Dangote says his refinery won’t sell petrol at regulated price – Aliko

Uncertainty rises over the possibility of Nigerians benefiting directly from the Dangote Refinery in terms of reduction of the pump price of petrol. The uncertainty springs from the revelation by the President of the Dangote Group, Aluko Dangote, that the Refinery will not sell Premium motor spirit (PMS), petrol, at Federal Government’s regulated price.

National Daily gathered that President of the Dangote Group, Alhaji Aliko Dangote, hosting the Governor of the Central Bank of Nigeria, Godwin Emefiele, on a visit to the refinery in Lagos, said that though the plan is not to concentrate on total export, petroleum products from the refinery will be sold at export rate.

The implication is that Nigerians will have to pay more for the products from Dangote Refinery as though they are imported into Nigeria, and not produced in the country.  The fear is that the price will be fixed at the dollar exchange rate to the Nigerian Naira.

Some management staff of the Dangote Group had at different times stated that products from the refinery would first be exported, then, re-imported into Nigeria for sales in the Nigerian market.

However, Dangote Refinery is located at free trade zone in Lagos, which gives it the identity of operating within the international business environment in Nigeria.

The first private refinery in Nigeria is expected to commence operation in 2020.