Dangote Petroleum Refinery has transitioned back to pricing its premium motor spirit in naira to prevent artificial supply shortages caused by fuel importers withholding product to drive up prices.
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- Dangote Petroleum Refinery reverted to pricing petrol in naira to curb artificial shortages caused by importers withholding supply.
- The change from dollar to naira sales aims to stabilize Nigeria’s fuel market and protect consumers from sudden price hikes.
- Dollar pricing was initially implemented due to crude supply <a href="https://absafricatv9491.live-website.com/tinubu-challenges-rivals-vows-fight-to-finish/” title=”Tinubu challenges rivals, vows fight to finish”>challenges within Nigeria’s naira-for-crude system.
- Following the switch back to naira pricing, fuel distribution normalized and depot prices moderated nationwide.
The pivot away from dollar-denominated transactions aims to protect Nigerian consumers from sudden price spikes and restore stability to the domestic market.
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The refinery originally introduced dollar pricing for gantry sales after encountering crude oil supply bottlenecks within the Nigeria federal government’s naira-for-crude framework.
However, this short-term arrangement forced independent petroleum marketers to pause product loading due to severe foreign exchange shortages, subsequently driving up rates across private distribution depots.
To restore seamless distribution, the facility reinstated naira sales, setting the gantry rate at N1,215 per litre and coastal sales at N1,602,495 per metric tonne.
Depot prices across the country began to moderate as local distribution normalized following the currency adjustment.
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In an interview with The Punch, an anonymous management official at Dangote Petroleum Refinery explained that the decision to sell in naira was taken in the interest of the country after observing that importers were holding back their goods in anticipation of a price rise.
The refinery remains in active discussions with federal authorities to establish a reliable, long-term framework for purchasing local crude oil.
The proposed Cameroon project could strengthen fuel distribution across Central Africa while supporting the export strategy of Africa’s largest refinery.BI Africa
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Speaking to The Punch, the refinery official expressed hope for sincere negotiations with the government, noting the historical tendency of authorities to sell crude to foreign traders while importing finished petroleum products.
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Despite persistent foreign exchange volatility and shifting global crude prices, the company reaffirmed its dedication to supporting affordable domestic energy.
As this policy reversal is expected to relieve supply bottlenecks and improve fuel distribution efficiency across Nigeria
