The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has highlighted a significant pricing disparity between petrol produced by the old Port Harcourt Refinery and that supplied by the Dangote Refinery.
According to the association’s Public Relations Officer, Dr. Joseph Obele, the price of Premium Motor Spirit (PMS) from the Port Harcourt Refinery, which resumed production on Tuesday, is ₦75 per litre higher than that sold by the Dangote Refinery.
Dr. Obele, a former chairman of the Independent Petroleum Marketers Association of Nigeria (IPMAN) at the Port Harcourt Depot, initially commended the federal government for revitalizing the old refinery, which is now operating at a capacity of 60,000 barrels per day. However, he expressed concern over the pricing discrepancy between petrol supplied by the Nigerian National Petroleum Company Limited (NNPCL) and the Dangote Refinery.
According to Dr. Obele, Dangote Refinery sells petrol to marketers at ₦970 per litre, while NNPCL charges ₦1,045 per litre, creating a price difference of ₦75. He noted that this significant margin could severely impact businesses, especially in an industry where profitability is highly dependent on competitive pricing.
Despite this, Dr. Obele acknowledged the importance of the Port Harcourt Refinery’s restoration, calling it a critical step toward reducing Nigeria’s reliance on imported petroleum products. He also revealed that NNPCL’s Group Chief Executive Officer, Mele Kyari, has committed to addressing the pricing issue and working toward price harmonization to ease the burden on marketers and consumers.
The reopening of the Port Harcourt Refinery is seen as a positive development, with expectations that it will boost local production capacity and reduce Nigeria’s dependence on petroleum imports. However, the ongoing concerns over price differences underscore the need for continued reforms to stabilize the downstream sector of the petroleum industry.
