Despite obtaining petrol at N820 per litre with no logistics charges, Dangote Refinery partners have refused to cut pump pricing at their filling stations.
According to Sunday’s findings, Heyden, AP, MRS, and other key partners continue to offer petrol for N865 per litre.
Except for a few MRS stores in Lagos, who raised their pricing to N841 a litre, other stations maintained their old rates. Long lines formed at the MRS station in Alapere as vehicles hurried to buy petrol for N841, while others on the same axis sold for N865 per litre.
However, at the MRS station in Olowotedo, located along Ogun State’s Mowe-Ibafo axis, petrol was sold for as much as N875 a litre. Heyden offered N863, while Ardova and others kept prices between N865 and N870 per litre.
Recall that marketers like as Conoil, Eterna, Golden Super, Nepal Energies, Kifayat Global Energy, and Riquest and Gas collaborated with the Dangote Refinery on a logistics-free fuel distribution strategy.
The refinery had previously promised that petrol prices would fall beginning Monday, September 15, following the deployment of more than 1,000 compressed natural gas-powered trucks to facilitate direct gasoline delivery around the country. According to Dangote, the plan was intended to reduce logistics costs and the ex-depot price to N820 per litre, resulting in lower pump prices across the country.
Under the new price regime, motorists in Lagos and other South-Western states were supposed to pay N841 per litre, while those in Abuja, Rivers, Delta, Edo, and Kwara were scheduled to pay N851 per litre.
The change was intended to take effect immediately in select states, with a statewide deployment to follow when more CNG trucks were deployed. However, nearly three weeks later, the predicted relief has not materialised, with most fuelling stations still selling at old rates.
Our correspondent spotted many Dangote CNG vehicles on the Lagos-Ibadan Motorway, confirming the start of the direct, logistics-free fuel distribution network.
Some marketers stated that they had not decreased pricing because they still had old goods purchased at a higher cost, stating that adjustments would be made once fresh supply arrived.
However, a source at the Dangote Refinery told the writer that many of the marketers had already received new supplies and had no reason to keep rates above N841 or N851 per litre, depending on their location.
“It’s unjust to continue selling at the existing rates. They are receiving the product at N820 per litre with free logistics, but they are selling it at a higher price, which is not right,” said the source, who requested anonymity.
The source went on to say that the refinery couldn’t enforce pump prices.
“We can’t compel them like previously. It is solely on recommendation, as marketers insist that the legislation does not allow us to regulate pump pricing, and the NMDPRA appears to concur,” the official stated.
“Those who submitted their station lists have already received supplies. We would have covered more ground if it hadn’t been for the PENGASSAN problem, but we anticipate to cover more ground starting this week. Still, marketers should recognise that Nigerians are keeping an eye out for new rates, which is why there are waits at the MRS station in Alapere,” the source noted.
Meanwhile, not all stakeholders have embraced Dangote’s regular pricing changes. The Depot and Petroleum Products Marketers Association of Nigeria recently challenged the refinery’s price approach, claiming that the timing of its decreases regularly undermines market stability.
Olufemi Adewole, DAPPMAN’s Executive Secretary, claimed that framing the price cuts as patriotic gestures missed their deeper consequences.
“Claims that the Dangote Refinery’s frequent fuel price reductions are patriotic ignore the timing and market impact. These cuts are frequently implemented when other importers have active cargoes at sea or in tanks, resulting in price shocks that distort competition and place financial hardship on market participants, including the refinery’s own domestic consumers,” Adewole explained.
Since starting petrol production over a year ago, the Dangote Refinery has virtually taken over as the market’s price trendsetter, ousting the Nigerian National Petroleum Company Limited from its customary role.
Andy Odeh, NNPC spokesperson, stated that the business has not changed its pricing. “Our current pump price in Lagos is N865. We haven’t made any adjustments,” he explained.
Independent marketers had earlier promised to modify pump rates after they received supplies from Dangote, but as of Sunday, no changes had been made.
