The Federal High Court sitting in Abuja has yesterday dismissed the Federal Competition and Consumer Protection Commission’s, FCCPC application to join the lawsuit filed by Dangote Petroleum Refinery demanding to stop the Nigerian National Petroleum Company Limited, NNPCL and some major oil marketers from continued importation of refined petroleum products into the country.
The presiding Judge, Justice Inyang Ekwo in his ruling slammed the commission’s application in the suit, insisting that the dispute could be effectively determined without the inclusion of the FCCPC.
Justice Ekwo particularly held that including the agency as a party was not necessary and rejected its application.
Recall, Dangote Refinery, had 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.
One of the refinery prayers to the court is to nullify the import licenses issued by NMDPRA to NNPCL and the five other private companies importing refined petroleum products into the country.
It also demanded a declaration from the court that NMDPRA violated Sections 317(8) and (9) of the Petroleum Industry Act by issuing licenses to import petroleum products, arguing that such licenses should only be issued only when there is a problem of a petroleum product shortfall.
Dangote Refinery affirmed that its company has the capacity to meet local petroleum need in the country.
Consequently, it soughted for a N100bn damages against NMDPRA for allegedly continuing to issue import licenses to NNPCL and other companies against the law.
Meanwhile, the FCCPC, in a motion on notice, seek to be joined as a party in the suit.
In its application for joinder, FCCPC argued that it needed to be joined in the suit as the aim of Dangote Refinery is targeted to monopolise the petroleum industry in the country which is against the FCCPC’s mandate to ensure a free market for all.
The commission argued, “The main thrust of Dangote Refinery’s suit borders on anti-competition and monopoly in the petroleum industry”.
It further reiterated that it needed to be joined in the suit because any judgment entered by the court would affect its mandate.
Dangote Refinery, however, kicked against the FCCPC’s application to join its suit, describing the commission as a meddlesome intruder that had no business in a case revolving around the Petroleum Industry Act, which is exclusively an Act of the National Assembly.
Therefore, Dangote Refinery demanded that 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.
According to the NNPCL Dangote Refinery sued a non-existent party, as the entity mentioned in the suit as the second defendant, “NNPC,” is not their name and does not exist.
NNPCL clarifies that, being its registered name with the Corporate Affairs Commission, it is not the same entity as the one the defendant mentioned in the plaintiff’s suit.
It called on 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.
Meanwhile, the judge has adjourned the matter to March 6 for further mention.
