The new prices, effective from June 21, 2025, reflect a 6.7% hike in the refinery’s ex-depot rate—from ₦825 per litre to ₦880 per litre. In response, MRS has adjusted its pump prices regionally:
- Lagos: ₦925 per litre
- South West: ₦935 per litre
- North East: ₦955 per litre
- North West: ₦945 per litre
- Central, South South & South East: ₦955 per litre
The company has also urged customers to report any filling stations selling above the stipulated rates.
Market Response and Uncertainty
In the wake of this announcement, the Major Energies Marketers Association of Nigeria (MEMAN) stated that it is closely monitoring developments and seeking clarity on Dangote Refinery’s broader distribution plans—particularly the implications of direct supply to retail outlets.
Speaking during a recent webinar, MEMAN’s Executive Secretary Clement Isong emphasized the need for stakeholder engagement. “We have read about this plan in the news, but we need to understand its full scope—what it impacts and how it impacts the market,” Isong said. “We cannot act responsibly without first gaining clarity.”
He noted that discussions are planned with the Dangote Refinery, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), and other stakeholders to assess the likely effects on pricing, logistics, and supply chain equity.
Concerns Around Pricing Uniformity and Policy Impact
A key area of concern is whether Dangote’s distribution strategy will include a nationwide price equalization mechanism, which could affect regional pricing uniformity and competitive balance. “We are not clear whether it means the same price everywhere in the country,” Isong added. “Until we have clarity, we cannot engage meaningfully.”
CNG Trucks and Infrastructure Limitations
MEMAN also responded to reports that the Dangote Refinery intends to use Compressed Natural Gas (CNG)-powered trucks for fuel distribution—a move aligned with federal energy transition goals. While supportive of the policy in principle, Isong cautioned that Nigeria’s CNG infrastructure is still underdeveloped.
“CNG is a policy of the government, but implementation is still ongoing. A lot of planning is required to make it viable,” he explained. “Bold companies can take advantage of opportunities like this, but success depends on whether the system can support such a rollout.”
A Market in Transition
As Nigeria’s downstream petroleum market adjusts to changes spurred by the entry of the Dangote Refinery, fuel marketers, regulators, and consumers are all bracing for a period of volatility and adaptation. With prices on the rise and policy uncertainties looming, all eyes will remain on how stakeholders navigate the shifting landscape in the weeks and months ahead.