Even though the Dangote refinery just lowered its fuel prices, drivers might not see cheaper petrol right away due to existing stock. That’s what the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) is saying.
Billy Gillis-Harris, who leads PETROAN, explained this during a TV interview on Arise TV on Saturday. The Dangote refinery had just dropped its wholesale petrol price from N950 to N890 per litre.
While Gillis-Harris thinks the price drop is good news, he explained that fuelling stations can’t lower their prices yet because they’re still selling fuel they bought at the higher price.
“You can’t see it immediately, because we’ve already bought products,” Gillis-Harris said.
Read Also: Dangote refinery reduces petrol ex-depot price to N890
“We’ve already purchased different kinds of products that’s in our retail outlet now at the price which it was prior to the change this evening.”
“So the moment we lose N60 in that transaction, we are out of business. So we have to keep that product.”
“But the only thing that we will advocate is that any one of us that starts buying products from Dangote at that price from tomorrow, Sunday, should endeavour to reflect that price in their retail outlets.”
Gillis-Harris mentioned that PETROAN is now working closely with both the Dangote refinery and MRS, a major retailer. “So that is going to really help also in making sure that our retail outlets sell products at a uniform price,” he said. “And that relationship will certainly ensure that petroleum product is available in all the nooks and crannies of this country.”
He added that Nigeria is doing better at keeping fuel available across the country. As local refineries start operating, Nigeria might not need to import as much fuel.
On the same day, PETROAN announced that its members have started getting fuel supplies from two Nigerian refineries in Port Harcourt and Warri.
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