Despite Local Refineries, Nigeria Spends N9.1trillion On Petroleum Importation

Despite Local Refineries, Nigeria Spends N9.1trillion On Petroleum Importation In Nine Months Which Is Double Of 2023

A review of data from the National Bureau of Statistics (NBS) has shown that Nigeria imported refined petroleum to the tune of N9.1trillion between January and September 2024.

In the first quarter of 2024, the refined petroleum importation gulped N2.6trillion, in the second quarter of 2024, it gulped N3.2trillion while taking N3.3trillion in the third quarter of 2024.

This development comes amid controversies on local production and patronage of refined petroleum in the country.

The importation of petroleum worth N9.1trillion between first and third quarter of 2024, means that the country spent twice what it spent in importation of refined petroleum in same period of 2023.

Between Q1 and Q3, 2023, N4.5 trillion was spent on refined petroleum importation by Nigeria.

According to the official statistics body, NBS, data, in the third quarter of 2023, the country imported N1.9 trillion worth of motor ordinary spirit (petroleum), it imported petroleum worth N1.2 trillion in the second quarter of 2023, and N1.4 trillion in the first quarter of 2023.

Nigeria has had to rely on importation of refined petroleum owning to poor and non-functional refineries.

Importation of refined petroleum has been blamed in part for inflationary tendencies on the naira weakening the country’s currency. It also accounts for a substantial part of what the country imports.

Although it was recently announced that the Port-Harcourt refinery owned by the country had started operations, controversies continue to surround its true functionality and ability to ease any substantially importation of petroleum in the country.

There have been controversies also on the patronage of the Dangote Refinery in Lagos with accusations and counter accusations on pricing of petroleum supplied by the refinery.