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Oil Marketers Kick Against Dangote’s Move To Distribute PMS To Retail Outlets

Oil marketers under the auspices of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) have cried out to the Federal Government and industry regulators including the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to curb the expansion moves by the Dangote Refinery to distribute petrol and diesel freely to retail outlets and large users across the country.

“If one company that is as massive as our brother’s (Aliko Dangote) can do all of this, of course, it is going to take us out of business,” PETROAN President, Billy Gillis-Harry, said on Channels Television’s The Morning Brief programme on Tuesday.

He said the move by Dangote Refinery to commence free distribution of fuel by August would lead to job loss and monopoly.

On Sunday, June 15, 2025, the $20bn Lagos-based refinery announced the free distribution of petrol and diesel to marketers, dealers, and other large users across the country.

The 650,000 barrels-per-day capacity refinery said it has procured 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers for the take-off of the initiative on August 15, 2025

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It also offered a credit facility to those purchasing a minimum of 500,000 litres — allowing them to obtain an additional 500,000 litres on credit for two weeks, under a bank guarantee.

Petrol marketers and truck owners have since vehemently criticised the expansion moves by Dangote Refinery, saying it would asphyxiate depot owners, truck operators, and retail outlets who have special deals for the direct delivery of petrol and diesel to large corporations and multinationals.

On Channels Television’s The Morning Brief programme on Tuesday, the PETROAN boss urged the regulators to correctly interpret and enforce the Petroleum Industry Act (PIA) to protect the jobs of tanker drivers and owners.

Gillis-Harry said, “There are rules for that and I don’t think one company should take the responsibility to interpret and operationalise what the regulators should do. We need the regulators to interpret very efficiently.

“Right now, we are struggling to feed family and get things going and suddenly we are going to be out of business from August. It is going to take us transporters, many retail outlets owners and marketers out of business and that will affect all the jobs that have been created by these operators in this sub-sector.”

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The PETROAN boss said the private refinery didn’t hold any discussion with tanker owners or retail outlets before it announced the nationwide free delivery of petrol and diesel.

“We don’t want one strong man but many strong men,” he said, rejecting any form of monopoly by the Dangote Refinery.

Gillis-Harry said, “We hope that the industry leaders would be able to get everybody together on the same table to address issues so that everybody will be at peace. Yes, it is competition but competition of what size? Is it a competition of one winner takes all? It should be a competition of everybody winning and Nigerians winning on the ultimate term.

“We are not sitting down. PETROAN is also gathering momentum to be able to look for alternatives on how we can source our product for our teeming members.

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“There is a PIA that has been passed and is functioning that rules the industry. Pricing is regulated by Article 207. Licensing also has its procedures and processes.

“Everybody has to have a license to operate in a certain way. So, if you have a license to operate as a refinery, please refine and let those who have licensing and operational permits also do so.

“Let those who have operational permits and requirements for logistics do so. And those of us who have operational approvals for retail outlets should also do our bits and do it effectively.”

 

Channels TV



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