IPMAN backs domestic crude refining, says ‘reckless’ issuance of import licences drains FX

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced its support for local crude refining, saying the continuous importation of petrol is not an acceptable parallel business model.

The decision is a sharp shift from the association’s long-standing position, which backs the importation of petroleum products.

In 2023, IPMAN called on the federal government to issue licences to more importers.

Explaining the group’s stance in a statement on Thursday, Abubakar Garima, IPMAN’s national president, said issuing import licences recklessly distorts market dynamics and drains foreign exchange (FX).

“Our position has always been to deepen domestic refining in order to eradicate imports of petroleum products,” Garima said.

“Continuous import is NOT an acceptable parallel business model, because issuing import licenses recklessly distorts market dynamics, drains foreign exchange, enthrones poverty, destroys jobs, and scares potential investors away,” he said.

Aliko Dangote, billionaire businessman and president of the Dangote Industries Limited (DIL), had recently disclosed that his refinery invited IPMAN to be part of its distributors.

The refinery had promised to commence its free petrol delivery scheme — but on December 15, Dangote admitted that the initiative had since stalled due to missing seals.

Speaking on the programme, Garima said the free delivery of petrol from the Dangote refinery will in January 2026.

He expressed delight over a recent agreement under which the Dangote refinery will begin supplying petroleum products directly to the association’s registered members.

The IPMAN president commended the billionaire’s support to the federal government, noting that it has been reflected in the consistent reduction of petrol pump prices.

“The association has the highest percentage of the supply chain of the PMS downstream sector, controlling over 80% of the PMS retail market. We therefore declare that there will be no gap or scarcity in PMS supply to Nigerians,” he said.

“We are also excited at the recent agreement by the Dangote Refinery to begin the supply of PMS products directly to registered IPMAN members, and its free delivery to our filling stations anywhere and everywhere in Nigeria which will commence in January 2026.

“This will again, certainly lead to further decrease in the pump price of the products at our filling stations. Therefore, I am calling on all IPMAN members nationwide to prioritise patronising the Dangote Refinery in their purchase of PMS products, as they already offer the best affordable prize for all marketers today.”

Garima said the association has no doubt about the viability of the oil and gas policies being introduced by the federal government.

He added that IPMAN has consistently advocated for stronger cooperation across all levels of governance within the oil and gas sector.

“Hence our repeated persuasion to always partner [with] the Dangote refinery, to ensure the steady availability of PMS products,” Garima said.

“The focus of the Dangote & IPMAN partnership has always been geared towards making life better for Nigerians.

“And of course, this blooming partnership would never have been possible without the pragmatic leadership of President Bola Ahmed Tinubu, and his sound judgment in readjusting the leadership of the NMDPRA and the NUPRC.”

He congratulated the new heads of the regulatory bodies, reminding them of the longstanding N190 billion bridging claims owed its members.

The IPMAN president called on the “NMPDRA new leadership to immediately make this debt a cause for serious concern as he assumes his new position”.