Dangote Refinery Announces New Petrol Prices, Explains Its Decision, NNPC's Influence

• Aliko Dangote's refinery has announced the actual cost of petrol from its refinery when selling to marketers
• The revelation follows accusations from filling station owners that Dangote petrol is sold above N1,000 per litre
• The refinery also emphasized that its petrol is of far higher quality, describing imported petrol sold by marketers as substandard

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

Dangote Petroleum Refinery has announced that it sells Premium Motor Spirit (PMS), also known as petrol, at N960 per liter for ship deliveries and N990 per liter for truck supplies.

The company announced this in a statement by Anthony Chiejina, its group chief branding and communications officer.

Dangote Refinery justifies pricing

In the statement, Dangote Refinery also dismissed marketers' claims that its prices are higher than imported fuel.

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Part of the statement reads:

"Post deregulation, NNPC set the pace by selling PMS to domestic marketers at N971 per litre for sale into ships and at N990 for sale into trucks.

"This established our pricing benchmark, and and we have even gone lower to N960 per liter for sales into ships, while keeping it at N990 per liter for truck sales. "

Punch reports that the refinery has justified its pricing as aligned with global standards and called for support to the domestic refining industry.

"We set our prices based on international standards. If anyone claims they can bring in PMS at a lower price, they are likely bringing in substandard products and collaborating with international traders to flood the market with low-quality fuel, disregarding both the health of Nigerians and the durability of their vehicles.

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“Countries worldwide protect their domestic industries to promote job creation and economic growth,” the statement read, citing the examples of the U.S. and Europe imposing tariffs on electric vehicles and microchips to protect their industries.

“We commenced sales at these rates in good faith, even without full clarity on the exchange rate we would use to pay for crude purchases."

Nigerians currently pay over N1,100 per litre to buy fuel at filling stations nationwide.

NNPC raises petrol price

Earlier, Legit.ng reported that the Nigerian National Petroleum Company Limited (NNPC) had raised the petrol price again.

The development came as Aliko Dangote, chairman of the Dangote Group, said that petrol was idle at his refinery without patronage.

Proofreading by James, Ojo Adakole, journalist and copy editor at Legit.ng.

Source: Legit.ng