- Dangote Refinery starts free fuel delivery to independent marketers, eliminating transport charges
- Marketers in Lagos, Ogun, Ondo, and other South-Western states are already receiving fuel without logistics costs
- Pump prices expected to fall from 865 Naira per litre to 841 Naira as deliveries expand
In a bid to ease distribution cost, Dangote Refineries has begun free fuel deliveries to independent fuel marketers in Lagos, Ogun, Ondo and other South-Western states following the deployment of compressed natural gas-powered trucks to ease distribution costs.
This is following the announcement made by the President of the Independent Petroleum Marketers, Association of Nigeria (IPMAN), Abubakar Shettima, who confirmed the news on Friday.
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Eko Hot Blog reports that the delivery comes at no transport cost at all.
Shettima expressed his members’ satisfaction with the development;
“Dangote has started the free delivery. Already, the trucks have begun moving and discharging products in most parts of the Western Zone. My members are very pleased with the development,” Shettima said.
Earlier in the week, the refinery launched over 1,000 CNG-powered trucks as part of a larger fleet of 4,000 vehicles ordered from China.
The project, which had been delayed due to shipping bottlenecks, is expected to see the remaining trucks arrive in Nigeria before October.
Shettima further explained that only registered marketers would be eligible to receive the logistics-free deliveries, but registration is available through an online portal.
“If you don’t register, your name will not appear on the system. But registration is straightforward and can be done anytime,” he said.
This new supply chain initiative is already impacting fuel prices across the country. Shettima noted that pump prices are expected to decrease from 865 Naira per litre to around 841 Naira as the deliveries spread across different regions.
“Prices have started coming down already. Wherever the refinery discharges, independent marketers reduce their pump prices accordingly,” he added.
Some filling stations, including those operated by MRS, have already lowered their prices in response to the new deliveries.
The refinery’s direct distribution model aims to bypass middlemen, reduce logistics costs, and offer relief to Nigerian motorists who have been struggling with high fuel prices following the subsidy removal in 2023.
The refinery’s direct distribution approach is designed to bypass middlemen, cut logistics costs for marketers, and bring relief to motorists facing high fuel prices since subsidy removal in 2023.
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