See new fuel price as Dangote, marketers agree to slash prices

• Filling stations are set to reduce petrol prices by N50 per litre following a deal between marketers and Dangote Refinery
• The agreement with Dangote Refinery will allow marketers to buy fuel at a lower rate than imported products
• The Independent Petroleum Marketers Association of Nigeria (IPMAN) controls over 70% of the filling stations in Nigeria

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) announced that its members would soon reduce petrol prices by N50 per litre.

The new price follows an agreement between Dangote Refinery and the marketers for direct supply.

Petrol station to slash fuel prices Photo credit: Bloomberg/contributor
Source: Getty Images

Abubakar Maigandi, IPMAN’s national president, disclosed the reduction plan while speaking on Channels Television.

He disclosed that Dangote Refinery has agreed to supply petrol directly to IPMAN members, with rates set at N940 per litre for depot purchases and N990 per litre for truck deliveries.

His words:

"Presently, we have been given two different arrangements on how to buy fuel from the refinery."One option allows us to load the vessels and transport them to our various depots at N940 per litre, and for depot loading, the cost is N990 per litre."

New fuel price

The IPMAN president highlighted Maiduguri as an example, where prices hover around N1,200 per litre.

Under the new terms, he said the price could drop to N1,150 or lower, the Tribune reports.

He remarked.

"The current price is N1,200 per litre. With these changes, it may likely reduce to N1,150, which is a reduction of N50. So that’s N1,150; it may even be below that.”

Marketers insist on crashing Dangote’s petrol price

Legit.ng earlier reported that the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) disclosed on Monday, November 4, 2024, that the petrol its members intend to import would be cheaper than the current one sold in Nigeria.

PETROAN’s national public relations officer, Joseph Obele, said competition in a deregulated environment must exist.

He disclosed that the association had registered a business unit to import petrol before December.

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Source: Legit.ng