Independent fuel marketers lament depot owners capitalise on supply shortage to hike gantry price
By Jeph Ajobaju, Chief Copy Editor
Independent fuel marketers have confirmed that Dangote Refinery has set a target to release 600 million litres to them monthly to help stabilise supply and tame the current surge in pump price.
The new framework is being finalised with 20 marketers, according to Independent Petroleum Marketers Association of Nigeria (IPMAN) National Public Relations Officer, Chinedu Ukadike, who confirmed that the refinery recently held a strategic meeting with key players in the downstream oil sector.
Ukadife disclosed that participants at the meeting included representatives of A.Y.M. Shafa, A. A Rano, NNPCL Retail, Salbas, and other major distributors who focused on how to streamline product allocation and reduce the layers of middlemen contributing to price distortion.
“At the meeting, Dangote announced plans to sell to only 20 selected marketers who will serve as primary distributors to other dealers. Each of them will lift a minimum of two million litres, which will translate to about 600 million litres every month,” Ukadike said.
He explained that the move is part of the refinery’s strategy to stabilise supply, eliminate speculation, and restore efficiency in product delivery countrywide.
“We believe that once this structure takes effect, petrol availability will improve significantly and retail prices will start to ease.”
IPMAN National Vice President Hammed Fashola also confirmed that “20 marketers have been shortlisted, although the final list has not yet been made public.”
Filling stations continue to raise fuel pump price amid supply shortage.
Some sin Abuja, including Optima Energy, increased their prices from N845 to N955 per litre, A.A. Rano (N945), and A.Y.M. Shafa (N940).
Marketers attributed the hikes to supply bottlenecks, depot pricing inconsistencies, and delays in product loading from Dangote Refinery.
These challenges have led to a hike in the pump price of fuel to N1,000 per litre in some parts of the country.
IPMAN President Abubakar Shettima said depot owners increased their prices when they discovered that Dangote refinery stopped fuel loading for some days.
His words: “These DAPPMAN people are the only ones who are selling the product now. But, probably, Dangote will start tomorrow. So, if Dangote starts selling tomorrow, the price will come down. Dangote has not been selling to marketers since all these days.
“You may see their trucks on the road, but the trucks are not enough; marketers still have to support by going there to load. And immediately, these DAPPMAN people saw that Dangote was not loading, they increased their ex-depot prices.
“That’s just what is happening. But I know these things are temporary, very soon they will wipe away.”
However, Dangote Refinery has announced a N50 reduction in the ex-depot price of Automotive Gas Oil, popularly known as diesel.
A notice issued by Dangote Group Commercial Operations Department disclosed that the gantry price of diesel has been reduced from N960 per litre to N910 effective October 15.
Read also:
Dangote Refinery quietly raises fuel price to N950 per litre, triggered by supply shortage
