“Petrol Price War”: More Marketers Dump NNPC Over Pricing as Dangote Intensifies Competition
- Findings have shown that several marketers are rapidly abandoning the Nigerian National Petroleum Company Limited (NNPC) due to pricing
- The marketers are reportedly rebranding their fillings from the NNPC franchise to independent marketers
- The development came after the Dangote Refinery crashed petrol ex-depot prices from N950 to N890 per litre
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Several oil marketers are changing their brand name from the Nigerian National Petroleum Company Limited (NNPC) at their fueling stations following the crash in petrol prices by the Dangote Refinery.
The refinery’s actions have sparked an intense price war between the state oil firm, which operates the Port Harcourt and Warri refineries, and the mega refinery owned by Africa’s richest man, Aliko Dangote.
Source: UGC
Petrol marketers abandon NNPC
Findings show that more marketers are considering moving away from the NNPC franchise as they seek to maximise profit following the deregulation of the petroleum downstream sector.
According to reports, independent marketers seek to achieve adequate product loading at a cheaper cost from the Lekki-based refinery.
Several filling stations formerly registered with the NNPC are now renaming and rebranding their outlets under private ownerships affiliated with independent marketers.
Currently, petrol from the Dangote Refinery is lower than the landing cost of imported fuel, which is a lure for many marketers who are seeking to maximise profits.
Dangote Refinery begins price war
The mega Dangote refinery sparked the price war on Saturday, February 1, 2025, when it lowered petrol prices from N950 to N890 per litre, citing the fall in global crude oil prices.
So far, the NNPC has yet to announce any change in price despite operating two functional refineries.
According to a Punch report, marketers explained that the rebranding of filling stations is a ploy by marketers to load cheaper products from the Dangote Refinery.
The Punch quotes the national publicity secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, as saying that the marketers adopted the approach because NNPC no longer imports petroleum products exclusively.
A previous Legit.ng report said that the national oil company led marketers to import about N5.5 trillion worth of fuel between October 2024 and January 2025.
The imports happened despite Nigeria’s increased refining capacity with three functional refineries.
NNPC continues petrol imports
The report revealed that the NNPC and the oil marketers imported about 633 million litres of petrol and diesel in January 2025.
This comes as the landing cost of petroleum products crashed, luring the NNPC and the marketers into importing products.
Experts say the continued reliance on imported fuel affects the local currency as more forex is required for the imports.
Data from the Major Energy Marketers Association of Nigeria (MEMAN) disclosed that the landing cost of petrol hit N910.14 per litre at the ASPM and N910.50 at the NPSC depot.
The MEMAN document shows that the 30-day average petrol cost rose to N939.03 per litre.
Marketers mandate filling stations to change prices
Legit.ng earlier reported that the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) had asked marketers to reduce petrol prices following the reduction in the ex-depot costs by Dangote Refinery.
Legit.ng previously reported that the 650.000 bpd-capacity refinery crashed the ex-depot petrol prices by N60 per litre, from N950 to N890.
However, the Lekki-based refinery said the price crash was due to developments in the global oil market. It is committed to transparency and fairness to all stakeholders.
Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng
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Source: Legit.ng
