DAPPMAN slams Dangote over petrol price cuts, warns of market distortion
Story by Martha Gwary
The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) has criticised the Dangote Refinery for its decision to slash petrol prices, warning that the move undermines fair competition in the downstream sector.
The refinery recently announced that, starting Monday, petrol would be sold at N841 per litre in Lagos and the South-West, and at N851 per litre in Abuja, Edo, and Kwara, down from N865 per litre. This adjustment coincides with the launch of its direct fuel distribution scheme.
However, in a statement issued on Saturday, DAPPMAN’s Executive Secretary, Olufemi Adewole, argued that framing Dangote’s repeated price cuts as patriotic gestures ignores their strategic timing and adverse effects on the market.
READ ALSO: NUPENG accuses Dangote of sponsoring division among tanker drivers
According to him, the reductions were deliberately introduced at times when other importers had active cargoes either at sea or in storage, creating price shocks that destabilised competition and placed financial strain on industry participants, including Dangote’s own domestic customers.
Adewole further alleged that the refinery frequently offered lower rates to international buyers while charging higher prices to local offtakers. This, he said, contradicted its public claims of prioritising Nigerian consumers and placed additional burdens on local businesses already struggling with tight margins.
On the ongoing dispute between Dangote and the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG), DAPPMAN expressed concern over the escalating tension.
READ ALSO: NUPENG vs Dangote: Fuel marketers beg Tinubu to avert Monday strike
“While this matter may not directly involve our Association, we are alarmed by its tone and trajectory. Beyond the reputational risks for market participants, the consequences for ordinary Nigerians could be severe, particularly as the downstream sector continues to stabilise post-deregulation,” the statement noted.
DAPPMAN also challenged the narrative that Nigeria’s downstream stability rests solely on the Dangote Refinery. Adewole stressed that the facility currently supplies only 30 to 35 per cent of national demand, with the balance being met by other petroleum marketers under the supervision of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
“While we recognise the Dangote Refinery as a landmark infrastructure project, it is misleading and dismissive to suggest that Nigeria’s downstream sector depends entirely on it. Our members, alongside other stakeholders, have consistently ensured fuel availability nationwide for decades,” Adewole added.
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