The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) has urged government to address the nation’s aging pipelines, inefficient ports, and infrastructure gaps.
DAPPMAN Chairperson, Mrs. Moroti Adedoyin-Adeyinka, made the appeal on Wednesday, October28, during the OTL Africa Downstream Week 2025 in Lagos.
She was represented by Mrs. Ngozi Ekeoma, Group Managing Director of Nepal Energies Ltd, who delivered a paper on trade and infrastructure challenges in Nigeria’s downstream sector.
Adedoyin-Adeyinka said the Dangote Refinery’s 650,000 barrels-per-day capacity marks a historic step toward ending fuel imports but warned weak infrastructure could undermine its impact.
She noted that Nigeria’s pipelines, ports, and storage depots need urgent rehabilitation to support new refining capacity and improve supply chain efficiency.
According to her, most of the country’s pipeline network, built over 40 years ago, suffers from vandalism, under-capacity, and poor maintenance.
She said these problems force marketers to depend heavily on road transport, increasing costs, delaying distribution, and exposing products to risks.
The DAPPMAN leader also identified shallow drafts, congestion, and cumbersome customs procedures at ports as barriers to efficient product movement.
She urged government to digitalise port operations, simplify customs processes, and improve turnaround times to boost trade competitiveness.
Adedoyin-Adeyinka said the Petroleum Industry Act provides a strong foundation for reform through the NMDPRA and the Midstream and Downstream Gas Infrastructure Fund.
However, she expressed concern over slow implementation, weak coordination, and policy delays that create uncertainty for investors and limit sectoral reform.
She called for a Downstream Infrastructure Implementation Taskforce within the NMDPRA to fast-track projects, harmonise tariffs, and ensure open access to facilities.
She emphasised that the PIA must move from paper to practice through transparent tariffs and effective deployment of the MDGIF to close logistics gaps.
Adedoyin-Adeyinka said new private and modular refineries in several states signal Nigeria’s move toward fuel self-sufficiency.
She warned that this progress must be supported with strategic investments to prevent future distribution challenges.
She proposed developing pipelines linking the Dangote Refinery to inland depots, expanding northern storage, and building digitalised truck parks for safer operations.
On regional trade, she called for harmonised product standards within ECOWAS and AfCFTA and the creation of cross-border depots in neighbouring countries.
She added that aligning infrastructure with refining capacity could position Nigeria as Africa’s leading downstream logistics and energy hub.
Adedoyin-Adeyinka urged support through infrastructure tax credits, energy bonds, and local financing to empower indigenous marketers and logistics operators.
She said domestic refining marks a turning point for Nigeria’s downstream sector but warned success depends on transparency and regulatory consistency.
“The end of fuel imports is near. But progress depends on whether our infrastructure and policies match our refining growth,” she said.
She added that with accountability and urgency, Nigeria could meet its fuel needs and become West and Central Africa’s energy trade hub.
In a related development, Energy regulators and industry stakeholders across Africa have renewed calls for regional integration, harmonised policies, and greater investment to enhance sustainability and competitiveness in the continent’s oil and gas markets.
The appeal came during the 19th Oil Trading and Logistics (OTL) Africa Downstream Energy Week 2025 held on Wednesday in Lagos.
Speakers agreed that fragmented regulatory frameworks and inconsistent energy policies hinder market integration and growth, in spite of Africa’s abundance of natural resources.
Director-General of Sierra Leone’s National Petroleum Regulatory Authority, Mr. Brima Koroma, said Africa’s oil and gas industry was at a “pivotal juncture” requiring coordinated regulation.
“Our market is so closed that what we need is not more divergence but policy harmony,” Koroma said.
He noted that fragmentation of laws, standards, licensing, and tax regimes across Africa weakens collective leverage and discourages investment.
Koroma warned that without unified frameworks, conflicting policies would continue to deter investors, restrict trade, and create inefficiencies in pricing and supply.
He outlined a five-step pathway towards integration, including harmonised regulations, policy flexibility, and promotion of shared refineries and pipelines.
“Regional regulatory integration will promote predictability and stability,” he added.
Mr. Musa Njie, Director of Petroleum at The Gambia’s Public Utilities Regulatory Authority, said harmonisation was vital for smaller economies dependent on imported petroleum products.
He stated that aligning national rules with ECOWAS directives would boost energy security, attract investors, and position The Gambia as a regional energy hub.
“Harmonisation makes The Gambia’s market more attractive by ensuring clear, consistent, and predictable regulations,” Njie said.
He added that joint infrastructure and coordinated policy would strengthen regional cooperation and trade.
Njie also highlighted The Gambia’s digitalisation drive, including new inspection systems and testing facilities to improve fuel quality assurance.
Chief Executive Officer of OTL Downstream Development Africa Ltd., Mrs. Joyce Akabogu, emphasised the downstream sector’s central role in Africa’s economic transformation.
“The downstream is where energy meets the people, where policy becomes impact, and where governance is most visible,” she said.
She called for bold investments in refining, storage, and distribution infrastructure to reduce dependence on imported fuels.
According to Akabogu, regional cooperation and innovation are essential to driving Africa’s energy transition.
“We need regional value chains that enable local refining, regional trade, and shared benefits,” she noted.
She urged governments to harmonise regulations to make cross-border trade seamless and attractive to investors.
Akabogu also called for skills development, cleaner technologies, and environmental sustainability across the energy value chain.
“If we align our infrastructure, policies, and talent, we can transform the downstream into a catalyst for sustainable growth,” she said.
She also urged collaboration beyond national borders to build an inclusive and globally competitive African energy industry.
By Yunus Yusuf
