Dangote Refinery Slashes Diesel Price to ₦1,020 Per Litre

Lagos, Nigeria  —  Dangote Petroleum Refinery & Petrochemicals has further reduced the price of diesel, lowering it from ₦1,075 to ₦1,020 per litre in a move aimed at easing costs for businesses and consumers.

Since commencing diesel production in January 2024, the refinery has consistently lowered prices, bringing them down from an initial ₦1,700 per litre to the current rate. The latest price cut of ₦55 per litre is expected to provide additional relief to manufacturers and transporters who rely heavily on diesel for operations.

The reduction comes amid revelations by Development Economist and Public Policy Analyst, Prof. Ken Ife, who highlighted Dangote Refinery’s strategic role in stabilizing Nigeria’s fuel market. He disclosed that the refinery absorbed over ₦10 billion in costs during the yuletide season to ensure uniform petrol prices across the country, preventing price hikes and supply disruptions.

Speaking on Arise TV, Prof. Ife explained that the Petroleum Equalisation Fund, traditionally responsible for managing transportation cost differentials in fuel distribution, currently owes marketers over ₦80 billion. He noted that with the government shifting subsidy burdens to the private sector, Dangote Refinery’s intervention helped prevent fuel shortages and arbitrary price increases during the festive period.

“During Christmas, Nigeria typically experiences fuel shortages, hoarding, and price spikes, which drive up food costs. However, Dangote Group took the initiative to equalize fuel prices at their own expense, spending over ₦10 billion to stabilize the market,” he stated.

Beyond price stabilization, Prof. Ife emphasized that the refinery is reshaping Nigeria’s energy landscape by shifting focus from Premium Motor Spirit (PMS) to a diversified range of petroleum-based exports. He noted that major global energy companies, including BP and Saudi Aramco, are now purchasing refined products from Nigeria, reinforcing the nation’s growing role in the international petroleum market.

With these developments, analysts believe Nigeria is steadily advancing toward self-sufficiency in petroleum products while also positioning itself as a major player in global energy exports.

By Taiwo  Olatinwo|February 12, 2025.