Nigeria’s petrol imports increased in July as supplies from domestic refineries declined, raising fresh concerns over the country’s efforts to reduce dependence on imported fuel.
Data from the latest midstream and downstream petroleum sector report showed that petrol imports rose by nine per cent during the month, increasing from 18.1 million litres per day in June to 19.7 million litres per day in July.
At the same time, petrol supplied by domestic refineries fell by 21 per cent, from 32.5 million litres per day to 25.8 million litres.
The decline meant that although locally refined petrol remained the larger source of supply, imported products accounted for a greater share of the market in July.
Overall petrol receipts also fell by 10 per cent, dropping from 50.6 million litres per day in June to 45.5 million litres per day in July.
The development comes as Nigeria continues to expand its refining capacity, particularly through the operations of the Dangote Petroleum Refinery, while efforts are also ongoing to restore the country’s government-owned refineries.
The July figures followed a sharp increase in petrol imports recorded in June. Imports had jumped by 207 per cent that month, while domestic petrol supplies declined by 22 per cent.
The latest decline in local petrol supply also coincided with lower crude deliveries to domestic refineries. Crude receipts dropped from 632,000 barrels per day in June to 585,000 barrels per day in July, representing an eight per cent reduction.
The Dangote refinery remained a major contributor to domestic petrol supply during the period. The refinery operated at an average capacity utilisation of more than 71 per cent and recorded average petrol production of about 25.9 million litres per day.
The refinery’s output was almost equal to the 25.8 million litres per day recorded as total domestic petrol receipts for July, highlighting its growing importance to Nigeria’s fuel supply system.
The latest figures suggest that domestic refining has significantly reduced Nigeria’s reliance on imported petroleum products but has not completely eliminated the need for imports.
Whenever local refinery output or crude availability falls, imported fuel continues to provide a means of filling supply gaps.
The diesel market also recorded a return of imports in July. Automotive Gas Oil receipts rose by 46 per cent, from 16.2 million litres per day in June to 23.6 million litres per day.
Domestic diesel supply slipped slightly to 15.7 million litres per day, while imported diesel contributed 7.9 million litres daily. No imported diesel was recorded in June.
Meanwhile, petrol consumption declined significantly during the month. Volumes trucked out into the domestic market fell by 25 per cent, from 47.4 million litres per day in June to 35.7 million litres per day in July.
Despite the fall in consumption, petrol stock sufficiency improved from 19.7 days to 22.4 days. Diesel stock cover also increased from 37.1 days to 46.5 days, while diesel consumption fell from 16 million litres to 14.7 million litres per day.
The LPG market recorded stronger domestic performance. Total LPG receipts increased from 5.1 kilotonnes per day to 5.3 kilotonnes, while domestic supply rose by 22 per cent to 4.4 kilotonnes daily.
LPG imports, however, fell by 40 per cent to 0.9 kilotonnes per day, while consumption increased by seven per cent.
Domestic gas supply declined by eight per cent during the month, falling from 5.116 billion cubic feet per day to 4.723 billion cubic feet per day. The figures included volumes supplied to Nigeria LNG Limited.
Aviation fuel receipts also fell from 2.5 million litres per day to 1.9 million litres, while consumption dropped from 2.9 million litres to 1.7 million litres daily.
