Deborah Akinyosoye
Dangote Petroleum Refinery and Petrochemicals has, again, announced a reduction in its ex-depot price of Premium Motor Spirit (PMS), also known as petrol, marking its second price cut this month.
The latest reduction slashes N65 off the previous price of N890, bringing it down to N825 per litre at the gantry. This follows an earlier N60 price cut on February 1.
With this adjustment, the ex-depot price drops from N950 per litre in January to N825 per litre, representing a total reduction of N125 per litre within 26 days.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) welcomed the price reduction, describing it as a positive step for consumers and a victory for deregulation. But it also raised concerns about the financial strain it could place on marketers who had purchased fuel at higher prices before the adjustment.
According to a statement by the Refinery, the price reduction will also ensure that Nigerians pay between N860 and N865 per litre for petrol at the pump in Lagos.
The price adjustment, which takes effect today (February 27) is intended to provide essential relief to Nigerians. Earlier report shows that the refinery has 500 million litres of PMS in stock.
The statement reads: “This strategic price adjustment is designed to provide essential relief to Nigerians in celebration of Ramadan, while also supporting President Bola Tinubu’s economic recovery policy by alleviating the financial burden on Nigerians.”
Vice President of Dangote Industries Limited, Edwin Devakumar, during an earlier visit by a team from Zambia, said the refinery “wants to provide some flexibility” to process most of the African crudes and some of the Middle Eastern crudes.
National Vice President of IPMAN, Hammed Fashola said that “while the price reduction is a positive development”, signalling a win for deregulation, “it poses challenges” for marketers.
Dangote reiterated that its high-quality products, which have become a favourite in both domestic and international markets, would remain available nationwide, particularly through its key partners – MRS Holdings, AP (Ardova Petroleum) and Heyden – at market-friendly rates.
It added: “Nigerians will be able to purchase high-quality Dangote petrol at the following prices across our partners’ retail outlets. For MRS stations, it will be sold for N860 per litre in Lagos, N870 in the South-West, N880 in the North and N890 in the South South and South East regions.
“The same product will also be available at the following prices in AP (Ardova Petroleum) and Heyden stations: N865 per litre in Lagos, N875 per litre in the South-West, N885 per litre in the North and N895 per litre in the South-South and South-East.”
Dangote assured the public of a consistent supply of petroleum products, with sufficient reserves to meet domestic demand and a surplus for export, thereby boosting the country’s foreign exchange earnings.