Business
NLC raises alarm over high petrol prices
The Nigerian Labour Congress (NLC) has voiced serious concerns over the soaring cost of petrol in the country, alleging that the current pump price is being artificially inflated by key players in the petroleum industry.
In a communique issued on Sunday, signed by NLC President Joe Ajero, the union accused influential figures in the sector—whom they referred to as “fat cats”—of exploiting Nigerians by inflating petrol prices beyond reasonable market values.
Ajero further linked this price manipulation to ongoing tensions between Dangote Refinery and local fuel marketers, suggesting that the conflict is emblematic of larger issues within the industry. The NLC is calling for immediate action to stabilize the market and reduce the burden on Nigerians.
“The NEC-in-session noted with increasing dismay the shenanigans around the appropriate pricing of petrol (PMS) in Nigeria,” the union’s statement read. “It observed that there may be a gang-up against Nigerians by fat cats in the industry, as the current price of the product is significantly higher than the real market price.
Padding of costs and abnormal margins seems to be the order of the day considering the revelations from the ongoing controversy between marketers and the Dangote group.”
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Ajero also criticized the lack of action to restore Nigeria’s public refineries, specifically the Port Harcourt and Warri refineries, which he argued would help address the price manipulation and break the monopolistic hold of the industry’s major players.
“NLC demands appropriate pricing of petrol and calls for the public domestic refineries in Port Harcourt, Warri, and Kaduna to quickly come back on stream to break up the monopolistic stranglehold the big players have on the industry,” the statement added.
The controversy surrounding fuel pricing in Nigeria has intensified following the government’s decision to remove subsidies, which has led to an uptick in fuel prices.
The Nigerian National Petroleum Corporation (NNPC) Limited has raised petrol prices over the past few months, citing global market conditions. However, local marketers have suggested that importing petrol could help reduce costs, but the ongoing dispute with Dangote Refinery has further complicated the issue.
Dangote Refinery, which has been selling petrol at prices ranging from N970 to N990 per litre, defends its pricing, asserting that it is aligned with market realities.
The refinery’s management has gone further to claim that any entity selling petrol at significantly lower prices may be engaging in illicit activities, including handling contaminated fuel or participating in crude oil theft.
The situation has now escalated to a legal battle, with the dispute between Dangote and marketers awaiting resolution in the courts.
The NLC’s statement underscores the urgency of addressing these price discrepancies and ensuring that Nigeria’s domestic refineries are brought back online to reduce dependence on foreign fuel and foster greater competition in the market.