The recent announcement by the Nigerian National Petroleum Company Limited (NNPCL) regarding its purchase of fuel from Dangote Refinery at an astonishing N898 per litre has ignited a firestorm of controversy and public outrage. This revelation prompts critical questions about production costs, transparency, and the ongoing exploitation of the Nigerian populace within the oil industry.
To begin with, the exorbitant price of fuel sourced from Dangote Refinery is difficult to justify, particularly in light of the absence of tariffs, landing costs, and port charges. Given that crude oil is supplied in local currency, one would expect the refinery’s production costs to be considerably lower. It is essential that Dangote Refinery provides a comprehensive breakdown of its production costs to validate the steep price of N898 per litre.
The evident lack of transparency and accountability in the pricing structure is deeply concerning. The NNPCL’s announcement raises suspicions of a conspiracy to perpetuate an exploitative pricing regime under the guise of local refining. This situation undermines the purported benefits of domestic refining and casts doubt on the actual advantages that should arise from it.
Moreover, the high cost of fuel remains unaffordable for the average Nigerian consumer, contradicting the very purpose of establishing a refinery within the country. The inflated gasoline prices exacerbate the financial burden on vulnerable citizens, further entrenching their exploitation.
In conclusion, the NNPCL’s disclosure underscores the urgent need for transparency, accountability, and regulatory oversight within Nigeria’s energy sector. Dangote Refinery must be compelled to provide a detailed account of its production costs, while the NNPCL should strive to negotiate more competitive pricing. Furthermore, the government must establish an independent regulatory body to oversee pricing mechanisms and safeguard consumers from exploitation. Only through these measures can Nigeria truly realize the potential of domestic refining and ensure affordable energy access for all its citizens.
Chief Peter AmehNational Secretary, CUPPFormer National Chairman, IPACEx-Presidential Candidate