NMDPRA introduces lubricant import licence to tackle influx of substandard products
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has announced the commencement of licensing for lubricant importation in a move aimed at curbing the influx of substandard and counterfeit lubricants into the Nigerian market.
Authority Chief Executive, Mr Farouk Ahmed, disclosed this on Wednesday in Abuja during a stakeholders’ workshop on the regulatory requirements for lubricant importation.
Ahmed, who was represented by Francis Ogaree, Executive Director of Hydrocarbon Processing Plants, Installations and Transportation Infrastructure (HPPITI), stated that the initiative would improve oversight and ensure that only authorised, high-quality lubricants are allowed into the country.
As part of the new measures, the NMDPRA has launched a Lubricant Importation Module on its Lube Oil Blending Plant (LOBP) Portal. The digital platform is designed to streamline the application, approval, and monitoring process for lubricant imports. It is fully integrated with the Nigeria Customs Service’s BÓdugwu platform to enable seamless import clearance, real-time data tracking, and better enforcement of compliance.
Ahmed noted that the regulatory intervention was necessary to monitor and control the quality of lubricants entering the Nigerian market. He stressed that the Petroleum Industry Act (PIA) 2021 mandates the NMDPRA to ensure all petroleum products, including lubricants, conform to rigorous safety and quality standards.
Describing the development as a major step toward creating a transparent, efficient and quality-assured lubricant import system, Ahmed stated, “We take this responsibility seriously, as poor-quality lubricants do more than damage engines. They damage trust, hinder productivity and lead to avoidable economic losses.
“For importers, this means faster approvals and more transparent processes. For local manufacturers, it creates an environment where domestic production can thrive on a level playing field. And for all stakeholders, it brings about improved accountability and shared responsibility in safeguarding the Nigerian market.”
He added that the licensing requirement is not intended to restrict trade but to strengthen the petroleum sector and reinforce product integrity. The initiative, according to Ahmed, aligns with President Bola Tinubu’s industrialisation agenda, which seeks to reduce dependence on imports and promote local manufacturing capacity.
He acknowledged the support of the Central Bank of Nigeria, the Nigeria Customs Service, the HPPITI Directorate, and other stakeholders who contributed to the formulation of the policy. He also encouraged all industry operators to comply with the new regulatory framework.
In her presentation, Mrs Ngozi Nwankwo, Director of Liquids at HPPITI, explained that the new requirements were designed to eliminate substandard lubricant products, increase monitoring, enhance transparency, support local blending efforts, reduce overreliance on imports, and protect both consumers and machinery.
“Lubricant Import Licence is an official authorisation issued by the NMDPRA. It grants eligible companies the legal right to import lubricant products into Nigeria,” she said.
Nwankwo further noted that only traceable and compliant entities would be allowed to engage in the importation of lubricants, with strict adherence to safety, environmental, regulatory, and quality standards.
However, the Executive Director of the Lubricant Producers Association of Nigeria (LUPAN), Mr Emeka Obidike, expressed concerns over the policy, warning that it could negatively affect existing lubricant plants across the country.
Obidike claimed that the new licensing regime could lead to job losses, with around 200,000 direct positions at risk. He added that it may discourage investment and roll back progress made in recent years within the sector.
“This move will undermine the lubricant policy currently being developed by the Federal Ministry of Trade and Investment and contradict the administration’s renewed hope agenda of backward integration in the manufacturing sector.
“We could see more machinery breakdowns across the country due to low-quality lubricants made from recycled oils without essential additives,” he warned.