HomeNewsDAPPMAN Urges Dangote Refinery to Lower Fuel Prices

DAPPMAN Urges Dangote Refinery to Lower Fuel Prices

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KEY POINTS


  • DAPPMAN wants petroleum products at reasonable prices.

  • Marketers urge Dangote to supply depots nationwide.

  • Dangote rejects subsidy claims, insists on production costs.


The Depot and Petroleum Products Marketers Association of Nigeria has asked the Dangote Refinery to expand fuel supply to more marketers and ensure prices remain affordable. The call underscores growing tension over distribution arrangements as the refinery consolidates its role as Nigeria’s dominant supplier.

DAPPMAN pushes for reasonable prices

Speaking on Channels Television’s The Morning Brief, DAPPMAN spokesperson Ikem Ohia stated that stronger collaboration with Dangote would stabilise supply and help eliminate queues at filling stations nationwide. He dismissed speculation of a rift with the refinery, stressing that marketers are seeking a transparent arrangement that guarantees access at reasonable rates.

“Our interest is simple. We want petroleum products at reasonable prices, supplied consistently so Nigerians no longer queue for fuel,” Ohia said.

He acknowledged the refinery’s central role but argued that questions around pricing and access remain unresolved. For over two decades, DAPPMAN members have built distribution networks with depots in Lagos, Warri, Port Harcourt, and Calabar. Ohia urged Dangote to use these facilities to meet national demand more efficiently.

DAPPMAN wants petroleum products more accessible

Ohia rejected claims that marketers are lobbying for subsidies. “We are businessmen. He is a businessman. We are not asking for subsidies,” he said. He explained that global practice favors bulk supply to off-takers alongside retail sales. Relying only on gantry distribution, he argued, cannot sustain nationwide demand.

DAPPMAN members, many of whom operate hundreds of retail outlets, remain constrained by restricted supply. “Figures don’t lie. Current volumes don’t meet market needs. Bulk deliveries to depots are the way forward,” he said.

Dangote, however, has invested in 4,000 CNG-powered trucks for nationwide distribution. Marketers warn this risks centralizing control of the downstream sector.

The refinery has dismissed claims of a ₦1.5 trillion subsidy, calling them “false and unfounded.” It said sales at its gantry reflect production costs and regulated margins. It also insisted that marketers bear logistics expenses, noting the government abolished fuel subsidies in May 2023.

The debate has drawn interventions from industry voices. Billionaire investor Femi Otedola urged DAPPMAN to adapt by restructuring and considering investment in state-owned refineries, such as Port Harcourt, according to Punch. Meanwhile, Billy Gilly-Harris of the Petroleum Products Retail Outlets Owners Association of Nigeria argued that Dangote’s fleet of trucks is insufficient to meet national demand.

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