Customs, NMDPRA tighten export controls against fuel diversion

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The Nigeria Customs Service and the Nigerian Midstream and Downstream Petroleum Regulatory Authority have deepened collaboration to curb the diversion of petroleum products meant for domestic consumption, as Nigeria intensifies efforts to protect energy security while expanding fuel exports.

The renewed resolve was reaffirmed during a meeting between the Comptroller-General of Customs, Adewale Adeniyi, and the Executive Director, Distribution Systems, Storage and Retailing Infrastructure at the NMDPRA, Mr Ogbugo Ukoha.

A statement on Sunday by the National Public Relations Officer of the Customs Service, Abdullahi Maiwada, said the engagement focused on tightening border controls, improving intelligence sharing, and aligning enforcement efforts with emerging petroleum sector reforms.

The statement read, “The Nigeria Customs Service and the Nigerian Midstream and Downstream Petroleum Regulatory Authority are strengthening their collaboration to combat the diversion of petroleum products intended for domestic use and to safeguard Nigeria’s energy security.”

Speaking at the meeting, Adeniyi said the Customs service remained committed to strong inter-agency cooperation to ensure that petroleum products designated for local use are not diverted to neighbouring countries.

He noted that joint operations with the NMDPRA had already delivered tangible results, particularly through Operation Whirlwind, which he described as a template for intelligence-driven enforcement, coordinated field operations, and real-time information exchange.

The Customs boss added that the Service was fully aligned with reforms in the petroleum regulatory space and would continue to offer technical input, operational feedback, and border management expertise to support the rollout of new guidelines being developed by the NMDPRA.

Adeniyi also commended the Authority for harmonising legacy processes with the Petroleum Industry Act, stressing that clear and efficient export-point procedures were critical as Nigeria transitions from a net importer to an emerging exporter of refined petroleum products.

“We welcome every initiative that strengthens energy security and ensures that the gains made in reducing cross-border diversion are not reversed. Our shared responsibility is to protect national interest, support legitimate trade, and maintain a transparent system that stakeholders can rely on. We will continue to work closely with sister agencies to achieve these outcomes,” he stated.

In his remarks, the Executive Director, Ukoha, said the NMDPRA enjoys a longstanding and productive working relationship with the Nigeria Customs Service, noting that Operation Whirlwind remained the high point of that collaboration.

He explained that both agencies deployed personnel, exchanged intelligence, and jointly monitored petroleum products in border corridors, leading to a marked reduction in cross-border diversion.

Ukoha said the purpose of the visit was to brief the CGC on newly developed guidelines for designating export points for petroleum products as Nigeria’s refining capacity expands.

He said the NMDPRA is engaging key institutions, including Customs, the Central Bank of Nigeria, the Federal Ministry of Industry, Trade and Investment, and the Nigerian Navy, to ensure the guidelines reflect operational realities before implementation.

He recalled several field operations and strategic engagements with the Customs leadership, including the joint launch of Operation Whirlwind in Yola, where both agencies reinforced their commitment to curbing diversion and securing the domestic supply chain.

He added that while enforcement had played a major role in reducing irregular movements of petroleum products, the removal of fuel subsidy had significantly reduced the economic incentive for cross-border smuggling.

According to him, the NMDPRA will continue to work closely with the Customs Service to sustain progress and ensure that petroleum exports are properly regulated without exposing the country to energy security risks.

Nigeria has in recent years battled large-scale diversion and smuggling of subsidised petroleum products to neighbouring countries, costing the economy billions of naira annually.

With subsidy removal and growing local refining capacity, driven largely by private refineries, the focus of regulators has shifted to balancing export opportunities with the need to secure domestic supply, a task both Customs and the NMDPRA say requires tighter coordination and clearer rules at Nigeria’s borders.

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