On February 27, 2025, Dangote Petroleum Refinery announced a reduction in the ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, by ₦65.00, lowering it from ₦890 to ₦825 per liter.
This marks the second price reduction in February 2025, following a previous decrease of ₦60.00 earlier in the month.
The refinery stated that this strategic price adjustment aims to provide relief to Nigerians ahead of the Ramadan season and to support President Bola Ahmed Tinubu’s economic recovery policies.
In response to Dangote’s price cuts, importers of petroleum products have expressed concerns, stating that the continuous lowering of petrol prices by the refinery could force them to sell at a loss.
The cost of landing Premium Motor Spirit (PMS) reached about ₦927 per liter last week, higher than Dangote’s ex-depot price, leaving importers with little to no profit margin.
As consumers gravitate towards outlets offering the lowest prices, dealers fear they may be pushed out of the market.
Despite these challenges, the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria acknowledged the potential financial losses for importers but commended Dangote’s efforts.
He noted that the refinery’s price cuts could push importers out of business but also emphasized the need for improved distribution infrastructure to further reduce prices and enhance supply across Nigeria.
Overall, Dangote Petroleum Refinery assures the public of a consistent supply of petroleum products, with sufficient reserves to meet domestic demand and a surplus for export to enhance the country’s foreign exchange earnings.
The company calls on marketers to support this initiative, ensuring that Nigerians remain the primary beneficiaries of this effort.