The Oil marketers in Nigeria have threatened to boycott the newly rehabilitated Port Harcourt Refinery unless it offers refined petroleum products at prices lower than those of the Dangote Refinery.
According to sources, the marketers insist that the refinery’s products, particularly petrol, must be cheaper than Dangote’s to secure their business.
The Nigerian National Petroleum Company Limited (NNPCL) has not yet released official pricing for the refinery’s products, and bulk sales have not commenced. Currently, products from the refinery are exclusively supplied to NNPCL retail stations.
The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, revealed to punch correspondents that though NNPC had yet to release any price for the products from the refurbished Port Harcourt refinery, a high price would discourage marketers. Dangote currently sells his petrol at N970/litre, while imported petrol is around that price.
He said, “With the Port Harcourt refinery now working, we are anticipating that any moment from now, NNPC will give us its price. Once NNPC releases its price, we will start loading from NNPC. That is subject to if it is cheaper than that of Dangote.
“The last NNPC price was N1,040 and N1,045 per litre. But I know there will be a review of prices because there has been a crash in prices globally. So, we are expecting a review. Once that review is done, I will be able to give you the actual price. I know they are reviewing it. They are on top of the matter”.
He also revealed that they will only buy from the NNPC if the price is cheaper than that of Dangote’s refinery.
The dispute over pricing has sparked concerns among marketers, who may opt for petrol importation if the prices set by domestic refineries surpass their profit margins.
The PUNCH reported that 105.67 million liters of petrol were imported into the country in the last five days, with the latest shipment arriving on Thursday, November 28, 2024. This development comes as the NNPC and oil marketers had previously stated plans to stop fuel imports and focus on domestic production.
The NNPC has yet to comment on the pricing dispute, but industry experts say the issue must be resolved quickly to avoid disruptions in the supply chain.
