Dangote Refinery Responds to Fuel Price Allegations, Defends Quality, Domestic Industry




The Dangote Refinery has responded firmly to recent claims by the Independent Petroleum Marketers Association of Nigeria (IPMAN), Petroleum Retail Outlet Owners Association of Nigeria (PETROAN), and other associations, stating that they could import Premium Motor Spirit (PMS) at a lower price than the refinery’s current rates. In a statement released by Anthony Chiejina, Group Chief Branding and Communications Officer, Dangote Refinery described the allegations as “misinformation,” stressing the importance of quality and competitive pricing in their PMS offering.

The refinery clarified that its pricing structure is based on international benchmarks, ensuring its rates are competitive compared to imports. 

Chiejina expressed concerns that any party claiming to import PMS cheaper than Dangote’s price may be working with foreign traders to introduce substandard fuel into Nigeria’s market, a move he warned could harm both the health of Nigerians and the lifespan of their vehicles.

“Both IPMAN and PETROAN allege they can bring in PMS at prices below ours. 

“If they can land PMS at such prices, then they are likely dealing in substandard products,” the statement read. 

“This is not only a public health issue but a threat to the longevity of vehicles and machinery across Nigeria,” the firm added.

Quality Control and Regulatory Challenges

Chiejina also highlighted regulatory challenges, alleging that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) lacks the laboratory facilities necessary to test imported products, increasing the risk of substandard fuel entering the Nigerian market.

Following deregulation, the Nigerian National Petroleum Corporation (NNPC) initially set a benchmark for PMS prices, selling at N971 per litre for ship sales and N990 per litre for truck sales. 

Dangote Refinery has since reduced the ship-sale price to N960 per litre while maintaining the truck-sale price at N990 per litre. 

Despite the recent exchange rate volatility, Chiejina noted that the refinery had commenced sales “in good faith” to ensure the availability of domestically refined fuel.

Concerns Over Foreign Competition and Market Dumping

The Dangote Group expressed concerns about foreign companies allegedly renting depot facilities close to the Dangote Refinery with the intent to blend and offload substandard fuel to Nigerian consumers. 

According to the statement, this would undercut Dangote’s prices and challenge the viability of its high-quality, locally refined PMS, thereby undermining Nigeria's domestic refining sector.

“In major economies like the US and EU, protective tariffs have been used to support domestic industries—like electric vehicles and microchips—to create jobs and bolster economic growth,” the statement argued. 

Dangote urged Nigeria to adopt similar protections to foster domestic refining and reduce dependence on imported fuel.

Public Call to Action

Finally, Chiejina called on the Nigerian public to disregard the claims made by certain “agents” whose goal, he argued, is to promote foreign dependency at the expense of local jobs and economic development. 

Dangote emphasized its commitment to offering Nigerians affordable, high-quality, domestically refined PMS and reiterated its stance against what it termed “deliberate disinformation” aimed at derailing progress in Nigeria’s refining sector.

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