Iheanacho Responds to Otedola’s Remarks on Depot Owners
Former Minister of Interior, Emmanuel Iheanacho, has responded to billionaire businessman Femi Otedola’s suggestion that fuel depot owners should dismantle their facilities and sell them as scrap. Otedola made the comment during the launch of operations at the Dangote Refinery.
In a statement, Iheanacho, who is also a member of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), rejected the idea, asserting that depots play an essential role in Nigeria’s fuel supply chain. He explained that petroleum storage depots are critical for delivering fuel to consumers and complement the operations of primary fuel sources like the Dangote Refinery.
The Importance of Depots in the Fuel Supply Chain
Iheanacho emphasized the necessity of collaboration within the fuel market, noting that depots are vital in storing and distributing petroleum products to meet consumer demand.
“While there may be competitive forces in the market, collaboration is key to ensuring a stable fuel supply in Nigeria,” Iheanacho stated. “Petroleum depots are not a replacement for primary fuel sources, but they are crucial for maintaining the fuel distribution system.”
Depots as Strategic Partners
The former minister further explained that private depots are not in direct competition with the Nigerian National Petroleum Corporation Ltd. (NNPCL) or the Dangote Refinery. Instead, they work in tandem to support a reliable fuel supply network. Depots provide essential storage and distribution services, which help balance market prices and meet the country’s fuel needs.
He concluded by stressing that depots remain a vital component in sustaining Nigeria’s entire supply chain, serving not only NNPCL and Dangote but also petroleum importers, and ensuring efficiency in fuel distribution.
