OIL marketers under the umbrella of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) have raised alarm over the potential job losses that could arise from Dangote Refinery’s proposed plan to begin free nationwide distribution of petrol and diesel.
Speaking today, PETROAN President Billy Gillis-Harry appealed to the Federal Government and industry regulators, particularly the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), to step in and interpret the Petroleum Industry Act (PIA) correctly to safeguard the livelihoods of tanker drivers, depot operators, and retail outlet owners.
“If one company as massive as our brother’s (Dangote) is allowed to carry out this operation unchecked, it could push us out of business entirely,” Gillis-Harry warned.
The concern follows the June 15 announcement by the $20 billion Dangote Refinery, which revealed plans to distribute fuel directly to retailers and large-scale users free of charge beginning August 15, 2025.
The refinery, located in the Ibeju-Lekki area of Lagos State, has acquired 4,000 Compressed Natural Gas (CNG)-powered tankers for the initiative and is also offering a credit facility to buyers of a minimum of 500,000 litres.
Marketers argue that the move threatens existing logistics businesses and supply chains, especially for independent depot owners and transport operators who rely on distribution contracts with corporate clients.
“We are struggling already. If this starts in August, we will be out of work. It affects not just marketers, but thousands of transporters and retail operators across the country,” Gillis-Harry added.
He criticized the refinery for not consulting with industry stakeholders before making such a major announcement, and stressed that a monopoly in the fuel distribution sector would be detrimental to fair market competition.
“We don’t want a single strong man in the industry; we want many strong players. The industry needs balance, not domination,” he said.
Gillis-Harry also called for inclusive dialogue among key players and urged strict enforcement of licensing guidelines as laid out in the PIA.
According to him, while Dangote Refinery has the right to refine petroleum products, other stakeholders must be allowed to operate freely within their licensed roles — whether in logistics, wholesale, or retail.
“Competition should benefit everyone — marketers, retailers, and ultimately Nigerian consumers. We all have a part to play, and no one entity should overshadow the rest,” he concluded.
The Dangote Refinery, which was commissioned in May 2023, remains Africa’s largest and is seen as a transformative force in Nigeria’s downstream petroleum sector.
However, its expanding footprint is now prompting calls for tighter regulatory oversight to maintain industry balance.