Fuel marketers accuse Dangote Refinery of distributing substandard petrol

By Prince Iroka

The Depot and Petroleum Products Marketers Association of Nigeria(DAPPMAN) has accused the Dangote Petroleum Refinery of distributing substandard Petroleum products into the Nigerian market.

The claim was contained in a statement by the Executive Secretary of DAPPMAN, Mr. Olufemi Adewole, titled “Clarifying the Role of Market Players in Nigeria’s Downstream Petroleum Sector” released on Saturday.

The association said it rejects any insinuation that DAPPMAN members deal in “substandard” petroleum products, saying all imports are subject to independent, regulator-accredited laboratory testing in accordance with NMDPRA protocols and global quality standards.

Ironically, it said the same refinery alleging superiority had on multiple occasions sought waivers to distribute products with sulphur levels above approved thresholds, a fact that calls into question its consistency and credibility on product quality.

“Nigeria’s downstream petroleum market is highly regulated, transparent, and aligned with international best practices. Attempts to cast doubt on the integrity of other compliant players are unfair and inaccurate,”.

The further pointed out that, claims that repeated fuel price reductions by the Dangote Refinery are patriotic gestures ignore their timing and market impact.

“These reductions were often strategically timed when other importers had active cargoes at sea or in tank, creating price shocks that undermined competition and imposed financial strain on fellow market participants, including the refinery’s own domestic customers.

Even more concerning is the refinery’s pattern of offering lower prices to international buyers while quoting higher rates to local off takers. This contradicts public-facing claims of prioritizing Nigerians and places unnecessary burden on domestic businesses already operating under tight margins,’’.

DAPPMAN maintained that, the assertion that Nigeria’s downstream stability rests solely on one refinery is misleading and dismissive of the broader ecosystem.

“While we welcome the Dangote Refinery as a major infrastructure project, its contribution has peaked at only 30 to 35 percent of national demand. The balance continues to be supplied by responsible petroleum product marketers, including DAPPMAN members, who import and distribute under strict regulatory oversight by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA),’’.

DAPPMAN insisted that, the claim that the refinery offers “free delivery” is also misleading, stating that, in reality, marketers are required to lift at least 25 per cent of their allocations directly from the refinery gantry and must do so using only Dangote-owned trucks, paying commercial rates based on their destination.

The arrangement, it said, imposes additional logistical and financial burdens on marketers, limits operational flexibility, and undermines the narrative of cost relief being provided to the local market.