Nigerian legislators have initiated an investigation on Monday into reports of contaminated fuel imports, aiming to resolve conflicts involving Aliko Dangote’s oil refinery and regulatory authorities. Chairman Ikenga Ugochinyere disclosed that the committee is scrutinizing allegations of improper licensing and the absence of internationally accredited laboratories linked to tainted products in Abuja.
Aliko Dangote, President/CEO of Dangote Industries Limited, defended his firm’s actions, stating, “If I had foreseen these challenges, I might not have embarked on this journey at all… That’s why we launched 31 projects simultaneously from the start… We are in the middle of the ocean; if we stop swimming, we sink. The only choice is to keep swimming, no matter how exhausted you feel.”
The legislative committee urged stakeholders in Nigeria’s petroleum sector to ease tensions exacerbated by claims that Dangote’s refinery aimed at monopolizing the market and producing substandard products. Dangote criticized the secrecy and danger of the oil industry mafia compared to drug cartels, highlighting their potential internal and external collusion.
He expressed frustration over Nigeria’s enduring fuel queues since 1972, labeling it a national disgrace. Despite being Africa’s largest refinery with a daily capacity of 650,000 barrels, the $19 billion Lagos facility faced a slow start due to local crude sourcing challenges, necessitating imports and exposing Nigeria’s issues with oil theft and corruption.
Dangote’s senior executive accused international oil companies of conspiring against the refinery’s success through inflated premiums or claims of unavailable crude. Regulatory concerns over market monopolization were raised following Dangote’s proposal to suspend petroleum imports, countered by invitations for lawmakers to inspect and verify product quality.
Dangote clarified that the refinery received no government incentives and scrapped plans for a steel industry investment. Disputes between Nigerian authorities and Dangote surfaced after President Bola Tinubu’s succession of Muhammadu Buhari, a close ally of Dangote, following last year’s election, prompting concerns about foreign investment and economic stability.
Economist Bismarck Rewane dismissed claims of refinery product quality issues as unsubstantiated, implying deeper underlying disputes beyond consumer complaints.
Source: The Newsroom Africa
