Since the removal of fuel subsidies in Nigeria under President Bola Tinubu’s administration in 2023, neighbouring Niger Republic has been grappling with an unprecedented fuel shortage. Nigeria, which historically supplied up to 50% of Niger’s fuel through both legal and illegal channels, has significantly reduced this supply due to price hikes after subsidy removal. This has severely impacted Niger’s access to affordable petrol, with the country now facing massive shortages.
Niger’s state-owned refinery, the Soraz refinery in Zinder, is incapable of meeting domestic demand, producing only a fraction of the required daily fuel. As a result, Niger has been left with limited options—either import fuel at high prices or continue to deal with scarcity. The illicit smuggling of Nigerian fuel that once filled the gap is no longer viable due to the increased cost and strict border control measures, such as the Nigeria Customs Service’s Operation Whirlwind.
As the crisis deepens, fuel prices in Niger have skyrocketed, reaching up to N8,000 per litre in some areas. The shortage is particularly severe in border towns like Konni and Agadez, where prices are driven by scarcity and increased import costs. In response, Niger has sought emergency fuel supplies from Nigeria, even amidst ongoing diplomatic tensions between the two countries.
In a bid to alleviate the situation, Nigeria recently approved the delivery of 300 tanker trucks of petrol to Niger. This move is seen as both a humanitarian gesture and a strategic diplomatic tool, with Nigeria hoping that this assistance will help restart negotiations and potentially bring Niger back to the ECOWAS fold.
Despite the crisis, trade between Nigeria and Niger has surged, with Nigeria’s exports to Niger nearly doubling in 2024. This indicates that despite political and diplomatic issues, economic ties between the two nations remain strong. Additionally, the fuel crisis in Niger is compounded by internal issues, such as confrontations between the ruling military junta and Chinese oil companies, which had previously helped manage the country’s petroleum sector.
As Nigeria continues to produce more fuel domestically through refineries like Dangote and Port Harcourt, and with imports from other countries increasing, the future of fuel availability in Niger largely depends on the ongoing geopolitical dynamics and the stability of Niger’s petroleum sector.
