On Monday, companies in the downstream oil industry asked the government to make sure that the Dangote Petroleum Refinery gets enough crude oil. They are worried because fuel sellers are choosing to buy cheaper imported fuel rather than buying from the Dangote refinery.
They also criticized international oil companies in Nigeria for selling crude oil to the Dangote refinery at higher prices than in the global market, saying this is bad for the country.
The Independent Petroleum Marketers Association of Nigeria explained that fuel from the Dangote refinery is more expensive, which is why sellers are not buying it.
According to The Punch, the National President of IPMAN, Abubakar Maigandi, said that the Dangote refinery's refusal to work with IPMAN is causing problems for the $20bn refinery project. Maigandi said that the prices of diesel and aviation fuel from Dangote are too high, despite advice from sellers to make them cheaper.
Maigandi emphasized that if the Dangote refinery's products were cheaper, there would be no reason to buy the "dirty" fuel from elsewhere.
He said, “The major challenge is the cost of the Dangote diesel. We are looking for a reduction from him. He should bring it to a little bit lower rate."
Further talking, he said, “The fact that people bring in diesel from other countries into Nigeria is his fault. It is because of his price. You know I said earlier that he should bring his price down so that he would discourage importation by the other marketers. His price is higher. If it is lower, why should people buy outside?”