●As NNPC declares price Dangote Fuel Sells At Filling Stations
The price of petrol produced by the Dangote Refinery may see a decrease starting October 1, 2024, coinciding with the Federal Government's expected announcement of new pricing aligned with Naira crude supply transactions.
In a statement released to Slye News, Anthony Chiejina, Group Chief Branding and Communications Officer for Dangote Industries, responded to claims from the Nigerian National Petroleum Company Limited (NNPC) that Dangote petrol was being sold at N898 per litre. Chiejina described the statement as "misleading and mischievous," affirming that the sales to NNPC have been conducted in dollars because the crude oil was purchased in foreign currency.
Chiejina emphasized, "We urge Nigerians to disregard this malicious statement and await a formal announcement on pricing from the Technical Sub-Committee on Naira-based crude sales to local refineries, appointed by President Bola Ahmed Tinubu." He added that the transition to Naira transactions is set to commence when the new pricing framework is revealed on October 1, 2024.
Meanwhile, the NNPC has announced that the Premium Motor Spirit (PMS), commonly referred to as petrol, sourced from the Dangote Refinery will be priced at N950.22 at its filling stations in Lagos. Olufemi Soneye, Chief Corporate Communications Officer of NNPC Ltd, explained that the payments for September deliveries are being made in dollars, with Naira transactions slated to start from next month.
As per the provisions of the Petroleum Industry Act (PIA), Soneye noted that PMS prices are not mandated by the government but are negotiated directly between the involved parties. In a statement, he indicated, "The NNPC Ltd can confirm that payments to the Dangote Refinery for September products are made in USD."
He reassured the public that any disputes regarding pricing would be addressed, with discounts from Dangote Refinery to be fully passed on to consumers.
The pricing breakdown indicates that the petrol purchased from Dangote stands at N898.78 per litre, with additional costs including an NMDPRA fee of N8.99, an inspection fee of N0.97, and a distribution cost of N15, culminating in a profit margin of N26.48.