Several Nigerian filling stations in the Federal Capital Territory, Abuja, have been closed for more than four days because of delays in Dangote Refinery’s free‑fuel distribution scheme. Partners in the 650,000‑barrel‑per‑day refinery fuel distribution initiative—such as MRS and Conoil—are reporting dry tanks, which has disrupted the supply of fuel to Nigerians. Station managers in Abuja confirmed that they are still waiting for deliveries from the refinery. “We were told the product will hit the road from Tuesday, so from Wednesday or so, the products may arrive,” one manager said.
Dangote Group announced that Conoil, Eternal Super, Nepal Energies, Kifayat Global Energy, and Riquest and Gas have partnered with the refinery for its fuel distribution scheme. The $19 billion refinery had previously said that its 1,000 compressed natural gas trucks would begin operating on Nigerian roads on 15 September 2025, a target that has not been met. The plant also suspended self‑collection gantry sales of premium motor spirit, which had been fixed at N820 per litre. However, Dangote Refinery later confirmed that self‑collection gantry sales would resume from Tuesday.
Billy Gillis‑Harry, national president of the Petroleum Products Retail Outlets Owners Association of Nigeria, attributed the supply disruption to concerns raised by stakeholders about Dangote’s entry into the downstream sector. He warned that the sector cannot be driven by a single player and that Dangote Refinery may lack the capacity to deliver petroleum products smoothly without causing shortages. Gillis‑Harry urged the refinery to collaborate with marketers and adopt a division‑of‑labour approach to ensure efficiency, cautioning Nigerians to be wary of Dangote’s involvement in fuel distribution given the complexities of transporting products.
The controversy over Dangote Refinery’s fuel distribution scheme has been ongoing. The Depot and Petroleum Products Marketers of Nigeria and the Nigeria Union of Petroleum and Natural Gas Workers have accused the company of stalling competition, claims which Dangote has dismissed. The dispute remains unresolved. Meanwhile, fuel prices in Lagos and Abuja range from N865 to N920 per litre, underscoring the urgent need for a stable and efficient fuel distribution system in Nigeria.
Comments are closed for this story.