Independent Oil Marketers Confirm Actual Dangote Petrol Cost, Make Demands To Crash Pump Prices
- Marketers have reacted to new petrol prices announced by the Nigerian National Petroleum Company Limited (NNPCL)
- IPMAN stated that although NNPC continues to sell petrol at a price lower than the announced rate, it sourced the fuel from the Dangote refinery
- The high prices at filling stations are attributed to various factors, including transportation and logistics costs
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.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) has confirmed that the Nigerian National Petroleum Company Limited (NNPCL) sells petrol at N895 per litre to marketers.
The association stated that the price sold to marketers by NNPC is cheaper than N898 per litre NNPCL bought from the Dangote Refinery.
Source: Getty Images
Chinedu Ukadike, the national public relations officer of IPMAN, revealed this during an interview on Arise TV while explaining why marketers are not purchasing from the Dangote refinery.
His words:
"Independent marketers are buying at prices lower than what the NNPCL publication stated, so we are very concerned.
"As marketers, we are looking for ways to obtain the product at a cheaper rate. If the NNPCL claims it is purchasing the product at N898 from Dangote, which is far lower than what is displayed on our portal.
"We are caught up in this price issue; what we want is petrol that is cheaper in the market. The NNPCL, through their portal, sells at N895 to us The prices vary at depots based on location.
"We are comfortable with the price from NNPCL and in turn we have adjusted our prices at the pumps to reflect costs associated with transportation and logistics.
"This adjustment allows us to accommodate logistics and haulage prices so we can make a profit."
Sell to us to reduce petrol prices
Ukadike said that independent marketers are ready to buy directly from Dangote and believe it will help reduce petrol prices.
He added:
"We want to buy directly from Dangote Refinery; NNPCL is too small for us to be dependent on them. We control over 80% of filling stations.
"The refinery should sell to us directly, and that will create competition. We have the capacity to purchase 25 million litres daily.
"If this is implemented, fuel queues will disappear. Diesel and aviation fuel are sold to us directly, so why not petrol?
"If Dangote Refinery sells directly to us in bulk, there will be competition, which will help reduce prices, as marketers will be eager to sell quickly to customers. Relying on NNPCL will not solve the problem."
Oil marketers react to new petrol pump price
In related developments, various petroleum marketers associations in Nigeria have raised concerns over petrol pricing from the Dangote refinery.
The NNPC has released petrol prices from the Dangote Refinery, ranging from N950 to N1,019 per litre in the north.
Marketers have urged the NNPC to review these prices, emphasizing that locally refined fuel should not be sold at a higher price than imported fuel.
Proofreading by James, Ojo Adakole, journalist and copy editor at Legit.ng.
PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ find the “Recommended for you” block on the home page and enjoy!
Source: Legit.ng
