The Federal High Court in Abuja on Tuesday dismissed the Federal Competition and Consumer Protection Commission’s request to join the lawsuit filed by Dangote Petroleum Refinery seeking to stop the Nigerian National Petroleum Company Limited and oil marketers from importing refined petroleum products into the country.
Justice Inyang Ekwo dismissed the commission’s application while delivering a ruling in the suit, stating that the dispute could be effectively determined without the inclusion of the FCCPC.
Justice Ekwo specifically held that the FCCPC was not a relevant or necessary party and rejected its application.
Dangote Refinery, in the suit marked FHC/ABJ/CS/1324/2024, sued the Nigeria Midstream and Downstream Petroleum Regulatory Authority, NNPCL, AYM Shafa Limited, A.A. Rano Limited, T. Time Petroleum Limited, 2015 Petroleum Limited, and Matrix Petroleum Services Limited as 1st to 7th defendants.
The refinery prayed the court to nullify the import licences issued by NMDPRA to NNPCL and the five other companies for importing refined petroleum products.
It also sought a declaration that NMDPRA violated Sections 317(8) and (9) of the Petroleum Industry Act by issuing licences to import petroleum products, arguing that such licences should only be issued in cases of a petroleum product shortfall.
Dangote Refinery asserted that it has the capacity to meet local petroleum need.
It further sought N100bn in damages against NMDPRA for allegedly continuing to issue import licenses to NNPCL and the other companies, among other reliefs.
The FCCPC, in a motion on notice, sought to be joined as a party in the suit.
In its application for joinder, the FCCPC argued that it needed to be joined in the suit as the aim of Dangote Refinery to monopolise the petroleum industry was contrary to the FCCPC’s mandate to ensure a free market.
“The main thrust of Dangote Refinery’s suit borders on anti-competition and monopoly in the petroleum industry,” the FCCPC argued.
The commission further claimed that it needed to be joined in the suit because any judgment entered by the court would affect its mandate.
Dangote Refinery, however, opposed the FCCPC’s application to join the suit, describing the commission as a meddlesome interloper that had no business in a case revolving around the Petroleum Industry Act, an Act of the National Assembly.
Dangote Refinery urged the court to reject the FCCPC’s application.
NNPCL, the second defendant in the suit, filed a preliminary objection contesting the refinery’s suit and the jurisdiction of the court to hear it.
NNPCL also argued that Dangote Refinery sued a non-existent party, as the entity mentioned in the suit as the second defendant, “NNPC,” does not exist.
NNPCL added that the Nigerian National Petroleum Company Limited, being its registered name with the Corporate Affairs Commission, is not the same entity as the second defendant mentioned in the plaintiff’s suit.
NNPCL urged the court to strike out its name from the suit and challenged the locus standi of the plaintiff to file the action, which it termed “premature.”
“The 2nd defendant is not a competent party. The plaintiff’s suit is incompetent. This honourable court lacks the jurisdiction to hear this suit,” the NNPCL argued.
In his ruling on Tuesday, Justice Ekwo dismissed both FCCPC’s request for joinder and the NNPCL’s application challenging the jurisdiction of the court to hear the suit.
Justice Ekwo held that NNPCL’s objection lacked merit and proceeded to dismiss it.
The court granted the plaintiff’s prayers to amend the suit to reflect the proper name of the NNPCL, which Justice Ekwo approved.
He proceeded to adjourn the matter to March 6 for further mention.
