Business

Reasons Dangote Refinery May Not Reduces Petrol, Diesel Prices, Say Experts

Published by Tope Fakinlede on June 22nd, 2024.

Reasons Dangote Refinery May Not Reduces Petrol, Diesel Prices, Say Experts

By Hannah Johnson

Industry experts suggest that the commencement of production at the Dangote Petroleum Refinery might not lead to significant reductions in petrol and diesel prices.

Despite its strategic location in Lagos, Nigeria, the refinery’s operations are heavily reliant on imported inputs. The fluctuating foreign exchange rates are expected to prevent any substantial price drops for these fuel products.

Hector Igbikiowubo, Publisher of Sweet Crude Reports, and Ugodre Obi-Chukwu, Founder of Nairametrics, expressed this view on “Inside Sources with Laolu Akande,” a socio-political program aired on Channels Television on Friday.

Both Igbikiowubo and Obi-Chukwu commended Aliko Dangote for overcoming numerous challenges to build a functional refinery. They emphasized that Dangote’s achievement highlights the Federal Government’s failure to revitalize Nigeria’s four non-operational refineries and urged the Nigerian National Petroleum Company (NNPC) Limited to increase crude supply to