The Nigerian National Petroleum Corporation Limited (NNPCL) has begun lifting Premium Motor Spirit (PMS), commonly called petrol, from the Dangote Refinery in Lekki, Lagos, as of today, Sunday, September 15, 2024.
According to POLITICS NIGERIA, around 300 trucks are on standby at the refinery, ready to distribute the fuel. This has generated excitement among Nigerians, who are hopeful for lower petrol prices at gas stations.
Industry experts have revealed that the Dangote refinery is supplying petrol to the NNPCL at a rate of N766 per litre. The reduced price is due to an agreement where the refinery receives crude oil from NNPC, paid for in naira.
A major fuel marketer, speaking anonymously, said, “This deal between NNPC and Dangote is similar to the old DSDP (Direct Sale of crude oil and Direct Purchase of petroleum products) arrangement that NNPC had with foreign refineries. It’s having a positive impact on the petrol price, bringing it down to about N766 per litre. However, I can’t say what price NNPC will set for marketers.”
An aide to President Bola Tinubu confirmed the N766 per litre price, though marketers noted that the final retail price would include transportation, levies, and other costs.
Chinedu Okoronkwo, a senior official at the Independent Petroleum Marketers Association of Nigeria (IPMAN), suggested that petrol could sell for N790 per litre in Lagos and as high as N820 per litre in the northern regions.
Another IPMAN official, Gillis-Harry, praised the price reduction but emphasized the need for better collaboration between Dangote and marketers, who control over 6,000 retail stations.
Currently, petrol is sold at N855 per litre at NNPCL stations in Lagos, with other major marketers charging between N920 and N1,200 per litre.
