Court orders NMDPRA to renew import licences for Matrix Energy, AA Rano, AYM Shafa

The Federal High Court in Abuja has directed the Nigerian Midstream and Downstream Petroleum Regulatory Authority NMDPRA to continue issuing petroleum import licences.

The licences cover Matrix Energy, AA Rano and AYM Shafa.

Justice Inyang Ekwo gave the order on Monday. He delivered judgment in a suit filed by the three oil marketers.

The court ruled that the NMDPRA’s refusal to issue or renew the licences violated the Petroleum Industry Act PIA, 2021.

Raji Ahmed, SAN, and Chris Ekemezie represented the plaintiffs.

They asked the court to declare that the PIA does not prohibit petroleum products importation into Nigeria.

They also asked the court to affirm the NMDPRA’s power to issue and renew import licences.

The licences would apply to companies that meet the required conditions.

Justice Ekwo said the case followed the NMDPRA’s refusal to issue or renew the licences.

He ruled that the authority’s actions did not comply with the PIA.

The judge also held that the NMDPRA exceeded its powers under the law.

He said all actions on import licences must comply with the PIA and other relevant laws.

Any action that breaches those laws, he added, would be null and void.

Justice Ekwo held that the plaintiffs had established their claims.

He therefore ruled that the case succeeded on its merits.

The court also considered provisions of the PIA and Section 72 of the Federal Competition and Consumer Protection Act.

Justice Ekwo said the provisions require the NMDPRA to promote competition in the petroleum sector.

They cover both the midstream and downstream sectors.

The provisions also require the regulator to prevent abuse of dominant positions.

They further prohibit restrictive business practices in the sector.

The judge declared that Matrix Energy, AA Rano and AYM Shafa can obtain or renew their petroleum import licences.

However, the companies must first meet the conditions set by the NMDPRA.