Dangote Refinery Cuts Petrol Price by N15 Across Nigeria…In a move aimed at making fuel more affordable for Nigerians, Dangote Refinery has reduced the price of Premium Motor Spirit (PMS), commonly known as petrol, by N15 per litre. The new ex-depot price is now set at N875 per litre in Lagos, with prices in other regions varying slightly.
In the South-West, the price stands at N885, while in the North-West and North-Central, it is priced at N895. In the South-East, South-South, and North-East, petrol will cost N905 per litre.
This reduction comes as part of the refinery’s ongoing efforts to provide economic relief to the Nigerian population, particularly as fuel prices continue to put a strain on consumers.
This price cut follows a series of reductions made earlier this year by Dangote Refinery.
In February, the refinery slashed its ex-depot price from N950 to N890 per litre, followed by another reduction in late February, bringing the price further down to N825 per litre.
The latest cut of N15 is seen as a continued effort by the refinery to support the Nigerian economy, with an aim to keep the price of petrol below N900 per litre, no matter the region or retail outlet.
The price reductions are part of Dangote Refinery’s strategic initiative to make petrol more affordable for Nigerians while also addressing the issue of inflation, which has been putting immense pressure on household finances across the country.
With rising fuel costs, transportation fees have also increased, making it more difficult for people to afford daily commutes and for businesses to transport goods.
The reduction in petrol prices is expected to ease these challenges, making it easier for Nigerians to travel and for goods to reach consumers at more reasonable prices.
To facilitate this adjustment, Dangote Refinery has partnered with various retail outlets, including MRS Holdings, AP (Ardova Petroleum), and Heyden, which will distribute the product at the new rates.
This collaboration is designed to ensure that consumers across the country benefit from the price cuts and that the revised rates are adhered to by marketers.
The refinery is also refunding N65 per litre to marketers who purchased petrol at the higher price of N890 per litre, prior to the most recent reduction.
This refund applies to over 200,000 metric tonnes of petrol purchased at the previous rate, demonstrating Dangote Refinery’s commitment to fairness in its pricing strategy.
The refund initiative, which amounts to a substantial financial commitment by the refinery, is aimed at ensuring that marketers are not burdened by the price adjustments.
The company is absorbing a significant financial loss of approximately N16 billion to implement these refunds.
This move is also seen as a testament to the refinery’s commitment to maintaining consumer trust and ensuring that the price cuts benefit Nigerians across the board.
The price reductions have been welcomed by industry stakeholders and consumers alike. Experts believe that the cuts will ease the financial strain on Nigerians and help reduce the cost of living.
Lower petrol prices should result in reduced transportation costs, which in turn could make food prices more affordable and improve access to basic necessities.
In a country where fuel price increases have far-reaching impacts on inflation and the cost of living, this move by Dangote Refinery is being viewed as a much-needed relief for the population.
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However, some concerns have been raised about the potential consequences of Dangote Refinery’s dominance in the Nigerian fuel market.
As one of the largest players in the downstream oil sector, the company’s ability to set prices has raised questions about the level of competition in the industry.
While the price cuts are beneficial in the short term, experts caution that there should be measures in place to ensure that competition is maintained and that no single company has too much control over pricing, which could lead to monopolistic practices.
As Nigerians begin to see the benefits of these price reductions, they are encouraged to report any discrepancies in fuel pricing to the relevant authorities to ensure that the new rates are properly enforced.
Dangote Refinery’s commitment to providing more affordable fuel is a positive step forward, but it is essential for the government and regulators to monitor the situation closely to prevent any price manipulation or unfair practices by marketers.
With this new price reduction, Dangote Refinery is solidifying its position as a major player in Nigeria’s energy sector while working to alleviate some of the financial pressures faced by the country’s consumers.
