ABUJA — The Federal High Court sitting in Abuja has ordered the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to continue issuing and renewing petroleum product import licences to major oil marketers—Matrix Energy, A.A. Rano Limited, and AYM Shafa Limited—in full accordance with existing laws.
Delivering judgment on Monday, September 28, 2026, Presiding Justice Inyang Ekwo held that any refusal or delay by the regulatory agency to grant or renew import permits to qualified petroleum marketers constitutes a direct breach of the Petroleum Industry Act (PIA), 2021.
The suit was instituted by the three downstream energy firms through their legal team, led by Ahmed Raji, SAN, and Chris Ekemezie, Esq., seeking judicial interpretation of the regulatory boundary established under the PIA.
Court Rulings and Statutory Interpretations
In his ruling, Justice Ekwo sustained the arguments of the plaintiffs, ruling that the PIA was designed to maintain an open, competitive, and transparent downstream market while ensuring national energy security:
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Non-Exclusivity under the PIA: The court held that no provision within the Petroleum Industry Act grants a monopoly over petroleum importation or prohibits eligible downstream operators from securing import permits.
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Regulatory Compliance: Justice Ekwo declared that the NMDPRA’s reluctance or refusal to process import licences for eligible companies was in “direct non-compliance” with its statutory obligations as an impartial industry regulator.
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Mandatory Injunction: The court issued an order directing the NMDPRA to maintain the issuance and seamless renewal of fuel import licences to Matrix Energy, A.A. Rano, and AYM Shafa upon meeting statutory criteria.
Context Amid Q4 Import Allocations and Industry Dynamics
The judicial ruling coincides with recent regulatory measures taken by the Federal Government to insulate the domestic market against supply disruptions ahead of the fourth quarter and Yuletide season.
The NMDPRA recently approved petrol import allocations totaling approximately 830,000 metric tonnes to six major marketing firms—including Matrix Energy, A.A. Rano, AYM Shafa, NIPCO, Pinnacle Oil, and Bono Energy—to complement domestic refining output and sustain nationwide stock stability.
Monday’s judgment effectively cements the legal standing of independent marketers to import refined products alongside local refining capacity, establishing clear legal boundaries for downstream regulation under the PIA.
