A federal high court in Lagos has issued an interim injunction restraining the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) from shutting down or interfering with the operations of Dangote Petroleum refinery.
Akintayo Aluko, the presiding judge, issued the order on Monday while ruling on a motion ex parte marked FHC/L/CS/1174/26, filed and argued by a legal team representing the Dangote Petroleum Refinery Nigeria Limited.
The team was led by Olawale Akoni and Abimbola Akeredolu, both senior advocates of Nigeria (SANs).
The refinery had approached the court following a letter dated August 24, through which NMDPRA allegedly directed the suspension of loading and truck-out of petroleum products from the facility.
In the application, the firm asked the court to restrain the NMDPRA, its officers, agents, representatives, privies or any person acting under the authority of the agency from enforcing or implementing the directive pending the hearing and determination of the motion on notice.
The company also sought an interim injunction restraining the NMDPRA and its agents from entering, sealing, shutting down, restricting access to, obstructing, suspending, disrupting, inspecting, supervising, sanctioning or otherwise interfering with its facilities and operations within the Lekki Free Zone.
Moving the application, Akeredolu told the court that the application was supported by a 42-paragraph affidavit deposed to by Wale Aroge, a written address, and documentary exhibits marked A1 to A6.
Akeredolu urged the court to grant the reliefs sought.
COURT RULING
In his ruling, Aluko said the court had carefully considered the application, affidavit evidence, exhibits and submissions of counsel, including NMDPRA’s August 24 letter.Courts & Judiciary
The judge noted that the refinery’s case was that NMDPRA lacked regulatory and oversight powers over operations within free zones, including the Dangote Industrial Free Zone.
Aluko also referred to a letter dated March 2, issued by the attorney-general of the federation (AGF), which, according to the judge, stated that the NMDPRA was not entitled to exercise regulatory powers or oversight functions over operations within free zones.
The judge said the court had also considered NMDPRA’s August 24 letter, through which the regulatory agency purportedly sought to exercise such powers.
“The important question, therefore, is whether the defendant can or should be allowed to exercise such regulatory authority pending the determination of the substantive issues before the court,” Aluko said.
The judge held that depositions contained in paragraphs 17 to 32 of the affidavit disclosed serious issues requiring determination by the court.
On the urgency of the application, Aluko said paragraphs 33 to 39 of the affidavit established the need for judicial intervention.
According to the judge, the refinery is seeking to preserve the subject matter of the suit, pending determination of the motion on notice.
“Every court has the inherent power and duty to preserve the res and prevent a situation where the subject matter of litigation would be destroyed or altered before the substantive application is determined,” Aluko said.
The judge further held that the refinery had satisfied the conditions required for the grant of an interim injunction.
Aluko noted that the company had also undertaken to indemnify the NMDPRA in damages if the court subsequently determined that the injunction ought not to have been granted.
“Accordingly, I find merit in the application, and the same is hereby granted in terms of the reliefs sought. The plaintiff shall file a formal undertaking as to damages,” the judge ruled.
Aluko directed that the order and notice of the court be served on the NMDPRA, adjourning the case until September 9 for the hearing of the motion on notice.