Oil marketers to halt operations from 8 September over job fears, alleged monopoly

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Oil marketers to halt operations from 8 September over job fears, alleged monopoly

Oil marketers to halt operations from 8 September over job fears, alleged monopoly

Story by Martha Gwary

The Independent Petroleum Marketers Association of Nigeria (IPMAN), Western Zone, has announced plans to suspend all operations from Monday, 8 September, citing alleged monopoly attempts by Dangote Refinery and MRS Energy Ltd in the downstream petroleum sector.

The decision was reached during a zonal council meeting held on Saturday, which brought together council members, officers, depot chairmen, and secretaries from across the South West, according to the News Agency of Nigeria (NAN).

The shutdown is also being staged in solidarity with the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) over concerns surrounding job security for petroleum tanker drivers.

Speaking in Ibadan, the Western Zone Chairman of IPMAN, Chief Oyewole Akanni, stated that the entry of Dangote Refinery and MRS Energy into petrol distribution threatens the survival of independent marketers’ businesses.

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He said: “The Independent Petroleum Marketers Association of Nigeria (IPMAN), Western Zone, will halt operations from Monday, 8 September, to protest what we see as moves to monopolise the downstream sector. The resolution was adopted at a zonal council meeting attended by council members, officers, depot chairmen, and secretaries across the five South West depots.”

Akanni further explained that the proposed involvement of Dangote Refinery and Petrochemical Company, alongside MRS Energy Ltd, in petrol distribution poses a significant risk to IPMAN members’ businesses.

He revealed that IPMAN operates more than 4,000 trucks, warning that numerous drivers and motor boys face job losses and that thousands of members’ investments could be endangered.

Akanni argued that the development contravenes the Petroleum Industry Act (PIA), which prohibits companies that refine crude oil from directly distributing petroleum products, describing the move as a clear breach of the law.

He stressed that the strike is a collective resolution, with all council members, officers, depot chairmen, and secretaries instructed to comply, ensuring that no filling stations will open from Monday.

READ ALSO: Marketers raise concerns over Dangote Refinery’s direct supply plan

In addition to this, Dangote Petroleum Refinery is set to launch a nationwide fuel distribution scheme to supply petrol, diesel, and aviation fuel directly to filling stations, industrial plants, and large-scale consumers, with the aim of eliminating middlemen and easing logistics challenges.

The refinery received 4,000 brand-new Compressed Natural Gas (CNG) trucks in July 2025, with the rollout, initially slated for 15 August, expected to commence shortly. The initiative is part of the company’s ₦720 billion investment programme.

The scheme is projected to absorb over ₦1.07 trillion annually in distribution costs, potentially saving Nigerians more than ₦1.7 trillion each year on energy expenses. It is also expected to benefit over 42 million micro, small, and medium enterprises (MSMEs), revive dormant filling stations, and generate over 15,000 jobs within the logistics value chain.

With this new fleet, Dangote Refinery aims to meet Nigeria’s daily demand of 65 million litres of refined petroleum products, including 45 million litres of Premium Motor Spirit (PMS), 15 million litres of diesel, and 5 million litres of aviation fuel.

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