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NOGASA Warns Dangote Refinery Plan May Disrupt Fuel Distribution, Calls for Intervention

Dangote

The Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) has raised concerns over the Dangote Petroleum Refinery’s plan to supply refined petroleum products directly to end-users, bypassing existing distribution channels. The association warned that this move could lead to nationwide disruption, long-term product scarcity, and the collapse of existing supply networks.

NOGASA’s National President, Bennett Korie, expressed these concerns during the association’s Annual General Meeting in Abuja. He urged the Dangote refinery to halt its plan and engage in further dialogue with stakeholders before commencing distribution. Korie also called on President Bola Tinubu to intervene, stressing that Dangote alone cannot sustainably handle nationwide distribution.

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The Petroleum Products Retail Outlet Owners Association of Nigeria (PPROON) backed NOGASA’s stance. PPROON’s National President, Billy Gillis-Harry, cautioned that Nigerians should not celebrate the Dangote refinery’s announcement prematurely, as it may not necessarily translate to benefits for consumers.

However, a Dangote Group official dismissed NOGASA’s concerns, describing their position as “anti-Nigeria.” The official argued that the plan to supply products directly to end-users would reduce logistics costs and benefit consumers.

Meanwhile, the prices of petrol at depots have spiked by up to 7%, from N815 per litre to N870 per litre, amid the ongoing debate over the Dangote refinery’s plans. The development has raised concerns about the potential impact on fuel prices and availability in the country.

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