LAGOS — Nigeria’s mega-refinery, owned by billionaire Aliko Dangote, has launched a free delivery service for petrol to six key states, including the capital Abuja, in a bid to drive down costs for consumers.
The Dangote Petroleum Refinery announced the initiative on Wednesday, stating it will maintain its current ex-depot price of ₦1,075 per litre while absorbing the transport costs for major buyers.
The free haulage service will cover Lagos, Ogun, Rivers, Kaduna, and Delta states, alongside the Federal Capital Territory (FCT).
To qualify for the free delivery, independent marketers and fuel distributors must purchase a minimum volume of 250,000 litres of Premium Motor Spirit (PMS), commonly known as petrol.
Driving down pump prices
The move comes on the heels of intensive negotiations between the refinery and downstream petroleum stakeholders to establish realistic, cost-reflective pricing across the country.
The 650,000-barrels-per-day facility outside Lagos recently implemented its fourth consecutive price cut, dropping its gantry price to the current ₦1,075 baseline.
Industry leaders say the refinery’s interventions are already reshaping the local retail market, which has long been volatile due to high distribution costs and import reliance.
Abubakar Maigandi, the President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), disclosed that retail pump prices have dropped by an average of ₦125 per litre over the last three weeks.
Depending on the location and the marketing company, petrol pump prices across Nigeria now range between ₦1,155 and ₦1,299 per litre. The elimination of transportation costs for large orders is expected to push these retail prices down even further.
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