In a bid to bring down petrol prices across Nigeria, the Dangote Refinery recently announced a reduction in the ex-depot price of petrol to N820 per litre, following the introduction of over 1,000 compressed natural gas (CNG) trucks aimed at streamlining distribution. This initiative, introduced to reduce logistics costs, had many hoping for a more significant drop at the pump.
However, as of late September, many of Dangote’s marketing partners, including well-known names like Heyden, AP, and MRS, have not adjusted their prices accordingly, with petrol continuing to be sold at rates as high as N865 per litre. Interestingly, a few MRS outlets in Lagos took the lead, reducing their prices to N841 per litre, resulting in long queues of eager motorists looking to save some money.
In the Ogun State area, the situation was mixed, with some stations charging between N865 and N875 per litre. This uneven pricing landscape is causing frustration among consumers, especially in light of the refinery’s efforts to make fuel more affordable. Although it was anticipated that the new pricing would roll out swiftly—especially for states in the South-West—this hasn’t materialized as soon as many would have liked, and prices remain largely unchanged at many stations.
It’s worth noting that other marketers, including Conoil and Eterna, are also part of the Dangote initiative, which was designed to eliminate logistics costs. Yet, challenges remain as some retailers cite existing stock purchased at higher prices as the reason for holding off on lowering their prices. They promise that adjustments will be made promptly once new supplies are available.
The Ugandan market’s responsiveness to these changes will be crucial as the refinery’s plans for a nationwide distribution rollout unfold. With confirmed sightings of CNG trucks around the Lagos-Ibadan Expressway, consumers are hopeful that within weeks, the expected price relief will come to fruition.
As the situation evolves, it underscores the complexities of fuel pricing in Nigeria and the vital role of efficient logistics in keeping prices in check. Stakeholders, policymakers, and consumers alike are keenly watching developments to ensure that the anticipated benefits from these initiatives truly reach the pump.
With the Dangote Refinery at the forefront of this initiative, there’s a collective hope that improved distribution will lead to fairer fuel prices across Nigeria, benefiting everyone in the long run.
Stay tuned for further updates from Africazine on this developing story!
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