According to Punch, Officials from the Dangote Petroleum Refinery and local crude oil refiners have reportedly voiced their opposition to the importation of Premium Motor Spirit (PMS) by major oil marketers in Nigeria.
They claim that some of the imported fuels are of lower quality than those produced by the Dangote refinery, a view shared by representatives from the $20 billion facility in Lekki.
Sources indicate that three major oil marketers are expected to receive shipments of imported petrol this week, provided there are no unforeseen issues.
It was also mentioned that around 141 million liters of PMS are being brought into Nigeria following the Federal Government’s full deregulation of the downstream oil sector.
The recent rise in petrol prices from the Dangote refinery, announced by the Nigerian National Petroleum Company Limited, has opened up opportunities for imports.
In reaction, officials from the Dangote refinery and the Crude Oil Refiners Association of Nigeria condemned the marketers, claiming this would increase the demand for U.S. dollars and lead to the introduction of low-quality fuels in the market.
“These people (marketers) are importing dirty fuels that are toxic. They are importing substandard fuels and if allowed they will not stop importing such. We have more than enough, but these guys don’t want it. They want the game to continue, but the game will not continue,” an impeccable source at the Dangote refinery said.
Another official at the plant expressed worries about the health risks linked to these substandard products, saying, “We need to be wary of the quality of imported products. Their blending process makes these fuels toxic. This is all driven by profit maximization.”
Eche Idoko, the Publicity Secretary of CORAN, supported these concerns, claiming that some of the low-quality fuels were blended in Malta or Togo.
He advocated for backward integration and mentioned that some marketers are anxious that Dangote’s growth might lead to monopolistic behavior, although he noted that these issues have been mitigated by Dangote’s membership in their association.