This move comes after a few key players, including 11plc, completed their payment processes through the NNPC payment portal. So, they’re already lifting the fuel from NNPC, under an arrangement that has the Dangote Refinery supplying to the state oil company. For now, though, it looks like these marketers are the lucky few to benefit from this new price—others are still working out their processes.
Speaking with newsmen, Tunji Oyebanji the Managing Director of 11plc stated that they were indeed among the first to commence lifting of petrol at N765. Thanks to the new agreement between NNPC and Dangote it will be produce 99 instead of forty. One thing that is, however, very apparent is that NNPC still has all the power regarding this product as it remains the only off-taker. Thus, while it is far from unison, it is also true that not each marketer is in the game to be the professional yet.
Even though this sounds like a win for consumers, it's not all smooth sailing. The Independent Petroleum Marketers Association of Nigeria has not confirmed whether their members have managed to lift fuel from Dangote Refinery. They’ve kept things pretty quiet for now. And here’s the kicker—NNPC is selling the product at a subsidized rate, which explains the lower price. According to NNPC's Adedapo Segun, Dangote Petrol is technically priced higher than N765.99 per litre in the open market. But for now, NNPC’s subsidized deal is the reason marketers can get it at that lower rate.
So, what’s next? Well, as soon as market conditions align and Dangote is ready to sell at market prices, we might see more marketers jump on board. For now, though, the NNPC-Dangote collaboration is keeping things moving, and hopefully, consumers will feel the impact at the pump soon enough.
Fuel marketers lift Dangote Petrol from NNPC at N766 per litre. Find out how this affects prices and the fuel market.
Credit:BusinessDay News