The Independent Petroleum Marketers Association of Nigeria (IPMAN) has made a significant announcement that will directly impact petrol prices in the country. After securing a deal with Dangote Refinery, the association revealed that the price of petrol will drop by N50. This move is expected to bring some relief to Nigerian consumers who have been grappling with rising fuel prices.
According to Abubakar Maigandi, the National President of IPMAN, Dangote Refinery has agreed to sell petrol directly to its members at a price range of N940 to N990 per litre. This price is for both depots and trucks, making it more affordable for marketers to source fuel. In turn, IPMAN members who currently sell petrol at a price between N1,150 and N1,200 per litre will be able to reduce the price by N50.
For example, in Maiduguri, where petrol is currently being sold at N1,200 per litre, the price is expected to decrease to N1,150 per litre. There may even be further reductions depending on the location. This is a welcome change for Nigerians, as it provides some relief from the high fuel costs that have been a burden for many.
The N50 price reduction is not just a small shift—it’s part of a larger development in the Nigerian fuel sector. For years, the Nigerian National Petroleum Company (NNPC) has been the sole buyer of Dangote petrol. However, with this new deal, Dangote Refinery is now selling petrol directly to IPMAN members, bypassing the NNPC. This change marks a significant shift in the fuel distribution chain in Nigeria and provides more opportunities for competition among fuel distributors.
With this new pricing agreement, IPMAN members will now be able to offer fuel at lower prices to Nigerian consumers. While the current price at many NNPCL outlets and other filling stations in Nigeria is between N1,060 and N1,200 per litre, this new development could lead to a further reduction in prices across the country.
The price cut also helps reduce the burden of high petrol costs, which have had a significant impact on transportation and daily living expenses for many Nigerians. Given that fuel prices directly affect the cost of goods and services, any reduction in petrol prices has the potential to ease the economic pressures many Nigerians face.
The deal between IPMAN and Dangote Refinery is a sign of change in the Nigerian fuel sector. As the country continues to navigate challenges with its energy sector, this new arrangement could pave the way for more reforms aimed at improving the affordability and accessibility of fuel for Nigerians.
In the coming weeks, Nigerians will likely see more changes in fuel prices as the new price structure begins to take effect. This could bring hope for further reductions and help stabilize the fluctuating cost of petrol in the country.
