Dangote Refinery expands free fuel delivery to four states, with lower petrol pump prices

Dangote Petroleum Refinery & Petrochemicals has expanded its free petroleum product delivery program to include Kano, Imo, Anambra, and Nasarawa states. This move, announced by the company, aims to lower distribution expenses for independent petroleum marketers and contribute to reduced fuel prices at the pump. The initiative, initially targeting Lagos, Ogun, Rivers, Kaduna, Abuja, and Delta, seeks to bring petroleum products closer to marketers and retailers while eliminating the financial burden of transporting goods over long distances.

By absorbing these delivery costs, Dangote Refinery is alleviating one of the primary expenses in the distribution chain. Group Executive Director, Commercial Operations, Oil & Gas, Fatima Aliko Dangote, emphasized that the initiative ensures the benefits of domestic refining translate into tangible savings for businesses and consumers.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) welcomed the expansion, stating that it will significantly reduce financial and logistical pressures on independent marketers and contribute to lower pump prices. Chinedu Ukadike, IPMAN's National Publicity Secretary, highlighted that the initiative addresses a longstanding issue in the petroleum products distribution chain, where marketers often face substantial costs and extended waiting periods for product delivery.

The reduction in distribution costs is especially beneficial for marketers serving areas far from the refinery, as it decreases haulage, vehicle, driver, and insurance expenses. By bringing petroleum products closer to their destination markets, Dangote Refinery shortens the supply chain, improves distribution reliability, and potentially leads to more competitive retail pricing.