and answers to counter some of the candidates in the election whom he accused of “churning out things that they cannot achieve” in “false populism”.

He said, “We know their track records; we know their scorecards when they held offices before. So that people will not fall for their lies, so that people will not fall for the fallacy they are turning out every day.”

See also  Electricity subsidy nears N2tn yearly

He further asked that the content explain the global rise in the cost of living, which he blamed on armed conflicts. He said the President was working very hard to deal with the situation.

The Speaker of the House of Representatives, Tajudeen Abbas, announced that he would publish an audit of what Tinubu had done for his Zaria constituency in Kaduna State, and called on all political officeholders serving under the President to do likewise.

He said he would hold a media briefing within 14 days, where he would also present a scorecard of the House’s bills, reforms and oversight work done in partnership with the administration.

“It will not be a celebration; it will be an audit. Every intervention will carry a location, a value and a status.

“And where something remains undone, I will say so, because an account that tries to hide its gap is merely an advertisement,” he said.

Abbas said many people who carried the President’s portrait on their posters had “never carried your record to their people.”

He urged officeholders, elected and appointed alike, to render an account of what their share of the President’s mandate had produced, and proposed a common format and a 90-day timeframe.

“The question before us will not be, whose side are you on. It will be, what did you do?” he stated.

Addressing the City Boy Movement, the Speaker asked it to verify these accounts by photographing projects and holding town halls where officeholders face their constituents.

“A leader learns nothing from applause. Become the feedback loop this administration requires, carrying the President’s record down to the people and the people’s verdicts back to the President,” said Abbas.

On his part, the Director-General of the City Boy Movement, Francis Shoga, told the President that Nigerian youths were ready to work and ready to serve.

“We are not a generation waiting helplessly on the sidelines. We are not a generation without direction, courage or purpose.

“We are a generation prepared to rise above every limitation, organise with discipline, confront challenges with courage and build the Nigeria of our dreams.

“Your Excellency, we are your foot soldiers, ambassadors of hope, defenders of our national unity and committed partners in the great task ahead of national transformation. Wherever young Nigerians are found, we will carry the message of Renewed Hope,” he stated.

Shoga said the movement drew its inspiration from the “courage, persistence, patriotism, visionary leadership and bold decision-making” that had defined Tinubu’s political journey and public service.

“Our mission,” he affirmed, “is to inform, engage, inspire and empower Nigerian youths so that they understand the direction of government, recognise available opportunities and participate confidently and responsibly in national development.”

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

FG showcases $125m housing PPP model to African nations

Published

on

The Federal Government has attracted interest from African countries seeking to replicate Nigeria’s housing delivery model, which leverages private investment, concessional loans and guaranteed buyers to deliver 100,000 homes without direct public financing of construction.

The Renewed Hope Housing Public-Private Partnership model was presented by the Director-General of the Infrastructure Concession Regulatory Commission, Dr Jobson Ewalefoh, at the Second Forum for Public-Private Partnership Units in Africa in Addis Ababa, Ethiopia.

A statement issued by the Acting Head of Media and Publicity, Ifeanyi Nwoko, on Monday said delegates from 36 countries attended the forum, which focused on making public-private partnerships work in social sectors, including housing, healthcare, education, sanitation and water.

Nigeria was among five countries selected to present projects at the forum’s project clinic, alongside Malawi, Kenya, Djibouti and Côte d’Ivoire.

The statement read, “The Federal Government has presented its Renewed Hope Housing Public-Private Partnership model at a continental forum in Addis Ababa, Ethiopia, where African countries showed strong interest in replicating it in their own housing programmes.”

Speaking for the Nigerian delegation, Ewalefoh said the Renewed Hope Cities programme would deliver 100,000 housing units across selected Nigerian cities through a joint venture concession with private sector partners.

“The beauty of this PPP structure is that it is not the conventional PPP. In this case, the private party owns the land, has the design, is financing it and is doing the construction,” he said.

Under the model, the Federal Government’s role is to reduce investment risks and create the conditions necessary for private developers to deliver homes at affordable prices.

See also  Only 44% of social benefits reach poor Nigerians – World Bank

“The PPP here is that the government agreed to de-risk the project,” Ewalefoh said.

He explained that the arrangement was designed to address the financing constraints facing housing developers in Nigeria, where commercial lending rates exceed 23 per cent, making it difficult to finance large-scale housing projects at market rates.

Rather than pay for construction directly, the government deployed several measures to attract private capital and improve affordability.

These include guaranteeing demand by identifying middle-income federal civil servants as prospective off-takers, providing access roads to the semi-urban project sites and securing concessional financing through public institutions.

According to the statement, about $19m in single-digit interest funding was unlocked through the Federal Mortgage Bank of Nigeria, while the Family Homes Fund provided a further $20m in concessionary loans.

Homebuyers are also expected to benefit from lower mortgage rates through an approximately `$112m MOFI Real Estate Investment Fund.

The government and the developer negotiated sale prices to keep the houses affordable, while a restriction limiting each buyer to one unit was introduced to discourage speculative purchases.

The measures, according to the ICRC chief, have reduced the effective cost of the project by about 30 per cent.

The structure is expected to mobilise approximately 39m in concessionary funding helping to unlock the project.

Ewalefoh told delegates that the model demonstrated how governments could expand housing supply without bearing the full cost of construction.

“The structure means the government is delivering homes without funding their construction. About $39 million in concessionary funding is helping to unlock a project whose construction cost now stands at about $125 million in private sector investment.

See also  Asian stocks hit by fresh tech fears as gold retreats from peak

“Government does not need to finance housing capital projects. It can crowd in private capital through policy, land availability and off-taker facilitation to create a replicable, scalable model for housing delivery,” he said.

The Nigerian model generated considerable interest during the question-and-answer session, with delegates seeking details on how its risk-sharing arrangements could be adapted to their respective countries.

Particular attention was given to the use of guaranteed off-takers to provide developers with a more predictable market and concessional financing to reduce the cost of delivering homes.

The forum was co-organised by the United Nations Economic Commission for Africa, the African Development Bank and the African Legal Support Facility under the theme, “Making Social Sector PPPs Work: From Policy Ambition to Effective Service Delivery”.

Held at Africa Hall, the United Nations Economic Commission for Africa, the two-day event brought together heads of PPP units, development finance institutions, private operators and transaction advisers to examine how private investment could support essential public services.

Discussions covered risk allocation, availability payments, viability gap funding, subnational PPP arrangements and contract management.

Unlike roads, ports and power plants, social infrastructure often generates insufficient revenue from user charges to recover investment costs. This makes affordability, fiscal sustainability and accountability central to the design of such partnerships.

The delegation also learnt from other countries’ projects, including their approaches to structuring transactions, allocating risks and implementing social sector partnerships.

The lessons, the statement said, would help inform Nigeria’s own pipeline of social infrastructure PPP projects.

The forum built on its inaugural edition in 2024, which brought together more than 30 African PPP units to discuss climate-resilient infrastructure.

See also  Aviation professionals outline paths to sector recovery

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Trending