Olabode Sowunmi, Chairman of the Energy Transition Study Group at the Nigerian Gas Association, has stated that Aliko Dangote is the sole authority on the pricing of petrol from his refinery. Sowunmi’s comments come after Dangote indicated that the Federal Executive Council (FEC) might influence the price per liter.
In an interview with Arise TV, Sowunmi emphasized that the Dangote Refinery operates as a profit-driven business, not a non-governmental organization (NGO). He explained that the refinery’s pricing will be determined by the costs of refining and the need to generate profit.
Sowunmi further clarified that the refinery’s pricing strategy will reflect both competitive market rates and the need to cover operational costs. He noted that while the refinery could potentially stabilize the naira and support the national economy, expectations that fuel prices will dramatically decrease might be unrealistic.
He also highlighted that the refinery’s use of naira for purchasing crude oil could offer advantages, including reduced pressure to acquire foreign currency. However, the actual impact on fuel prices will depend on the refinery’s output and Nigeria’s consumption rates.
Sowunmi concluded that only the refinery itself can provide accurate data on its petrol production and pricing, not the regulators.
