The Dangote Petroleum Refinery has announced it will spend over N1.07 trillion every year to distribute fuel directly to marketers across Nigeria at no extra cost.
In a statement released on Sunday, the company said the move is aimed at reducing pump prices, tackling inflation, and supporting small businesses.
It also revealed that over N720 billion has already been invested to buy 4,000 Compressed Natural Gas-powered trucks and build new fuel delivery infrastructure across the country.
“This bold step will see the privately-owned refinery absorb over N1.07 trillion annually in fuel distribution costs,” the statement read. “The initiative is also poised to significantly benefit over 42 million Micro, Small and Medium Enterprises by reducing energy costs and enhancing profitability.”
From August 15, the refinery will begin delivering petrol and diesel directly to filling stations, industrial users, and other high-volume fuel buyers without passing through third-party depots.
The refinery aims to meet Nigeria’s daily demand of 65 million litres of refined petroleum products, including 45 million litres of petrol, 15 million litres of diesel, and 5 million litres of aviation fuel.
With logistics cost currently estimated at N45 per litre, Dangote said it plans to completely cover this cost to ease the pressure on fuel marketers and end users.
The company also explained that the free delivery programme is part of a larger plan to fix distribution challenges, improve energy use, and support Nigeria’s economic growth.
“The initiative is also expected to resuscitate dormant filling stations, fostering job creation in the process. Over 15,000 direct jobs are projected to be created across the logistics chain, including drivers, station managers, and attendants at the CNG stations,” the statement added.
The refinery believes the move will also help stop fuel smuggling across borders and lead to a cleaner, more efficient way of distributing fuel.
