With appropriate government interventions, the price of petrol produced by Dangote Petroleum Refinery could fall below N600 per litre, according to the Crude Oil Refiners Association of Nigeria (CORAN). Speaking to Sunday PUNCH, CORAN’s Publicity Secretary, Eche Idoko, emphasized that the current high prices, driven by the exchange rate, could drop significantly if local crude sales were pegged at N1,000 to the dollar.
Idoko explained that Dangote Refinery has been selling petrol produced from a mix of locally sourced and imported crude, with prices influenced by international market rates. However, he stressed that local refining, coupled with government measures such as selling crude in naira at a discounted rate and capping the exchange rate for these transactions, could lead to substantial price reductions.
The CORAN representative also criticized the levies and taxes imposed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which contribute to the high cost of fuel. He urged the government to reconsider these fees during a period of economic hardship for Nigerians.
In response to recent price announcements by the Nigerian National Petroleum Company (NNPC), which stated that Dangote petrol could sell for over N1,000 per litre in some parts of the country, Idoko reiterated that local refining and naira-based transactions are key to lowering the pump price.
