N1,350 Petrol Sparks Fresh Row as IPMAN Calls for Review of Fuel Import Licences
- IPMAN says some fuel importers are selling imported petrol for about N1,350 per litre, which is much higher than Dangote Refinery's price
- The association argues that the Federal Government's fuel import licence policy has failed to increase competition and lower petrol prices.
- IPMAN wants the government to continue selling crude oil to Dangote in naira and review the import licence policy to help stabilise fuel prices
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) has criticised the pricing of imported petrol by major marketers, arguing that the Federal Government's import licence policy is failing to achieve its goal of promoting competition and lowering fuel prices.
IPMAN's National Publicity Secretary, Chinedu Ukadike, alleged that some importers, including AA Rano and Matrix, are selling imported Premium Motor Spirit (PMS) for about N1,350 per litre, far above the prices offered by the Dangote Petroleum Refinery.
Source: UGC
Import licences not delivering expected results
Ukadike said independent marketers had expected fuel import licences to act as a competitive check on locally refined products. However, he maintained that the policy has not produced the intended outcome.
He called on the Federal Government and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to review the policy and ensure greater transparency in its implementation.
According to him, marketers were surprised that companies granted import licences were offering imported petrol at prices significantly higher than Dangote Refinery, defeating the objective of opening the market to competition.
He said:
“We were shocked, even as I am talking to you now, that the licenses that have been given to AA Rano, Matrix and all the rest of them to be able to import petroleum products are trying to peg the price of petroleum products at N1,350, which is far, far distant from what Dangote has been selling to us.”
Concerns over prices, quality and forex pressure
The IPMAN spokesman also questioned the quality of some imported fuel, arguing that the products are not only more expensive but also raise concerns over standards.
He added that imported petrol, priced using the international PLATTS benchmark, is roughly 20% more expensive than fuel supplied by Dangote Refinery, making imports less competitive.
Ukadike warned that continued reliance on costly fuel imports would increase demand for foreign exchange, pile pressure on the naira—which is nearing N1,400 to the US dollar—and ultimately drive up pump prices.
Source: Getty Images
Calls for crude sales in naira
IPMAN urged the Federal Government to continue selling crude oil to the Dangote Refinery in naira, saying the arrangement would help stabilise domestic fuel prices, reduce pressure on the foreign exchange market and support the local currency.
Ukadike also advised the government to avoid indiscriminate issuance of import licences, warning that allowing expensive imported fuel into the market could leave Nigerians paying more at the pumps instead of benefiting from increased competition.
Source: Legit.ng
