Petroleum marketers have raised concerns about the upcoming petrol prices from the Dangote Petrochemical Refinery. Findwhosabi News reports that the refinery’s products are expected to enter the Nigerian market within the next two to three weeks. However, marketers fear that the prices may be higher than anticipated due to the refinery’s reliance on imported crude oil.
The 650,000-capacity refinery has been importing crude oil from the United States and other countries at a higher cost, as local feedstock from international oil companies (IOCs) is unavailable. This has resulted in higher prices for diesel and aviation fuel, making them less attractive to local marketers. Hammed Fashola, National Vice President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), highlighted that the lack of local crude supply poses a significant challenge for the $20 billion refinery and could lead to increased petrol prices.
Fashola urged the Nigerian government to assist Dangote in securing local crude oil supplies to mitigate the issue. He emphasized that with adequate local supply, petrol prices could be more reasonable, benefiting Nigerians. Additionally, he cautioned Dangote against monopolizing the market and urged the refinery to sell petrol at fair prices to ensure affordability for the public.