Niger faces severe fuel crisis, turns to Nigeria for assistance

Niger Republic has been grappling with a crippling fuel crisis for nearly two weeks, paralyzing transportation and economic activities across the country.

Long queues of vehicles have become a common sight in cities, with desperate motorists and businesses scrambling to secure scarce petrol supplies.

The crisis has forced the ruling military junta, which has often projected a defiant stance against external influence, to seek urgent assistance from neighboring Nigeria.

In a quiet yet significant move, Niger’s Minister of Petroleum and Renewable Energy, accompanied by senior officials from the Niger Petroleum Company (SONIDEP), traveled to Abuja to request emergency fuel deliveries.

Despite months of strained relations and diplomatic tensions between the two nations, Nigeria responded positively, approving the immediate dispatch of 300 fuel trucks to Niamey.

A Crisis Years in the Making

The roots of Niger’s fuel crisis trace back to its deteriorating relationship with Chinese oil companies, which have long dominated the country’s petroleum sector. The tipping point came in March 2024, when the China National Petroleum Corporation (CNPC) extended a $400 million advance to the Nigerien government, using future crude oil deliveries as collateral. This financial arrangement was intended to help Niger navigate the economic sanctions imposed by the Economic Community of West African States (ECOWAS) following the July 2023 coup.

However, when repayment became due, Niger’s military rulers found themselves unable to meet their obligations. Instead of renegotiating terms, the junta escalated tensions by imposing an $80 billion tax demand on SORAZ (Zinder Refinery Company), despite SONIDEP already owing SORAZ a staggering $250 billion. When China declined to extend further loans, the junta retaliated by expelling Chinese oil executives and freezing SORAZ’s bank accounts.

Fallout from the Confrontation

The consequences of this decision were immediate and severe. Niger’s petroleum sector, heavily reliant on Chinese investment and expertise, began to unravel. The SORAZ refinery—responsible for a significant portion of the nation’s fuel supply—ceased operations, triggering widespread fuel shortages.

The timing of the crisis could not have been worse. The Niger-Benin oil pipeline project, aimed at increasing Niger’s crude oil exports to 100,000 barrels per day by 2025, also faced disruptions. With Chinese engineers withdrawn and no viable alternative expertise in place, the project’s future now hangs in the balance.

Silence Amid Growing Unrest

Initially, the military junta refrained from publicly acknowledging the severity of the fuel crisis. State-controlled media outlets were instructed to downplay or ignore reports of shortages and mounting public frustration. Meanwhile, black-market fuel prices skyrocketed, further straining households and businesses already grappling with economic hardships.

As public discontent grew and economic activity ground to a halt, the junta was left with limited options. In a move that underscored the gravity of the situation, Niger reached out to Nigeria for help—a nation it had previously criticized and distanced itself from following the coup.

Nigeria Steps In as Regional Ally

Despite months of diplomatic friction, Nigeria once again assumed its role as a regional stabilizer. The Nigerian government promptly approved an emergency fuel delivery of 300 trucks to Niger, aiming to alleviate the crisis and restore some semblance of normalcy.

This gesture comes despite numerous provocations from Niger’s junta, including hostile rhetoric, false accusations, and diplomatic snubs directed at Abuja since the coup. Nevertheless, Nigeria’s decision highlights its commitment to regional stability and its willingness to assist a neighbor in need, even under challenging circumstances.

Broader Implications

Niger’s fuel crisis serves as a cautionary tale about the risks of economic mismanagement and strained international relations. The country’s reliance on external expertise and investment in its petroleum sector underscores the importance of fostering constructive partnerships rather than resorting to confrontational tactics.

As fuel deliveries from Nigeria begin to ease immediate shortages, questions remain about Niger’s long-term strategy for stabilizing its economy and repairing its fractured relationships with key international stakeholders.

For now, however, Nigeria’s timely intervention has provided a critical lifeline for a nation on the brink of economic collapse.