Fuel price hike: Marketers give conditions to buy Dangote Petrol, eye import

Petroleum marketers in Nigeria say they are standing in limbo over the controversy surrounding Dangote Refinery Premium Motor Spirit (petrol) pricing as released by the Nigerian National Petroleum Company Limited on Monday.

This comes as the petroleum marketers demanded that Dangote Refinery should disclose the price it sold petrol to NNPCL for transparency.

Marketers further noted that the country cannot depend on domestic Petrol production to satisfy its daily consumption which stood at N50 million according to Nigerian Midstream and Downstream Petroleum Regulatory Authority latest data.

The President of the Petroleum Products Retail Outlets Owners Association, PETROAN, Billy Gillis-Harry and the President of the Independent Petroleum Marketers Association of Nigeria, Abubakar Maigandi made this demand in a separate interview with DAILY POST on Monday.

Fresh petrol price hike looms

Recall that NNPCL on Monday announced a list of retail prices of Dangote Petrol across its outlets nationwide.

The new petrol prices showed that petrol will be sold at N950.22 per liter in Lagos State. Oyo and other South West states will pay N960 per liter for Petrol.

In Federal Capital Territory (Abuja), Kano, Kaduna petrol price will stand at N999.22 per litre.

Also in Imo and Rivers states, the price of petrol will be N980.2, while Borno State will pay N1,019.22 per litre.

Although DAILY POST gathered on Monday that the new prices have not been affected, the pump price of fuel may soon go up across the country.

Meanwhile, DAILY POST observed that NNPCL is yet to announce the price it would sell Dangote Refinery Petrol to marketers, owners of a majority of fillings stations in Nigeria.

The pump price of petrol at Independent marketers’ filling stations usually surpasses that of NNPCL retail outlets by over N100, which may bring the price of fuel to around N1,200 per liter.

Dangote Petrol Price Controversy

Dangote Refinery commenced first distribution of Petrol at the weekend with NNPCL as an official offtaker.

NNPCL had revealed that Dangote Refinery sold petrol to them at N898 per liter.

However, Dangote Group faulted NNPCL, but did not disclose the actual price it sold its inaugural petrol.

The development resulted in a petrol price controversy which further worsened the crisis in the sector.

Why Dangote Refinery should tell Marketers petrol price – Gillis-Harry

Reacting, PETROAN president, Gillis-Harry called for absolute transparency in the oil and gas sector.

According to him, the Dangote Refinery needs to come open to stakeholders on the exact price of its petrol as a prerequisite for marketers to purchase the product.

“Dangote Refinery should tell us what price it is selling its petrol since NNPCL has given its selling price.

“We should be able to know exactly what price that is coming from Dangote Refinery Petrol to us. We should know how NNPCL will deal with us. As it is now, we are standing in limbo”, he told DAILY POST.

NNPCL yet to release Dangote Petrol price for Marketers – IPMAN

On his part, IPMAN president, Maigandi said he is waiting for the NNPCL to release the prices it would sell Dangote Petrol to marketers.

He expressed displeasure with the scheme of things within the sector over the conflicting petrol pricing coming from Dangote Refinery and NNPCL.

“We are waiting for NNPCL to release prices that independent marketers will be buying petrol. They have not.

“We are buying directly from NNPCL, not Dangote Refinery. Marketers can cope without any rate.

“We, marketers, are not happy with the high cost of petrol because you have to use a huge amount of money to get the product.

“Dangote Refinery has established its facility, let the government try to make the other refineries function, this may lead to a reduction in the prices of petrol”, he told DAILY POST.

Nigeria can’t depend on Dangote Refinery – Marketers

When asked whether marketers would look to importation amid the cost of Dangote Refinery Petrol, Gillis-Harry said, ” Dangote Refinery is producing about 25 million liters a day. That is just about 15,000 metric tonnes which is less than one cargo.

“And NNPCL has been selling so many cargoes to depot owners, including our members, to distribute to Nigerians previously.

“What it means is that we are going to be dependent on the petrol product that is produced in-country. There must be a level of importation to make up for the difference.”

Fuel price hike: Marketers give conditions to buy Dangote Petrol, eye import