In a move that could drive economic relief for Nigerians, Dangote Petroleum Refinery has reduced the ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, from N950 to N890 from Saturday.
It said the price adjustment was in response to favourable developments in the global energy sector and a significant decline in international crude oil prices.
A statement from Dangote Petroleum Refinery, by the Group Chief Branding and Communications Officer, Anthony Chiejina, explained that this latest move follows a similar decision on 19 January when a modest price increase was implemented due to rising crude oil costs.
He said with recent global market trends indicating a decline, Dangote Refinery has once again adjusted its pricing structure, providing relief to Nigerians.
The statement also noted that the price reduction would significantly lower the cost of petrol across the country, generating a positive ripple effect throughout the broader economy.
‘Dangote Petroleum Refinery firmly believes that this reduction from N950 to N890 will result in a meaningful decrease in the cost of petrol nationwide, thereby driving down the prices of goods and services, as well as the overall cost of living, with a positive ripple effect on various sectors of the economy’, the statement said.
The refinery has also called on marketers across the country to ensure that the benefits of the reduced price are passed on to the Nigerians while reiterating its support for the economic revival spearheaded by President Bola Tinubu, whose administration is focused on making Nigeria self-sufficient in refined petroleum products and positioning the country as a leading oil export hub.
‘This collective initiative will contribute to the wider economic recovery plan led by His Excellency, President Bola Ahmed Tinubu, who is dedicated to making Nigeria self-sufficient in refined petroleum products and positioning the country as a leading oil export hub’, it added.
Retailers now lifting fuel from Port Harcourt, Warri refineries —PETROAN
The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) said yesterday that its members are now loading petroleum products from the Port Harcourt and Warri refineries.
This, the association said, is at variance with the doubts previously expressed that the refineries owned by the Nigerian National Petroleum Company Limited (NNPCL) were not fully operational.
‘PETROAN members are now loading petroleum products, including Dual-Purpose Kerosene, Automotive Gas Oil, and Premium Motor Spirits’, PETROAN spokesman, Joseph Obele, said in a statement yesterday.
Obele said the Port Harcourt refinery was already selling petrol, diesel and kerosene to retailers while the Warri refinery supplied kerosene and diesel.
He said the competition that would result from the new development could spark intenses competition that would bring down fuel price.
Obele said: ‘The resurgence of these refineries has sparked intense competition expected to drive down petroleum prices.
‘As Nigerians advocate for lower PMS prices, it is clear that competition is a crucial factor in triggering price reductions.
‘The refineries’ revitalisation has brought numerous benefits, including the eradication of adulterated diesel and kerosene from the market’.
He said with the availability of original diesel and kerosene, the demand for fake products has decreased, reducing the risk of explosions and equipment damage.
‘The refineries’ functionality has also contributed to a decrease in crude oil theft, which has hindered Nigeria’s ability to meet OPEC production targets. As crude oil production increases, Nigeria is expected to generate more revenue and stabilise the naira’, he stated.
Besides their potential to lower fuel price, he said, the revitalised refineries have created job opportunities as once deserted depots are now bristling with activities.
Obele noted that the host communities are also benefiting from empowerment programmes, which he said are expected to positively impact on security in the region.
The National President of PETROAN, Billy Gillis-Harry, was quoted as saying that social empowerment programmes for oil-producing host communities align with the provisions of the Petroleum Industry Act and the Nigeria Local Content Act.
Harry commended the Managing Director of the Nigerian National Petroleum Company Retail Ltd, Mr Hubb Stockman, ‘for promoting a sense of belonging among host community members’.
He advised members of the host communities and PETROAN members to support the goal attainment and actualisation of the Port Harcourt and Warri refineries, emphasising the importance of collaboration in ensuring the refineries’ continued success.
‘The operationalisation of the Port Harcourt and Warri refineries is also expected to boost Nigeria’s economic growth by increasing the availability of petroleum products, reducing dependence on imports, and generating additional revenue for the government. This, in turn, will have a positive impact on the country’s GDP and overall economic development.
‘Additionally, the refineries’ functionality will also enhance Nigeria’s energy security, reduce the pressure on foreign exchange, and create a stable supply chain for petroleum products. This will have a ripple effect on various sectors of the economy, including transportation, manufacturing, and agriculture, ultimately leading to improved economic productivity and competitiveness’, the statement concluded.
