The Dangote Refinery on Sunday announced reductions in the price of petrol.
The petrol, which was sold at N990 per litre, has now been reduced by 2% to N970 per litre for marketers lifting the products from its refinery.
Anthony Chiejina, Dangote Group Chief Branding and Communications Officer, announced the price reduction in a statement in Lagos.
He said the move was to appreciate the good people of Nigeria for their unwavering support in making the Refinery a dream come true.
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“Dangote Petroleum Refinery has effected a reduction in the prevailing price of its Premium Motor Spirit (PMS) from N990/litre to N970/litre for the marketers.
“As the year comes to an end, this is our way of appreciating the good people of Nigeria for their unwavering support in making the Refinery a dream come true.
“In addition, this is to thank the government for their support as this will complement the measures put in place to encourage domestic enterprise for our collective well-being.
“While the refinery would not compromise on the quality of its petroleum products, we assure you of best quality products that are environmentally friendly and sustainable.
“We are determined to keep ramping up production to meet and surpass our domestic fuel consumption; thus, dispelling any fear of a shortfall in supply,” Chiejina said.
The Punch reports that recently, both independent and major marketers confirmed that the pump prices of petrol had started reducing in many parts of the country due to the competition that the deregulation of the downstream sector has caused.
The spokesman, Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, said the agreement between IPMNAN and the Dangote refinery is gradually pushing down petrol price.
“By just the announcement that IPMAN and Dangote have met and are ready to transact business, the prices of products have crashed. You would have noticed the drop in prices by N10, N15, or so, and this is due to competition.
“Independent marketers are no longer buying from middlemen. We are going to be buying directly from the producer. So, the competition is setting in. I also want to tell you that before the end of this year, the price will not be as high as what you see now.
“You can see how our meeting with Dangote has significantly removed about N10 from the prices of refined petroleum products. It is a good development. We have not even started. Remember I once told you that prices would drop once IPMAN started lifting from Dangote,” Ukadike stated.
Also confirming the drop in prices, a major oil marketer stated that this was due to the deregulation of the downstream oil sector.
“People are not noticing that prices are going down, primarily because there are no big announcements. Deregulation is in full swing and competition is the order of the day,” the major oil marketer, who spoke in confidence due to lack of authorisation to speak on the matter, stated.
