The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has voiced its frustration over the lack of transparency from Dangote Refinery regarding the exact pricing of Premium Motor Spirit (PMS).
According to PETROAN, the refinery's reluctance to reveal the specific price at which it sells petrol has sparked concerns among key stakeholders within the petroleum industry. There was initial optimism that the commencement of Dangote Refinery’s petrol sales would significantly contribute to lowering the soaring fuel prices in Nigeria. However, these expectations have yet to be met, leading to disappointment among many within the sector.
Since the beginning of its operations, Dangote Refinery has been selling petrol to the Nigerian National Petroleum Company Limited (NNPCL), which in turn acts as a middleman, distributing the product to various retailers. This lack of direct pricing information from Dangote has left many stakeholders in the dark about the refinery’s role in the broader fuel pricing mechanism.
During a recent interview on Channels Television's breakfast show, The Morning Brief, PETROAN President Billy Gillis-Harris highlighted the growing concerns among petroleum marketers and retail outlet owners about the opaque nature of Dangote Refinery’s pricing strategy. Gillis-Harris expressed that clearer communication between Dangote Refinery and the downstream sector would be beneficial for all involved parties.
He remarked, “As I speak to you this morning, I still don’t know what the Dangote price is all about. At this stage of Dangote’s operations in Nigeria, retail outlet owners like us should be able to know the exact price Dangote is willing to sell to us. However, that information has been kept shrouded in secrecy until now.”
Gillis-Harris also pointed out that while NNPC had provided a pricing template, it did not specify the exact input price from Dangote Refinery, leaving retailers uncertain about the real cost dynamics. “NNPC came out and gave us a price template, but it still did not tell us the exact price input from Dangote,” he noted.
He called on Dangote Refinery to engage more actively with all relevant stakeholders, including retailers, marketers, and consumers. He emphasized that even though Dangote Refinery is a private enterprise, the business operates within a market that affects millions of Nigerians, and greater transparency would benefit all parties involved.
“There should be some level of business transparency, even though it is a private business. We are proud to have such a facility in Nigeria, but we need to start seeing the works,” Gillis-Harris concluded.