The Nigerian Federal Government has announced it will not intervene in the ongoing fuel price dispute between the Nigeria National Petroleum Company Limited (NNPCL) and the Dangote Refinery. According to the Presidency, both entities are free to set their own prices for petrol, following the deregulation of the petroleum market.
This was confirmed by Bayo Onanuga, Special Adviser on Information and Strategy to President Bola Tinubu, during a press briefing in Abuja on Wednesday. Onanuga emphasized that, as both NNPCL and Dangote Refinery operate in a deregulated market, they are subject to market forces and can independently determine their prices for Premium Motor Spirit (PMS), commonly known as petrol.
“Dangote is a private company, and NNPCL operates as a limited liability company. Both are responsible for setting their prices,” said Onanuga, highlighting that the Federal Government will not intervene in their pricing decisions.
He further explained that such competition could ultimately benefit Nigerian consumers by fostering a price war, which may drive prices down. “If consumers find NNPCL or Dangote’s prices too high, private marketers can import fuel and offer it at more competitive rates,” Onanuga added.
Currently, the pump price of petrol stands at a minimum of N895 per litre, with NNPCL and Dangote in disagreement over the cost at which NNPCL buys the product from Dangote. The Presidency’s stance is clear—both companies must resolve the issue on their own, as the government refrains from direct involvement in pricing under the deregulated regime.
