Dangote Refinery has alerted Nigerians that its payment to 47 different government agencies is responsible for the final pump price of petrol presently at about N1,200 per liter.
The refinery Managing Director, David Bird made this known today, March 10, at a press conference in Lagos, but did not name the government agencies involved.
He regretted that the Federal Government has been treating the refinery as a “customer of last resort,” with the best crude grades sold to international buyers while the refinery buys from traders at inflated prices.
“We put forward every month a whole raft of grades; we love Bonny Light, we love escravos… the priority, I feel, is just more that the domestic refining industry are seen as customers of first preference, rather than customers of last resort.”
David Bird called on all government agencies to examine their contributions to costs and, even as he advised Nigeria to prioritize local refining amid extreme global volatility.
The refinery also raised concerns about crude allocated to international traders that later returns to the market at higher prices.
Here are key Points:
Refinery deals with 47 government agencies, each adding costs.
Government treats Dangote as “customer of last resort” for crude allocation.
Best crude grades sold abroad; refinery forced to buy from traders at premiums.
Calls for domestic crude prioritization amid global volatility.
Petrol price has jumped over N350 due to Iran-US war and Strait of Hormuz closure.
As petrol prices soar past N1,200, Dangote Refinery cries out: “we’re treated as an afterthought for crude, forced to pay middlemen, while 47 agencies add costs, a perfect storm driving Nigeria’s fuel pain.”
