The Nigerian National Petroleum Company Limited (NNPC) has agreed to sell petrol to Independent Petroleum Marketers Association of Nigeria (IPMAN) members at N995 per litre.
The development comes amid the Department of State Services intervention in the face-off between the marketers and the state oil firm.
Hammed Fashola, IPMAN’s national vice president, disclosed that the DSS intervention solved several marketers’ problems.
He confirmed that due to the intervention, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) agreed to pay the association its outstanding N10 billion as it resolved issues concerning the direct purchase of petrol from the Dangote refinery.
Fashola said the NNPC is tentatively offering to sell petrol to IPMAN at N995 per litre.
He assured the association members that, with the new ex-depot price, he would only sell petrol at a lower price than other significant marketers.
He, however, said that distance is another determining factor.
The IPMAN official said they will sell at N1,200, depending on the location. The new price will be a small reduction, but the official stressed that trucking the product to a far distance will mean higher prices.
He could not disclose the exact price, but the association is working to adjust prices, especially in the Lagos area and other zones.
Punch reports that Fashola said that IPMAN is interested in competitive prices, stressing that the price disparity has discouraged independent marketers.
In his opinion, the difference is the reason for the petrol queues in some filling stations.
TimesNow.com.ng earlier reported that IPMAN scheduled a meeting with the management of the Dangote refinery regarding direct petrol lifting from the plant.
On Sunday, October 13, the refinery also asked the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN) to resend its request for direct petrol lifting.
The development came as PETROAN expressed hope that the cost of petrol might crash in the coming days as competition in the downstream oil sector begins fully as marketers load the product from the refinery.
IPMAN described the expected agreement with the refinery as an essential step in its ongoing efforts to facilitate the lifting of petroleum products.
TimesNow.com.ng earlier reported that the Nigerian government approved marketers to begin lifting petrol directly from the Dangote Refinery without resorting to the National Petroleum Company Limited (NNPC).
Wale Edun, the Minister of Finance and Chairman of the Naira-for-Crude Sale implementation committee said marketers can now buy petrol directly from local refineries without going through intermediaries.
Punch reports that IPMAN’s national publicity secretary, Chinedu Ukadike, disclosed that the association hoped to meet with officials of the Dangote refinery to discuss its upcoming robust business relationship with the $20 billion refinery.
He disclosed that IPMAN had acquired tank farms to expand its storage facilities and address a challenge that had previously hindered its operations.
