The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said that it does not make sense for the Nigerian National Petroleum Company Limited (NNPCL) to sell petrol lifted from Dangote Refinery higher than imported product.
The National Welfare Officer, IPMAN, John Kekeocha, also cautioned that selling Dangote fuel above the price of imported products would be counterproductive to Nigeria’s drive for energy self-sufficiency.
According to him, it can also negatively impact consumers, marketers and the industry alike. He said that though Nigerians understand that Dangote as a businessman should make profit from his investments and that the pump price of Dangote fuel would not go down to as low as N600 or N500 as some people had hoped, having competitive pricing is crucial for the success of the refinery and to ensure a sustainable fuel market in the nation.
He stated that the pricing mechanism for domestically refined fuel should reflect the advantages of domestic production and so should provide Nigerians better and more affordable price.
He spoke on Channels Television’s The Morning Brief breakfast programme yesterday. Kekeocha said: “If NNPC can sell Dangote product higher than the imported product, it does not make sense.
What is the celebration we are having all these while. In view of the logistics before us about importation and the Dangote having started production, we reasonably believe that Dangote product should be cheaper. “It is not possible that imported petrol is cheaper than the one produced at home.
Dangote fuel cannot be costlier than the imported one because we have advantage of supply logistics. If the imported one is cheaper, then there is no need celebrating Dangote refinery’s production. Absolutely the domestic one is going to be cheaper than the imported product.”
Recall that NNPC Ltd had announced new fuel pump prices nationwide a few hours after it lifted the first batch of fuel from the 650,000 barrel per day capacity Dangote Refinery and Petrochemical at Free Zone, Lekki, Lagos that was built with about $20 billion.
Chief Corporate Communications Officer, NNPC Ltd, Olufemi Soneye, made the announcement in a statement titled: “NNPC Ltd Releases Estimated Pump Prices of PMS from Dangote Refinery, Based on September 2024 Pricing.”
He, however, said that if the quoted pricing is disputed, it will be grateful for any discount from the Dangote Refinery, which, he said would be passed on 100% to fuel users.
According to the template, fuel pump price in NNPC Ltd stations in Lagos State is N950.22; Oyo, N960.22; Federal Capital Territory (FCT) Abuja, N992.22; Rivers, N980.22; Sokoto, N999.22; Kano, N999.22, Kaduna, N999.22; and Borno State, N1,019.22.
