Dangote refinery halts subsidised fuel Sale allegations of widespread Diversion
The Dangote Petroleum Refinery has suspended its discounted pricing scheme for strategic partners, following reports of widespread abuse involving the resale of Authority to Collect (ATC) rights.
The scheme, which aimed to ensure affordable access to petroleum products across Nigeria, was halted after the refinery received multiple complaints that some partners were selling their ATC rights to marketers outside the approved network. This allowed the marketers to lift products below the official ex-gantry price.
“In our drive to ensure the distribution and retail sale of DPRP refined petroleum products across your service stations nationwide, DPRP commenced the strategic partnership scheme with the sole aim of ensuring consumers nationwide have access to affordable and clean petroleum products,” the refinery stated in a letter signed by Fatima Dangote, Group Executive Director, Commercial Operations.
“Unfortunately, over the last few months, DPRP has been receiving unprecedented complaints of Strategic Partners (Partners) selling their ATCS at the refinery (Tarmac) below the prevailing PMS gantry product price.”
The refinery noted that despite repeated engagements, the problem had become a “grave concern” that threatened the sustainability of its gantry operations. As a result, it said the discounted pricing scheme was suspended effective July 13.
“Any Partner awaiting PRN for payment made at Partner price before the effective date will receive the same,” the letter added. “Recommended pump prices across the retail stations should still be adhered to.”
The refinery assured that the suspension is temporary and does not undermine its commitment to the strategic partnership model, while also promising new incentive schemes “to be communicated soonest.”
