The Dangote Petroleum Refinery and the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, have clashed in court over the regulator’s decision to suspend propane loading and truck-out activities at the refinery.
The dispute came before the Federal High Court in Lagos, where NMDPRA asked the court to lift an earlier order stopping it from interfering with the refinery’s operations.
NMDPRA said its action followed an investigation into the alleged diversion of propane trucks and the use of the product for unauthorised LPG blending. The regulator said laboratory tests from three LPG plants showed propane levels above the permitted limit.
The authority also alleged discrepancies in delivery records involving trucks that reportedly collected propane from Dangote Refinery. It said some consignments listed for delivery to specific LPG facilities could not be confirmed as received.
NMDPRA argued that the situation posed safety concerns because propane has a higher vapour pressure than the standard propane-butane LPG mixture and could be dangerous when handled by facilities not designed for it.
Dangote Refinery, however, rejected the allegations and accused the regulator of abusing its powers. The refinery’s spokesman, Anthony Chiejina, said NMDPRA officials were present at the refinery, inspected the propane and certified it before it was released to independent buyers.
He also argued that Dangote should not be held responsible for the movement or use of the product after it had been purchased and taken away by off-takers.
At Wednesday’s proceedings, Dangote Refinery’s lawyer, Wale Akoni, SAN, asked for more time to respond to NMDPRA’s counter-affidavit, saying he had only received the document in court.
Justice Akintayo Aluko granted the request but said he could not fix a fresh hearing date because his assignment as a vacation judge would end on Friday.
The judge subsequently extended the interim order issued on August 31, restraining NMDPRA from shutting down, restricting access to, disrupting or otherwise interfering with the refinery’s operations.
The case will now be reassigned to the regular court, which will determine the substantive dispute over NMDPRA’s regulatory action and the allegations surrounding the handling and distribution of propane.
