By Jane Okeke
Following allegations and counter-allegations between Dangote Refinery and the NNPCL regarding petroleum pricing in Nigeria, a concerned civil group has condemned what it describes as a breach of agreements by Dangote Refinery.
This breach, they claim, has contributed to the high cost of petroleum products despite local production.
Executive Director of the Civil Society Council of Nigeria, Blessing Akinlosotu, who made this known in Abuja noted that independent inquiries and critical scrutiny have revealed significant questions for Dangote Refinery regarding its production costs and pricing.
Akinlosotu emphasized that Nigerians deserve clarity on the refinery’s intended price for PMS, considering the economic realities of processing.
“Since PMS is a global product, the cost of producing a liter is publicly available,’ he said.
Akinlosotu further argued that Dangote Refinery cannot rely on agreements with competitors like NNPC LTD to set PMS prices in a deregulated environment.
He insisted that the refinery must be transparent, noting that it has not fulfilled its part of the agreement by producing only 16.8 million liters per day instead of the agreed 25 million liters.
According to the council, the federal government’s “Naira for Crude” initiative aims to alleviate pressure on the Nigerian naira and lower transaction costs, which is expected to help reduce petroleum product prices.
