A significant drop in petrol prices is expected in Nigeria following a confirmed deal between the Federal Government and Dangote Petroleum Refinery.
In early September, the Technical Sub-Committee on Domestic Sales of Crude Oil in Local Currency announced that the Nigerian National Petroleum Company Limited (NNPC) will supply 385,000 barrels of crude oil per day to Dangote Refinery, priced in naira, starting October 1, 2024.
This initiative aims to ease pressure on the naira, eliminate unnecessary transaction costs, and improve the availability of petroleum products nationwide.
The Dangote Refinery will supply equivalent volumes of refined diesel and petrol to the domestic market, also priced in naira. Diesel will be sold to interested buyers, while petrol will be sold exclusively to NNPC, which will then distribute it to various marketers.
The technical committee, led by Zacch Adedeji, has been collaborating closely with NNPC and Dangote Refinery to finalize implementation details. This committee will evolve into an implementation and monitoring task force, based in Lagos for the next three to six months.
“I can confirm that Chairman Zacch Adedeji is working tirelessly to ensure the agreement is executed as planned for the benefit of Nigerians,” stated Mr. Dare Adekanmbi, Special Adviser on Media to the FIRS Chairman, Zacch Adedeji.
Currently, Nigerians are purchasing fuel at prices ranging from N950 to N1,100 per litre, following NNPC’s announcement of new prices after the launch of Dangote Petrol on September 15, 2024. However, Dangote Refinery has disputed the N898 per litre price announced by NNPC.
Aliko Dangote, President of Dangote Group, asserted that his petrol is cheaper than imported alternatives, though he did not disclose the price.
The House of Representatives has since mandated Dangote Refinery to disclose its petrol price, yet this information remains unavailable
