The House of Representatives Committee on Petroleum Resources (Midstream) has called for urgent legislative intervention in the ongoing dispute between the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Dangote Refinery, warning that a prolonged standoff could spark an energy crisis with serious consequences for the economy.
The committee made the call on Tuesday at a workshop in Abuja themed “Midstream Sector Overview and Strategic Future Chart for Seamless Processing.” The dispute centres on regulatory approvals and operational compliance issues, particularly around petroleum product pricing and distribution.
In his opening address, the committee’s chairman, Hon. Odianosen Okojie, stressed the strategic importance of the midstream sub-sector in Nigeria’s oil and gas value chain, noting that efficient processing, transportation and storage infrastructure are critical to energy security, industrial growth and economic diversification.
Okojie reaffirmed the committee’s commitment to strong legislative oversight, policy support and stakeholder engagement aimed at removing operational bottlenecks and unlocking investment in the sector. He explained that the workshop was designed to generate practical insights to guide legislative actions and long-term structural reforms.
“There is an urgent need for legislative intervention in the ongoing dispute between the Nigerian Midstream and Downstream Petroleum Regulatory Authority and the Dangote Refinery,” Okojie said.
“The disagreement poses serious implications for sector stability, investor confidence and Nigeria’s energy security. Unresolved regulatory conflicts could undermine efforts to reposition the petroleum industry for growth.”
He urged committee members to play a mediatory and oversight role to ensure regulatory clarity, fairness and a sustainable resolution in line with the national interest.
The workshop featured technical sessions led by industry experts who provided an overview of the midstream sector, identified emerging challenges and outlined strategic options for achieving seamless processing. Participants also engaged in interactive discussions on regulatory gaps, infrastructure deficits, gas utilisation strategies and ways to boost private sector participation.
Stakeholders at the event expressed optimism, commending the committee for providing a platform for constructive engagement and expressing confidence that the outcomes would translate into stronger policies and decisive legislative actions. They agreed that such measures are vital to improving efficiency, attracting investment and repositioning the midstream sector as a key driver of economic growth.
The dispute has played out publicly in recent months following allegations by Dangote Group President, Aliko Dangote, that officials of the NMDPRA were frustrating the operations of his $20 billion Lekki refinery through regulatory inconsistencies and unfair practices.
Dangote specifically accused the Authority’s Chief Executive, Farouk Ahmed, of corruption, alleging that regulatory actions against the refinery were influenced by vested interests seeking to protect fuel importation businesses at the expense of local refining.
The NMDPRA has denied the allegations, maintaining that its actions are strictly guided by the Petroleum Industry Act and existing quality and safety standards. The Authority insists it will not compromise regulatory requirements and that its decisions are aimed at protecting consumers and ensuring product integrity.
The face-off has heightened concerns within the petroleum sector, intensifying calls for legislative mediation to prevent regulatory uncertainty from undermining investment confidence and Nigeria’s energy security.
