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IPMAN Criticizes NNPC for Pricing Dangote Petrol Higher Than Imports

Published by Tope Fakinlede on September 16th, 2024.

IPMAN Criticizes NNPC for Pricing Dangote Petrol Higher Than Imports

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has criticized the Nigerian National Petroleum Company Limited (NNPCL) for pricing petrol from the Dangote Refinery higher than imported fuel.

John Kekeocha, IPMAN’s National Welfare Officer, voiced his concerns during an appearance on Channels Television’s *The Morning Brief*. He questioned the logic behind selling Dangote refinery petrol at a higher rate when compared to imports, asking, “If NNPC is charging more for Dangote products than for imported ones, what are we celebrating?”

NNPCL began sourcing petrol from Dangote Refinery recently, reportedly paying N898 per litre. However, NNPCL retail stations in Lagos have set the price of Dangote petrol at N950 per litre, with prices reaching N1,019 in Borno. This contrasts with the earlier price of around N855 per litre for petrol at NNPCL outlets in Lagos.

Dangote Refinery has disputed these claims, with spokesperson Anthony Chiejina calling the NNPCL’s pricing assertion “misleading and mischievous.” Chiejina noted that petrol was sold to NNPCL in dollars and claimed it was more economical than the imported alternatives. He also emphasized the refinery’s goal to distribute petrol nationwide, including remote areas.

NNPCL has defended its pricing, challenging Dangote Refinery to disclose the actual sale price and has provided a breakdown of how it prices Dangote petrol at its stations.

The Dangote Refinery, which started operations last December with a capacity of 350,000 barrels per day, is expected to reach its full capacity of 650,000 barrels per day by the year’s end. Despite the new refinery’s efforts, Nigeria continues to face significant energy challenges, including reliance on imports and erratic fuel supplies. The removal of fuel subsidies in May 2023 has further exacerbated the situation, leading to tripled petrol prices and widespread fuel queues.