Petroleum product marketers in Nigeria have reportedly reached out to President Bola Tinubu to express their concerns about the impact of Dangote Refinery's diesel price, currently at N900 per liter, on their businesses. Devakumar Edwin, Vice President of Dangote Industries Limited, shared this information during a Twitter Spaces session hosted by Nairametrics.
"Marketers have written to President Tinubu to complain that local prices at the refinery, which have decreased from N1,200 to N1,000 and now to N900 per liter, are adversely affecting their operations," he stated.
Edwin highlighted several challenges faced by the Dangote Refinery and their repercussions on Nigeria's fuel supply and pricing. He noted that the refinery struggles to sell around 29 tankers of diesel daily due to low demand from local importers.
"Due to this lack of local patronage, the refinery is exporting most of its diesel and aviation fuel," he explained. Edwin previously indicated that if the Nigerian National Petroleum Company Limited (NNPC) and other local dealers do not engage with the refinery, its products would be exported.
"We have been exporting aviation fuel, producing kerosene and diesel, and just began producing PMS (Premium Motor Spirit). This marks the final stage, with only petrochemicals left to produce," he said during a radio program.
When questioned about the possibility of selling petrol locally, Edwin remarked, "There has been a sort of blockade preventing our products from being lifted within the country. Traders have been trying to obstruct this, so we are currently exporting our petroleum products. We are prepared to supply as much PMS as needed, but if traders or NNPC do not purchase, we will continue to export PMS, just like we do with aviation fuel and diesel."
Edwin expressed disappointment that the Dangote Refinery encountered unexpected challenges just as it was about to commence operations.