Dangote Refinery faces backlash as partners sell fuel above agreed rates despite receiving supply at N820 with no logistics cost. Nigerians demand answers

Dangote Refinery fuel price controversy has stirred nationwide frustration, as major marketers continue to sell petrol at inflated rates — despite receiving logistics-free supply from the refinery at N820 per litre.

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Investigations revealed that major partners including Heyden, AP, MRS and Ardova have refused to adjust their pump prices, still retailing petrol at N865 or higher in several locations.

A few exceptions emerged in Lagos, where some MRS outlets reduced prices to N841 per litre.

Long queues formed at the MRS station in Alapere, while others along the same corridor maintained the higher N865 rate.

Conversely, at the MRS outlet in Olowotedo, Ogun State, prices soared to N875 per litre.

Under the new Dangote Refinery pricing model, petrol was meant to retail at N841 per litre in Lagos and other South-Western states, and N851 in Abuja, Rivers, Delta, Edo and Kwara.

This rollout was backed by over 1,000 compressed natural gas (CNG) trucks aimed at eliminating logistics costs and reducing pump prices.

Despite these efforts, nearly three weeks later, most stations have refused to reflect the intended reductions.

The only apparent change is the sudden influx of Dangote-branded CNG trucks spotted along key distribution routes such as the Lagos–Ibadan Expressway.

Some marketers argue they are yet to exhaust old fuel stocks purchased at higher rates. However, a senior source at the refinery told The PUNCH that many have already received new supply at N820 per litre, with free distribution costs covered — yet still refuse to pass the savings onto consumers.

“It’s unfair to keep selling at old rates,” the source said. “They’re receiving the product cheaper and still pricing it high. That’s not right.”

According to the Dangote official, the refinery cannot mandate pricing, as current market regulations prevent direct control over retail prices.

“We can’t compel them. It’s on recommendation, not enforcement,” the source added.

While public sentiment grows increasingly critical, not all industry stakeholders are aligned with Dangote’s pricing strategy.

The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) has pushed back, calling the price cuts destabilising and unfair to smaller operators.

DAPPMAN’s Executive Secretary, Olufemi Adewole, accused Dangote of introducing “patriotic” price drops at commercially inconvenient times, often when rival importers had fuel shipments en route, thereby creating damaging price shocks in the market.

Since beginning petrol production last year, the Dangote Refinery has reshaped Nigeria’s fuel market, assuming the role once held by the Nigerian National Petroleum Company Limited (NNPC).

Yet, NNPC itself has confirmed no change in pricing, with pump rates in Lagos still fixed at N865.

Despite previous promises by independent marketers to review prices once Dangote deliveries began, no significant changes have occurred.