The President of the Petroleum Products Retail Outlet Owners Association of Nigeria, Billy Gillis-Harry, has clarified the association’s stance on the recent reduction in petrol prices by the Dangote Refinery. According to Gillis-Harry, the association is not opposed to the price reduction, but rather concerned about the significant losses its members will incur due to the sudden decrease.
The Dangote Refinery, owned by Alhaji Aliko Dangote, had reduced the gantry price of petrol from N828 to N699 per liter, with a new pump price of N739 per liter. However, Gillis-Harry explained that many of the association’s members had purchased large quantities of petrol at the higher price, only to see the price reduced before they could sell their stock. This has resulted in significant financial losses for the members, with some losing billions of naira.
Gillis-Harry emphasized that the association supports the reduction in petrol prices but believes that the Dangote Refinery should have informed them of the price decrease before it was implemented. He also stated that the association is not against the Dangote Refinery, but rather wants to ensure that the price reduction is fair and does not harm its members.
The PETROAN president also highlighted the need for multiple sources of petrol supply in Nigeria to prevent a monopoly in the downstream sector. He noted that the country’s reliance on a single source of petrol supply has led to difficulties in the past and that the association welcomes the entry of new players in the market.
Additionally, Gillis-Harry addressed concerns about the quality of petrol in Nigeria, stating that while there have been instances of substandard products in the past, the authorities have taken steps to address the issue. He emphasized that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has a robust laboratory department that certifies the quality of petrol products.
In conclusion, the PETROAN president’s clarification highlights the complexities of the petrol market in Nigeria and the need for fair and transparent pricing mechanisms. The association’s concerns about the sudden price reduction and its impact on its members’ businesses underscore the importance of effective communication and cooperation between stakeholders in the industry. As the Nigerian government continues to work towards improving the country’s energy sector, it is essential to consider the concerns of all parties involved to ensure a stable and efficient market.
