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| PHOTO CAPTION A man rides his motorbike with jerrycans past a fuel station in Lagos on September 4, 2024. (Photo by Fawaz Oyedeji/AFP) |
• MRS, Ardova, Heyden to sell petrol at ₦970/litre
• Dangote Refinery adjusts ex-depot price to ₦950 per litre
• Brent Crude surges by 15%, Nigerian crude commands premium
By Seun Ibukun-Oni, Tayo Busayo
Abuja
DAILY COURIER – Dangote Refinery has announced that its retail partners, including MRS, Ardova, and Heyden, will sell petrol at a uniform price of ₦970 per litre across Nigeria. The assurance comes amidst the refinery's recent adjustment of its ex-depot price due to surging global crude oil prices.
In a statement issued on Sunday, Anthony Chiejina, spokesman for Dangote Refinery, explained that the company increased its ex-depot price by 5%, moving from ₦899.50 to ₦950 per litre. The decision, he noted, was driven by a 15% rise in global crude oil prices, with Brent Crude climbing from $70 to $82 within days. Additionally, Nigerian crude now commands a premium of about $3 per barrel in international markets.
“Despite this adjustment, Dangote Refinery has absorbed significant logistics costs to ensure uniform pricing nationwide,” Chiejina said. He added that the refinery’s partners will maintain the pump price at ₦970 per litre across the 36 states and the Federal Capital Territory (FCT).
Minimizing Cost Impact on Consumers
Chiejina disclosed that Dangote Refinery has mitigated 50% of the cost increases associated with international crude prices. “If the refinery passed on the entire increase in crude prices, the pump price would have ranged between ₦1,150 and ₦1,200 per litre in some locations,” he revealed.
To ensure transparency, the company announced plans to publish its ex-depot price, ex-vessel price, and pump price weekly. This measure aims to prevent exploitation and maintain consumer trust amidst rising fuel costs.
Uniform Pricing Strategy
The refinery reiterated its commitment to equitable distribution of petroleum products. By maintaining the Single-Point Mooring (SPM) ex-vessel price at ₦895 per litre, Dangote Refinery has absorbed the increased logistics costs, ensuring Nigerians have access to petrol at a consistent price across all regions.
The announcement comes against the backdrop of rising global crude oil prices and Nigeria's dependency on imports for refined petroleum products. The Dangote Refinery, which recently commenced operations, is Africa's largest refinery and is expected to play a pivotal role in stabilizing the country's downstream petroleum sector.
As petrol prices remain a sensitive issue in Nigeria, the refinery's pricing strategy and transparency measures are seen as critical steps in addressing consumer concerns and sustaining the country’s fuel supply chain.
