The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said that the Premium Motor Spirit (PMS) bought from the Dangote refinery should be cheaper than the imported product.
The association’s national welfare officer, John Kekeocha, spoke on ‘The Morning Brief’ programme of Channels Television on Monday.
Not long ago, the Nigerian National Petroleum Company (NNPC) Limited released the estimated pump price of petrol hinged on prices set by the Dangote refinery.
Whilst speaking on the programme, Kekeocha argued that the price released by the NNPC is “speculative” and is subject to change.
“The products we are about to get from Dangote refinery cannot be costlier than the one imported because we have an advantage of supply logistics,” he said.
“If the one we are going to import from abroad is going to be cheaper, then there is no need celebrating Dangote refinery production. Absolutely, it is going to be cheaper than the imported one.”
IPMAN’s national welfare officer added that the government has been intervening in the form of underrecovery, widely called subsidy.
Kekeocha mentioned that if the Dangote refinery’s petrol price is N950 per litre without government intervention, “it means underrecovery gradually comes to an end and maybe, Nigerians would get it cheaper”.
But he stated that the price released by the NNPC could be discounted if petrol subsidy continues.