Oil Marketers in Fear Over Dangote’s Planned Nationwide Fuel Distributions

Oil marketers in Nigeria are holding emergency meetings after Dangote Petroleum Refinery announced that it will start a nationwide distribution of diesel, petrol (PMS), and compressed natural gas (CNG) from August 15.

This move could shake up the fuel industry, which independent marketers and depots have long controlled.

A source from the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) told TheCable that members are holding “long meetings” to discuss the impact of this development.

Billy Gillis-Harry, president of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), stated that his group has been engaged in serious talks since the announcement.

“We will hold another press conference today,” he said. “It’s now that my other sister associations are waking up to realise that this is a big danger that is going to be part of the entire industry.”

“This will wipe out businesses,” Gillis-Harry added.

Earlier, PETROAN warned that while the refinery’s plan appears to be a way to improve the market, it could lead to a monopoly that pushes smaller businesses out.

A member of the Independent Petroleum Marketers Association of Nigeria (IPMAN) also confirmed that their leaders are meeting to study how Dangote’s entry into retail fuel sales will affect the industry.

With the refinery set to take control of fuel production and distribution, stakeholders worry that this shift could change supply chains, fuel prices, and the future of many independent marketers.