Dangote Lowers Diesel and Jet Fuel Prices, Offers Relief to Consumers

Dangote has lowered Diesel and Jet Fuel Prices and offered relief to consumers across Nigeria.

 

NewsOnline Nigeria reports that Dangote Refinery has entered into a strategic partnership with MRS Oil and Gas stations across the country to ensure that consumers get to buy fuel at affordable prices in all their stations.

To consummate the partnership, the Dangote Group announced a further reduction in the price of Automotive Gas Oil (AGO) or diesel and Jet A1, or aviation fuel, produced from its 650, 000 barrels per day capacity refinery located in Lagos.

Checks yesterday showed that across most of the MRS filling stations in Lagos and its environs, the new diesel price of N1, 050 per liter was being effected at the pumps. Some MRS station managers and attendants in Ikoyi, and Alagbole, a border town between Lagos and Ogun states, confirmed the imminent price change which they said may take effect from today.

 

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Confirming the price reduction and partnership with MRS Oil and Gas Stations, the Director, Corporate Communications, Dangote Group, Anthony Chiejina, said the new price is in consonance with the company’s commitment to cushion the effect of economic hardship in Nigeria.

“I can confirm to you that Dangote Petroleum Refinery has entered a strategic partnership with MRS Oil and Gas stations, to ensure that consumers get to buy fuel at affordable prices, in all their stations be it Lagos or Maiduguri.

 

You can buy as low as one liter of diesel at N1,050 and aviation fuel at N980 at all major airports where MRS operates,” Chiejina said.

Assuring that the partnership will be extended to other major oil marketers, he said: “The essence of this is to ensure that retail buyers do not buy at exorbitant prices. The Dangote Group is committed to ensuring that Nigerians have better welfare and as such, we are happy to announce these new prices and hope that it would go a long way to cushion the effect of economic challenges in the country.”

 

According to Chiejina, from Dangote Petroleum Refinery, diesel and aviation fuel will now sell at N940 and N980 per litre respectively. The price change of N940 is applicable to customers buying five million liters and above from the refinery, while the price of N970 is for customers buying one million liters and above.

 

The price slash has elicited commendations from the private sector. The Chief Executive, Center for the Promotion of Private Enterprise (CPPE), Dr. Muda Yusuf, said what is unfolding underscores the value and significance of domestic production. Besides, he noted that it also exemplifies the beauty of resource based industrialisation and additionally reflects the nationalistic disposition of indigenous industrialists.

 

“This is why we must give them the necessary support. Evidently, Aliko Dangote has aligned with the commitment of President Bola Tinubu to tackle the current cost of living crisis. There is therefore a dimension of patriotism to the pricing dynamics that we are witnessing.

 

“There is also a reciprocity angle to this development. The government offered to supply crude to Dangote refinery in domestic currency which is more favourable than selling in dollars. This naturally must have had a positive impact on output cost for the refinery.

 

“The lesson is that we should support local industries and demonstrate much greater commitment to backward integration. This is a more sustainable pathway to industrialisation. Incentives to manufacturers should not be perceived as revenue loss because of the enduring impact on development and self-reliance,” Yusuf said.

Similarly, the Director-General of the Manufacturers Association of Nigeria (MAN), Mr. Ajayi Kadiri, hailed Dangote, describing the gesture as “an eloquent demonstration of the capacity of local industries to positively impact the fortunes of the national economy.”

 

“The trickledown effect of this singular intervention promises to change the dynamics in the energy cost equation of the country, in the midst of inadequate and rising cost of electricity.

 

“The reduction will have far-reaching effects in critical sectors like industrial operations, transportation, logistics, and agriculture, contributing to easing the high inflation rate in the country; a lot of companies will be back in operation.”

Recall that about two weeks ago, NewsOnline Nigeria reported that the management of Dangote Petroleum Refinery announced a further reduction of the price of diesel from N1200 to N1,000 per litre. Yesterday’s price reduction marks the third major cut in diesel price in less than three weeks when the product sold at N1,700 to N1,200 and also a further reduction to N1,000 and now N940 for diesel and N980 for aviation fuel per litre.