Lagos, Nigeria
A fierce petrol pricing battle has broken out between importers and the Dangote Petroleum Refinery, with independent marketers slashing pump prices below the refinery’s rates in a bid to maintain market share.
Investigations reveal some filling stations in Ogun and Lagos states now sell petrol for as low as N847 per litre, undercutting Dangote-affiliated outlets selling at N865-N875. Depot prices show a similar trend, with importers offering N815 per litre compared to Dangote’s N820 and NNPC’s N825.
The development comes amid Aliko Dangote’s urgent appeal to the Federal Government to ban fuel imports, which he claims threatens local refining investments. The billionaire industrialist warned of “toxic, substandard petroleum products being dumped in Nigeria” at prices below production costs.
“Importers are selling Russian-subsidized fuel at 60 cents per litre – cheaper than Saudi Arabia’s domestic prices,” Dangote revealed at a recent industry event. He urged adoption of the “Nigeria First” policy to protect local refiners from what he termed unfair competition.
Independent Petroleum Marketers Association (IPMAN) spokesman Chinedu Ukadike defended the price war as “the beauty of market liberalization,” insisting regulators should maintain open competition while ensuring quality standards.
Energy analysts suggest the price cuts reflect importers’ desperation to remain relevant following Dangote Refinery’s market entry. The Nigerian Midstream and Downstream Petroleum Regulatory Authority faces mounting pressure to balance fair competition with quality control as the fuel pricing battle intensifies.
With Dangote pushing for import restrictions and marketers fighting to retain market share, the Tinubu administration faces tough policy decisions that could reshape Nigeria’s petroleum sector landscape. Consumers currently benefit from lower prices, but industry watchers warn the sustainability of such cuts remains questionable.