Dangote Gives Reasons for Petrol Price Hike, Makes Changes Again
- Aliko Dangote has provided what he believes is the reason Nigerians have been paying high petrol prices
- The billionaire accused NUPENG of collecting up to ₦50,000 per fuel truck at the Dangote Refinery
- Dangote continue to insists that union membership for drivers of his 4,000 CNG-powered truck remains voluntary
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Aliko Dangote, Africa’s richest man and President of Dangote Group has explained factors behind recent petrol price increases.
The billionaire who is now fully focus on his refinery accused the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) of imposing levies of up to ₦50,000 on every truck that loads fuel at the Dangote Refinery.
Source: Twitter
He warned that such charges ultimately push up fuel pump prices and burden consumers.
Dangote accuses NUPENG of N50,000 levy
Speaking to journalists while responding to NUPENG’s claims that his company is preventing drivers of its newly deployed 4,000 Compressed Natural Gas (CNG)-powered trucks from joining the union, Dangote described the charges as unsustainable and a form of rent-seeking that discourages efficiency in the sector.
He said:
“I am saying that there are several charges here, where if a truck is going to load, NUPENG has been collecting about ₦50,000 or ₦48,000 on each truck. By the time everybody collects their own, you are talking about ₦80,000 to ₦84,000. So, who pays for that cost? The consumer actually pays,” Dangote said.
He described the charges as unsustainable and a form of rent-seeking that discourages efficiency in the sector.
Source: Getty Images
Dangote insists joining union for members remain voluntary
Dangote stressed that union membership must remain voluntary under Nigeria’s labour laws, adding:
“Even religion is voluntary, you cannot force anyone to convert.
“If anybody wants to join the union, even our own workers, we say, ‘Fine, go and join.’ But it must be voluntary."
“Now that we have launched our own CNG trucks, we will not allow any group to hold us hostage. If there is no evacuation, there is nothing we can do."
Punch reports that NUPENG President Williams Akporeha neither confirmed nor denied the ₦50,000 allegation, he responded cryptically, saying: “N50k now? No more ₦1 per litre?”
He had previously dismissed claims that the union imposed a ₦1 per litre charge, stating that people are entitled to their opinions but must provide proof.
Dangote increase petrol prices
Earlier, Legit.ng reported that Dangote Petroleum Refinery said it will resume gantry-based petrol sales from September 23 after a brief suspension.
Also, Dangote refinery has announced an increase in new petrol price from N820 to N835 per litre.
The new price is similar to the move earlier carried out by other depot owners following petrol sales suspension by Dangote refinery in the previous week.
Private depot owners such as Pinnacle increased petrol price to ₦970 per litre, up ₦145 or 17.58%.
Source: Legit.ng
