Disagree oil marketer goes to shop for Top class Motor Spirit, popularly known as petrol, from the Dangote Petroleum Refinery and promote on the prevailing pump costs at filling stations in Nigeria aside from the Nigerian Nationwide Petroleum Corporate Restricted, operators within the downstream oil sector have declared.
On July 15, 2024, The PUNCH reported that the President of Dangote Industries Restricted, Alhaji Aliko Dangote, introduced that the $20bn refinery was once poised to roll out its petrol in August 2024, having resolved its crude oil provide problems throughout the support of NNPC and the Federal Govt.
“Gasoline (petrol) production is to commence in July with sales from August. Annual revenue is projected to exceed $26bn,” Dangote had mentioned day handing over a presentation on the plant ultimate date.
However oil entrepreneurs informed our correspondent on Sunday that deny broker in Nigeria would have the ability to purchase the petrol from the Dangote refinery, since the product can be priced on the global marketplace charge, some distance upper than the home price on the pumps.
When contacted and requested whether or not oil entrepreneurs have been briefed about the cost of petrol from the Dangote refinery, the Deputy Nationwide President of the Detached Petroleum Entrepreneurs Affiliation of Nigeria, Zarma Mustapha, gave a unfavorable answer.
He, alternatively, wired that PMS from the plant can be bought on the global marketplace charge, including that deny marketer would need to pay such value recently.
“There was deny authentic communique from them but on pricing for petrol. On the other hand, something I need you to grasp is that even supposing the Dangote refinery begins to let go merchandise, in particular PMS, deny marketer can have the ability to purchase the product from him.
“It’s because the refinery is an separate business entity and so they will have to recoup their price of refining and upload some margin earlier than they promote out the product. The stream value of the product inside the nation is beneath the global value of a litre of PMS.
“So you cannot buy the product from the refinery at the international price and then sell it at the prevailing price at the retail outlets. If you do, you are going to lose a huge amount of money, which is a difference of between N400 and N500/litre,” Mustapha mentioned.
The IPMAN authentic, alternatively, famous that for Nigeria to have Dangote petrol throughout its filling stations, the NNPC must interfere via buying the product and reselling it to sellers at discounted charges.
“NNPC can have to offtake the product, similar to they’re uploading from alternative nations for upward provide to Nigerian entrepreneurs, I feel most effective the nationwide oil corporate can offtake PMS from them and know the way absolute best they may be able to proceed to offer it to entrepreneurs to promote on the licensed stream value.
“If it is not done this way, no marketer will be able to buy the product and sell it at a loss of over N400 to N500/litre. It is not possible” Mustapha mentioned.
On July 18, 2024, The PUNCH reported that the touchdown price of petrol was once N1,117/litre as of July 16, 2024, in keeping with information exempted via the Main Energies Entrepreneurs Affiliation of Nigeria. MEMAN disclosed this right through a webinar with reporters.
The affiliation had additionally detectable that the touchdown price of diesel was once N1,157/litre, day that of flight gas was once N1,127/litre, on the era.
The N1,117 touchdown price of petrol is some distance above the pump value of the product in Nigeria. These days, the pump value of petrol is between N660/litre and N800/litre, relying at the section of acquire.
When contacted and requested whether or not main entrepreneurs would have the ability to purchase petrol from the Dangote refinery, the Govt Secretary, MEMAN, Clement Isong, stated his workforce had previous printed the touchdown price of PMS, including that this was once the reasonable price of the product.
“You have seen the price we published which is the realistic cost, and you know the cost at the pumps today, and Dangote refinery is a business entity that will not want to make losses. So that is all I will say,” he mentioned.
NNPC is recently the only real importer of petrol into Nigeria. Alternative entrepreneurs prohibited uploading the product because of their incapability to get entry to the USA buck required for PMS imports. NNPC had but to answer enquiries at the topic when contacted, up until when this document was once filed.