The Dangote Petroleum Refinery has stopped selling Premium Motor Spirit (PMS), also known as petrol, to major marketers that import petroleum products into Nigeria.
An official of the refinery confirmed the development, saying Dangote would no longer supply marketers that mix its petrol with imported products.
The refinery has raised concerns over the blending of its Euro-5 petrol with imported fuel, arguing that the practice could make it difficult to distinguish its products from other fuels and could affect the reputation of its locally refined petrol.
The refinery is now selling petrol to independent petroleum marketers and other buyers that are not involved in importing the product.
The decision has raised concerns among major marketers, some of whom have approached the courts seeking to ensure that the Nigerian Midstream and Downstream Petroleum Regulatory Authority continues to issue them import licences.
The marketers fear that being unable to buy petrol from Dangote while also losing access to imported supplies could create challenges for their businesses and fuel availability.
However, some petroleum marketers have criticised Dangote’s decision, describing it as an attempt to restrict fuel imports. They also challenged the refinery to provide evidence that imported petrol entering Nigeria does not meet the required quality standards.
One marketer argued that consumers can purchase petrol from different filling stations, making it difficult for a supplier to control whether products from different sources are eventually mixed.
The National Vice Chairman of the Independent Petroleum Marketers Association of Nigeria, Hamed Fashola, confirmed that Dangote has become selective in determining which marketers can purchase its petrol.
Fashola said independent marketers would continue to source products based on price and availability, whether from Dangote Refinery or importers.
IPMAN National Publicity Secretary, Chinedu Ukadike, said independent marketers were not currently importing petrol but remained open to purchasing products from different suppliers.
He added that Dangote was in the best position to determine how to prevent its products from being blended or adulterated, while independent marketers would continue buying and selling petroleum products.
