‘Any Imported Petrol Below Our Price is Substandard’ – Dangote Refinery
In response to recent claims, Dangote Refinery has refuted accusations that its Premium Motor Spirit (PMS) prices are uncompetitive, asserting that the only way competitors can offer lower prices is by compromising on fuel quality.
On November 1, the Independent Petroleum Marketers Association of Nigeria (IPMAN) claimed that petrol from Dangote Refinery is more expensive than imported ones.
Following these claims by IPMAN and Petroleum Retail Outlets Owners Association of Nigeria (PETROAN) which also suggested they could import fuel at lower costs, Dangote responded in a statement on November 3, emphasising that “if anyone claims they can land PMS at a price cheaper than what we are selling, then they are importing substandard products.”
Dangote’s Chief Branding and Communications Officer, Anthony Chiejina, expressed concern that low-cost imports could lead to an influx of low-quality fuel, which could harm consumers’ health and damage vehicles.
“Unfortunately, the regulator (NMDPRA) does not even have laboratory facilities which can be used to detect substandard products when imported into the country,” he said.
Also Read: Dangote refinery playing ‘hide and seek’ with fuel price – Nigerians react
Since Nigeria’s shift to fuel deregulation, the Nigerian National Petroleum Corporation (NNPC) set its benchmark at N971 per litre for ship sales and N990 for truck sales, serving as a reference for Dangote’s pricing.
However, in what Dangote claimed was a move to balance cost with consumer accessibility, the mega-refinery said it lowered its price to N960 for ship sales while maintaining N990 for truck sales. Chiejina noted that “in good faith, and in the interest of the country, we commenced sales at these prices without clarity on the exchange rate that we will use to pay for the crude purchased.”
One particular concern raised in the statement is the operation of a depot facility near Dangote’s premises, allegedly intended for blending lower-grade products to compete with the refinery’s high-quality output.
Chiejina highlighted that “an international trading company has recently hired a depot facility next to the Dangote Refinery, with the objective of using it to blend substandard products.” According to Dangote, this practice not only jeopardizes the Nigerian economy but also threatens the growth of Nigeria’s budding domestic refining industry.
The refinery appealed to Nigerians to ignore what it called “deliberate disinformation being circulated by agents of people who prefer for us to continue to export jobs and import poverty.”
