Nigeria’s reliance on imported petrol increased in July as domestic refinery supplies fell sharply, despite the country’s growing refining capacity.

Latest statistics on Nigeria’s midstream and downstream petroleum operations for July 2026 showed that domestic petrol supply declined by 21 per cent in one month, while petrol imports increased by nine per cent.

The figures, published on the official X handle of the Nigerian Midstream and Downstream Petroleum Regulatory Authority on Monday, highlighted the challenges facing Nigeria’s efforts to reduce its dependence on imported refined petroleum products.

Total Premium Motor Spirit, commonly known as petrol, receipts fell from 50.6 million litres per day in June to 45.5 million litres per day in July, representing a 10 per cent decline.

Domestic refinery supplies accounted for most of the reduction, falling from 32.5 million litres per day in June to 25.8 million litres per day in July.

In contrast, imported petrol receipts increased from 18.1 million litres per day to 19.7 million litres per day during the same period.

The report stated, “Total PMS daily receipts fell by 10 per cent from 50.6 million litres per day in June to 45.5 million litres per day in July. The decline was driven by a 21 per cent drop in domestic supplies, which fell from 32.5 million litres per day to 25.8 million litres per day, even as petrol imports rose by nine per cent from 18.1 million litres per day to 19.7 million litres per day.”

Although locally refined petrol remained the larger source of supply, the July figures showed that imports increased their share of the market as domestic refinery output weakened.

The development extended a trend recorded in June, when petrol imports surged by 207 per cent to 18.1 million litres per day while domestic supply declined by 22 per cent to 32.5 million litres.

The latest decline in domestic supply coincided with a reduction in crude oil receipts by domestic refineries. Crude receipts fell from 632,000 barrels per day in June to 585,000 barrels per day in July, representing an eight per cent decrease.

The figures underscore the relationship between crude availability and domestic refinery output as Nigeria seeks to reduce its reliance on imported fuel.

For decades, Nigeria depended heavily on imported refined petroleum products despite being one of Africa’s largest crude oil producers, largely due to the poor performance of its state-owned refineries.

However, the emergence of private refining capacity, particularly the Dangote Petroleum Refinery, alongside efforts to rehabilitate government-owned refineries, has changed the structure of the country’s fuel supply.

The latest data showed that the Dangote refinery operated at an average capacity utilisation of more than 71 per cent during the period under review.

The refinery recorded average petrol production of about 25.9 million litres per day, almost matching the 25.8 million litres per day recorded as total domestic PMS receipts in July.

The figures demonstrate the increasing importance of domestic refining to Nigeria’s fuel market while also highlighting the potential impact of lower refinery output or crude intake on local supply.

Diesel imports return

A similar trend emerged in the diesel market, with Automotive Gas Oil (AGO), commonly known as diesel, receipts rising by 46 per cent from 16.2 million litres per day in June to 23.6 million litres per day in July.

Unlike June, when the recorded diesel supply came entirely from domestic sources, imports returned to the market in July.

Domestic diesel receipts declined marginally from 16.2 million litres per day to 15.7 million litres, while imports accounted for 7.9 million litres per day.

The figures indicate that imported petroleum products continue to serve as a balancing source when domestic refinery output is insufficient to meet market requirements.

Petrol consumption declines

The data also showed a significant decline in petrol consumption during the month.

PMS consumption, based on volumes trucked out into the domestic market, fell from 47.4 million litres per day in June to 35.7 million litres per day in July, representing a 25 per cent decline.

Despite the decline in daily consumption, petrol stock sufficiency increased from 19.7 days to 22.4 days, suggesting that available inventories could cover domestic demand for a longer period.

Diesel stock sufficiency similarly increased from 37.1 days in June to 46.5 days in July, while diesel consumption fell from 16 million litres per day to 14.7 million litres.

LPG supply strengthens

A different pattern was recorded in the Liquefied Petroleum Gas (LPG) market.

Total LPG receipts increased from 5.1 kilotonnes per day in June to 5.3 kilotonnes per day in July.

Domestic LPG supply rose by 22 per cent from 3.6 kilotonnes per day to 4.4 kilotonnes, while imports declined by 40 per cent from 1.5 kilotonnes to 0.9 kilotonnes per day.

LPG consumption also increased by seven per cent to 4.4 kilotonnes per day.

The figures suggest that domestic producers strengthened their contribution to the cooking gas market in July, in contrast to the petrol and diesel segments where imports increased.

Meanwhile, domestic gas supply declined by eight per cent from 5.116 billion cubic feet per day to 4.723 billion cubic feet per day. The figures include volumes supplied to Nigeria Liquefied Natural Gas Limited.

Aviation Turbine Kerosene receipts also declined from 2.5 million litres per day to 1.9 million litres, while consumption fell from 2.9 million litres to 1.7 million litres per day.