Dangote Petroleum Refinery
By OLA MODUPE, Lagos –
The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has raised concerns over Dangote Refinery’s plan to start direct nationwide distribution of petrol and diesel, warning that it could lead to widespread job losses, business closures, and a monopolistic market structure.
PETROAN National President, Dr. Billy Gillis-Harry in a statement on Monday, expressed fears that Dangote’s dominance could stifle competition, threaten thousands of livelihoods, and lead to higher fuel prices.
“With a production capacity of 650,000 barrels per day, Dangote Refinery should be positioning itself to compete with global refiners rather than engaging in direct distribution within Nigeria’s downstream sector,” Gillis-Harry said.
He warned that Dangote’s approach could trigger a pricing penetration strategy aimed at capturing market share and forcing competitors out of the market.
“Filling station operators, truck owners, telecom diesel suppliers, and modular refineries are all at risk,” Gillis-Harry added.
PETROAN urged the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and the Minister of State for Petroleum Resources to introduce price control mechanisms and enforce fair competition policies.
“Competition must be protected and encouraged to safeguard consumers, preserve jobs, and maintain a healthy petroleum distribution ecosystem,” Gillis-Harry stressed.
