The Crude Oil Refineries Association of Nigeria (CORAN) has advised the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to issue import licences to marketers only as a balancing measure, rather than as a default practice.
CORAN said Nigeria in a statement that Nigeria has reached a point where policy neutrality is no longer sufficient, adding that downstream development requires policy intentionality.
The association advocated for “conditional import licensing”.
“Imports should function strictly as a balancing mechanism—not a default option—where domestic refining can meet demand at specification,” CORAN said.
CORAN also called for guaranteed and transparent crude supply to domestic refineries, noting that allocation mechanisms must be rule-based, enforceable, and insulated from discretion.
“Local refiners should not be structurally disadvantaged relative to importers who externalise industrial risk,” it added.
The group further called for clear policy differentiation, saying “Companies that refine and process locally should not be treated the same as those whose activity is limited to importation.”
“These measures are not protectionist. They are standard industrial policy tools deployed by serious energy-producing economies.
“This debate is not about favouring one company over another. It is about deciding what kind of downstream sector Nigeria wants,” it added.
The association said a country that imports what it can refine remains vulnerable to foreign exchange (FX) shocks, supply disruptions, and fiscal instability.
CORAN also noted that a country that supports its local refinery companies builds energy security, skilled employment, industrial depth, and economic sovereignty.
“Nigeria is now confronting the consequences of two competing downstream philosophies: local refinery companies believe in domestic value addition, energy security, technical capacity, and long-term economic resilience,” the group said.
“Import-reliant operators believe primarily in continued access to ports, FX windows, and permissive import regimes.”
This divergence, according to CORAN, becomes most visible whenever reform is proposed.
