Dangote dominance looms as fuel tax hits Nigerians
Dangote refinery in Nigeria has announced production levels that surpass domestic consumption, manufacturing 45 million liters of gasoline and 25 million liters of diesel each day, according to group spokesman Anthony Chiejina. The facility, which processes 650,000 barrels daily, represents the country’s primary operational crude oil refinery. Its owner, Aliko Dangote, who ranks as Africa’s wealthiest individual, plans to expand processing capabilities to 1.4 million barrels per day within three years.
President Bola Tinubu authorized the immediate implementation of a 15 percent import duty on refined petroleum products in a letter dated Oct. 21. The Federal Inland Revenue Service, which recommended the levy, confirmed the tax has not yet taken effect. Officials designed the measure to shield domestic refiners from foreign competition.
The state-owned Nigerian National Petroleum Company Limited operates four refineries with 445,000 barrels of daily capacity combined, but these plants have remained idle for decades despite substantial rehabilitation investments. Smaller privately operated facilities contribute roughly 90,000 barrels daily. Government officials previously criticized Dangote for potential monopolistic practices but reversed course, declaring the plant essential to national economic stability and deserving of comprehensive support.
