By Balogun Tumininu.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that petrol will sell at N935 per litre starting from Monday, following a new arrangement with the Dangote Petroleum Refinery.
According to IPMAN’s National President, Maigandi Garima, the reduction in Dangote refinery’s ex-depot price for petrol, coupled with a uniform pricing arrangement, will enable marketers to sell at N935 per litre nationwide, with a logistics cost of N36.
Garima explained that Dangote refinery has introduced a new loading and pricing system, where marketers will pay a fixed ex-depot price of N899.50 per litre. This new arrangement is expected to commence on Monday and will lead to a uniform fuel consumption rate across the country.
The association also stated that over 30,000 of its members are set to begin loading petrol from the Dangote Petroleum Refinery and the Port Harcourt Refining Company, following the reduction of the ex-depot price to N899 per litre.
In Lagos, some filling stations, including MRS, BOVAS, and NNPC, were observed to have reduced their pump prices to between N950 and N980 per litre on Sunday. However, IPMAN has promised that prices will drop further, with more filling stations expected to sell at N935 per litre by Monday.
Retail outlet owners under the Petroleum Products Retail Outlet Owners Association of Nigeria have also begun registering with MRS filling station to lift Dangote petrol at N935 per litre.
The development comes after intense pricing competition in the downstream sector, triggered by a price war between NNPC and Dangote following the reduction in the ex-depot price to N899 per litre. On Saturday, NNPC surprisingly slashed petrol prices by 12%, delighting Nigerians and marketers.