The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that over 30,000 of its members will begin loading petrol from the Dangote Petroleum Refinery and the Port Harcourt Refining Company at a price of N899 per litre.
As a result, marketers will sell petrol at N935 per litre starting Monday, December 23, down from the previous prices of N1,025 and N1,065 per litre.
This announcement was made by the IPMAN National Publicity Officer, Chinedu Ukadike, and the PETROAN President, Billy Gillis-Harry, on Sunday.
Ukadike noted that the new development follows the reduction of the ex-depot price as a result of pricing competition between NNPC and the Dangote refinery. This change will also ease marketers’ struggles in lifting products from the refinery.
According to Ukadike, “NNPCL has changed their price at their portal. It means that everyone who has access to that portal can request and pay for products. Once you pay, you will be called to the depot to pick up your products. Yes, they have changed the price on their portal.”
“For us, the reduced price remains a welcome development, as that is the beauty of a deregulated sector. You know, when there are multiple sources of petroleum products, there will be production and pricing competition. That interplay of pricing has come to the centre stage, and it is now to the advantage of commuters who wish that this petroleum product will be sold at a lesser price,” he added.
“It will also help marketers in our retailing capacity to pick up more volumes. The cost today is very high, and the reduced price will help us pick up more volumes. Commuters are no longer taking products the way they used to, but with the price decrease, there will be heavy consumption,” he stated.
Under the new arrangement, there is a 12% reduction in the price of petrol, amounting to a drop of N36 per litre. This adjustment is expected to standardise fuel consumption rates across the country.
Meanwhile, Investors King gathered that this update comes at a crucial time, as the festive season is typically marked by increased transport fares. The new petrol price is expected to alleviate the burden of excessively high transportation costs.
