IPMAN: Dangote refinery’s petrol price higher than other sources

The Independent Petroleum Marketers Association of Nigeria (IPMAN) says it is more expensive to buy premium motor spirit (PMS), also known as petrol, from the Dangote Petroleum Refinery than other places.

Yakubu Suleiman, national assistant secretary of IPMAN, spoke on Arise Television’s Morning Show programme on Friday.

Suleiman said members go for more affordable options at other depots across Nigeria than the high logistical costs associated with buying petrol from the Dangote refinery.

“If Dangote has a product selling for N1,000, let’s assume, and there’s another place selling for N900, we can’t just say, for the sake of our relationship with Dangote, that we’ll instruct our members to buy there. We must go where the price is lower, where we’ll get profit,” he said.

“As of last week, Dangote’s price was higher than other places.

“Crude prices are coming down internationally, but Dangote’s rate was N995 per litre, and you have to arrange for your own cargo and loading. With additional costs for transport and depot fees, how can we sell it at the final outlet?

“We have to pity Nigerians. IPMAN is trying its best to support the country, especially at this difficult time when people are suffering. We want to source cheaper products to sell at affordable prices for the people.”

‘DANGOTE OUGHT TO CALL FOR A STAKEHOLDERS MEETING’

Suleiman also accused Aliko Dangote, founder of Dangote refinery, of not prioritising key stakeholders in its fuel supply strategy.

According to the IPMAN secretary, limited engagement with independent marketers has hampered their ability to lift petrol from the facility.

“As IPMAN, Dangote was supposed to have invited us for engagements—not just IPMAN, but all stakeholders, including MOMAN and DAPMAN. Unfortunately, until this moment, there has been no engagement,” he said.

“What we are asking Dangote to do is to call a stakeholders’ meeting. Let him engage with IPMAN, MOMAN, and DAPMAN so that we can sit down and serve Nigerians.

“He can’t do business in isolation—he needs people, especially IPMAN, as we are the biggest off-takers in this industry.

“If Dangote sold directly to IPMAN at a fair price, fuel costs would have come down in Nigeria by now.

“We’d go straight to his refinery, pay N995 or N900, and transport it directly to our filling stations. I challenge you—if Dangote did this, you would see prices drop at our retail stations within days.”

Suleiman further said the association has made efforts to reach out to Dangote.

He said IPMAN members are keen to support the Dangote refinery but require direct engagement to ensure petrol can be sourced at competitive prices.

“Like every Nigerian, IPMAN is happy for Dangote and his refinery, which is very strategic to the country,” Suleiman said.

“It’s only IPMAN that has tried to engage him. We went to Dangote about three to four times seeking a meeting to discuss synergy between IPMAN and Dangote, but all to no avail. Most times, he tells us he will get back to us.”

Suleiman also said IPMAN is willing to buy products from Dangote, but the conditions must be right, including the price of offloading and the ease of loading.

On October 29, Dangote said the refinery currently holds over 500 million litres of petrol, but oil marketers are not buying the product.

In a counter-response, the IPMAN said its members had been unable to load petrol from the Dangote refinery for days, claiming that N40 billion payment was made to the Nigerian National Petroleum Company (NNPC) Limited.

On Friday, the Dangote refinery says it has not received any payment from the IPMAN for refined petroleum products.