Nigeria Today Magazine General News Marketers to Engage Dangote on Fuel Distribution Plan

Marketers to Engage Dangote on Fuel Distribution Plan


Dangote and IPMAN Logo

Spread the love

The Major Energies Marketers Association of Nigeria (MEMAN) has announced plans to engage the Dangote Petroleum Refinery to better understand its new initiative to supply petroleum products directly to filling stations across the country.

The Executive Secretary of MEMAN, Clement Isong, disclosed this during a webinar organised by the association. He stated that the group would also consult with the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and other key stakeholders to gain clarity on the operational and regulatory implications of the plan.

“At this point, we are observing the market. We’ve seen reports in the media, but we need to fully understand the scope of this initiative and what it means for the industry,” Isong said. “We need clarity before we can make informed decisions. For example, we are not sure if this plan implies an equalisation policy or uniform pricing across the country.”

Isong emphasised that the association would only take a position after thorough engagement with Dangote Refinery, regulatory bodies, and other industry participants.

Regarding the refinery’s plan to distribute fuel using Compressed Natural Gas (CNG)-powered trucks, Isong described it as a positive development, though he acknowledged the current limitations in CNG infrastructure across the country.

“CNG is a government-backed policy still under implementation. While the infrastructure is not yet fully established, bold companies that can capitalise on emerging opportunities—like CNG-powered distribution—are likely to lead in innovation,” he noted.

Addressing concerns about possible dominance or anti-competitive practices, Isong said it was the responsibility of regulators to continuously assess what constitutes innovation versus market distortion. He added that the association supports open competition and deregulation, believing these foster innovation and better services for consumers.

“We’ve always advocated for deregulation and free market competition. The idea of using CNG trucks is a form of innovation we recognize and encourage our members to explore,” he said.

Dangote Refinery had earlier announced plans to begin direct distribution of petroleum products to retail outlets nationwide starting August 15, using a fleet of 4,000 new CNG-powered trucks.

0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments