By Okeke Eunice
Dangote Petroleum Refinery has rejected accusations of unilaterally raising petrol pump prices. The refinery explained that the recent change in the ex-depot price of Premium Motor Spirit (PMS) was due to global fluctuations in crude oil prices.
This was stated in a press release titled “Increase in Pump Price Not From Us,” issued on Sunday by Anthony Chiejina, Group Chief Branding and Communication Officer.
The statement clarified: “The recent adjustment in our ex-depot price of Premium Motor Spirit (Petrol) is directly linked to the sharp rise in global crude oil prices.”
“As crude oil is the main component in the production of PMS, any changes in its global price directly affect the cost of the finished product.”
The refinery clarified that while its ex-depot price for Premium Motor Spirit (PMS) increased by 5%, from N899.50 to N950 per liter, this adjustment is still much lower than the 15% rise in global crude oil prices.
“Brent Crude prices surged from $70 to $82 in just a few days, along with a premium of approximately $3 per barrel for Nigerian crude. Despite this, we have kept our Single-Point Mooring (SPM) ex-vessel price unchanged at N895 per liter,” the statement further explained.
In an effort to protect consumers from the full effects of rising costs, Dangote Refinery revealed that it has absorbed about 50% of the cost increases resulting from the surge in global crude oil prices.
The refinery’s partners, including Ardova, Heyden, and MRS Holdings, will sell petrol at a consistent price of N970 per liter across Nigeria.
“Had it not been for our intervention, the retail price of PMS could have reached N1,150 or even N1,200 per liter in some areas. This underscores our strong commitment to maintaining affordability and quality, even during difficult times,” the statement explained.
To enhance price transparency, the company announced that it would publish its ex-depot, ex-vessel, and pump prices weekly.
“In the interest of transparency and good governance, consumers will now have access to accurate information to protect them from exploitation,” the statement assured.
Furthermore, the company expressed appreciation to President Bola Tinubu for launching the Naira for Crude Initiative, calling it “visionary.” Dangote Refinery emphasized that the initiative ensures steady access to high-quality PMS for Nigerians while helping to mitigate the impact of global oil market fluctuations.
The statement ended with a reaffirmation of the company’s commitment to prioritizing the needs of Nigerians.
“We deeply value the ongoing trust and support of Nigerians as we work to provide the best value for their money and help build a self-sustaining economy that can withstand global price changes,” the statement stated.