The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has announced that the price of Premium Motor Spirit (PMS) produced by the recently reopened Port Harcourt Refinery is ₦75 per litre higher than that offered by the Dangote Refinery.
This information was disclosed by the association’s Public Relations Officer, Dr. Joseph Obele, during the official reopening ceremony of the refinery, which is now functioning at a capacity of 60,000 barrels per day.
Dr. Obele, who previously served as the chairman of the Independent Petroleum Marketers Association of Nigeria (IPMAN) at the Port Harcourt Depot, commended the federal government for revitalizing the old refinery.
However, he raised concerns regarding the price differences between petrol supplied by the Nigerian National Petroleum Company Limited (NNPCL) and the Dangote Refinery.
He noted that while the Dangote Refinery sells petrol to marketers at ₦970 per litre, the price set by NNPCL is ₦1,045, resulting in a disparity of ₦75 per litre.
The individual indicated that the ₦75 price difference represents a considerable burden for businesses, especially in an industry where profitability is closely tied to competitive pricing.
Nonetheless, he characterized the restoration of the refinery as a crucial advancement in diminishing Nigeria’s reliance on imported petroleum products.
Obele disclosed that Mele Kyari, the Group Chief Executive Officer of NNPCL, has committed to addressing the pricing issue and aligning prices to alleviate the effects on both marketers and consumers.
The reopening of the Port Harcourt Refinery is anticipated to boost local production capabilities and lessen dependence on imports, a development that has been positively received by stakeholders throughout the sector.
Nevertheless, apprehensions regarding pricing inconsistencies highlight the necessity for ongoing reforms to stabilize the downstream segment of the petroleum industry.