The Nigerian National Petroleum Company Limited (NNPCL), has reaffirmed its commitment towards ensuring that the federal government maintains a deregulated market for local refineries, including the Dangote Refinery.
According to the Chief Corporate Communications Officer of NNPCL, Femi Soneye, all local refineries are free to sell to any marketer on a willing seller, willing buyer basis.
Soneye made this clarification on the back of rumbles from petroleum marketers on fuel pricing and market monopoly.
Rebutting the sole offtaker tag, Soneye clarified that NNPCL only intervenes if the selling price exceeds the pump price, a legal safeguard designed to protect consumers. He further stressed that NNPCL does not set prices in the deregulated market, which are determined by market forces.
“This is a deregulated market. We will only offtake if the price is higher than the pump price, which is a legal requirement under the Petroleum Industry Act (PIA) to ensure Nigerians are protected in terms of pricing. This is the law. We do not set prices in a deregulated market; prices are determined by market forces” Soneye said.
The NNPCL spokesman dismissed any notion of restrictive practices, asserting that no marketer has been instructed not to buy from Dangote or import fuel. He said transparency remains central to NNPCL’s operations, with both purchase and pump prices being publicly announced.
“I do not believe any marketer in the sector will tell you otherwise. Have we ever instructed any marketer not to buy from Dangote or not to import? This is a free market where all participants are welcome to engage. We are transparent and have publicly announced the initial purchase price from the Dangote refinery. Additionally, we provided a breakdown and announced the pump prices at our stations nationwide” he said.
