No, We Are In Competitive Market IPMAN
Dangote refinery management in a release yesterday, declared that the Nigeria National Petroleum Corporation, NNPC Ltd. is the sole off-taker of their Petroleum Motor Spirit, PMS, popularly called petroleum.
In a press release, signed by Chief Chinedu Ukadike, PRO, IPMAN, the Independent Petroleum Marketers Association of Nigeria, IPMAN vehemently disagreed with the management of Dangote refinery.
According to the IPMAN Public Relation Officer, PRO, “Marketers oppose NNPC’s sole off-taker status for Dangote petrol that the move could create a monopoly and lead to profiteering in the downstream sector of the petroleum industry.”
“The most important thing is availability. We are not against the increase in fuel prices as marketers, but the fuel must be made available to all, for us to buy.”
“NNPC is also a competitor in the downstream sector, and it is wrong to single out one competitor among others, giving them exclusive access to petrol while others remain dependent on a single source,” the statement concluded.
The National Press Newspaper investigation revealed that Marketers expressed strong concerns over the designation of NNPC Limited as the sole off-taker of petrol from the Dangote Refinery, warning that the move could create a monopoly and lead to profiteering in NNPC has historically been the sole importer of petrol into the country, while marketers and other stakeholders have struggled to secure the necessary foreign exchange to compete with the national oil company.the downstream sector of the petroleum industry.
NNPC has historically been the sole importer of petrol into the country, while marketers and other stakeholders have struggled to secure the necessary foreign exchange to compete with the national oil company.
Speaking to The National Press Newspaper, the Public Relations Officer of the Independent Petroleum Marketers Association of Nigeria, IPMAN, Chief Chinedu Ukadike, stated that while marketers are not opposed to the government’s decision to increase the pump price of petrol, they strongly object to NNPC being the sole off-taker of the product from Dangote.
He emphasized the importance of making the product available to all marketers operating in the downstream sector.
“The most important thing is availability,” Ukadike said. “We are not against the increase in fuel prices as marketers, but the fuel must be available for us to buy. The arrangement between Dangote and NNPC, which makes NNPC the sole off-taker, should be reconsidered. As major stakeholders and independent marketers, we believe Dangote should be allowed to sell directly to us. The distribution should be open so that other stakeholders can purchase the product, just like NNPC.”
He further argued that, “NNPC is also a competitor in the downstream sector, and it is wrong to single out one competitor among others, giving them exclusive access to petrol while others remain dependent on a single source. This will lead to monopoly, profiteering, and stagnation in the distribution process.”
Ukadike called on the Federal Government to intervene, stating, “It is crucial that what is good for one is good for all. IPMAN should be given the opportunity to obtain products directly because we can quickly distribute them, as we have a wide reach across the country and are reliable.”
The National Press Newspaper seek opinions of Nigerian professionals on the subject above; Engr. Atinuke Owolabi, President of the Association of Professional Women Engineers of Nigeria, Lagos Chapter, also weighed in on the issue. She said, “We need to confirm the price from Dangote. I read that the federal government said they did not instruct NNPCL to increase fuel prices. I still do not understand why NNPCL wants Dangote to supply them directly. Dangote should distribute to everyone who wants to buy fuel. It is dangerous for NNPCL to be the sole distributor of Dangote fuel.”
“We do not want a monopoly again. Let Dangote distribute to all marketers so that we all have access to the fuel, which belongs to the people. It seems there are some cabals within NNPCL, and we need to be very careful,” she added.
