Oil marketers have assured Nigerians that a reduction in the prices of Premium Motor Spirit (PMS), commonly known as petrol, is imminent once they begin direct lifting of products from the Dangote Refinery.
This statement follows a recent surge in petrol prices, which escalated after the Nigerian National Petroleum Company Limited (NNPCL) commenced product lifting from the refinery. Current prices have soared to ₦950 per litre in Lagos and its surrounding areas, with consumers in northern states facing costs as high as ₦1,000 per litre.
The spokesperson for the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, addressed the issue during an appearance on Channels Television’s, on Tuesday.
He indicated that discussions are ongoing with Dangote Refinery regarding direct supply agreements, which could help stabilize and potentially lower prices for consumers.
He said, “It is just very simple. It shows that the libralisation of the market is on course, because there is no way Dangote refinery will be producing petrol in Nigeria without considering IPMAN as one of its strategic stakeholders.
“We were even thinking that one of his first points of call was to discuss with IPMAN and not NNPCL, because we can distribute every single drop of products produced by Dangote refinery because we are situated in every nook and cranny of this country. We also possess about 85 per cent of filling stations in Nigeria.
“So, it is pertinent that Dangote should discuss this with independent marketers, and I want you to know that immediately after we discuss and commence direct lifting of product from Dangote, the issue of pricing and differential in pricing will be gone. What we are seeing here is price disparity.
“But if IPMAN becomes independent, prices will drop. Because it will give us the opportunity for possible competition because we will no longer be depending on another source to get products.
“Dangote also opened up to IPMAN when he started producing AGO, diesel. We entered the market and started buying it, and prices of AGO came down. it was around ₦1600, now it is between ₦1000 to ₦1100.
“This is a deregulated economy, and every stakeholder and player should be given equal opportunity.”