Dangote Refinery free petrol delivery wins over marketers, IPMAN seeks northern expansion

Independent petroleum marketers have praised Dangote Petroleum Refinery's free petrol delivery initiative, saying it can ease operational pressures, improve cash flow and help drive down pump prices across Nigeria. The praise follows the refinery's expansion of the programme to Imo, Anambra and other states.

Marketers: free delivery reduces financial strain

According to the Independent Petroleum Marketers Association of Nigeria (IPMAN), the arrangement could significantly cut the financial strain of sourcing and transporting petroleum products. IPMAN National Publicity Secretary and Public Relations Officer, Chinedu Ukadike, said the initiative makes products more accessible to consumers and helps independent marketers avoid delays that tie down working capital.

He explained that marketers sometimes pay upfront for petroleum products but wait days or weeks before their orders are loaded. Such delays leave funds locked up and create extra financial pressure on businesses.

"This gesture, if sustained, will be able to alleviate the sufferings of independent marketers," Ukadike said.

Lower logistics, cheaper pump prices

Ukadike said Dangote Refinery's approach has made distribution easier and faster, letting marketers recover investments more quickly. He pointed to potential benefits for consumers, saying lower transportation and logistics costs could translate into cheaper petrol at filling stations. Reduced long-distance haulage also minimises the risks of moving petroleum products across the country.

"You also have less risk, and you have petroleum products at your doorstep," he said, adding that lower refinery prices could encourage independent marketers to cut their own pump prices.

IPMAN wants scheme extended to northern states

Despite the applause, IPMAN urged Dangote Refinery to expand the free delivery scheme to more parts of the country, particularly northern states. Ukadike said wider coverage would promote uniformity in petrol prices and reduce regional disparities caused by transportation costs.

"We are also appealing to them to extend it further to other states, especially those in the northern areas, so that petroleum products will be bought uniformly," he said.

He described the development as one of the benefits of deregulation and competition in Nigeria's downstream petroleum sector. "This is the beauty of deregulation and competition," Ukadike said.

Broader expansion already underway

Dangote Refinery has expanded its free petrol delivery programme to 10 states and the Federal Capital Territory, giving fuel marketers cheaper access to locally refined Premium Motor Spirit (PMS). The latest expansion follows the refinery's reduction of its petrol ex-depot price to ₦1,165 per litre, down from ₦1,215. The ₦50 cut took effect on August 6, 2026.

What it means for consumers and businesses

For Nigerian businesses and consumers, the combination of free delivery and lower ex-depot prices could reduce the landed cost of petrol and support more stable retail prices. If the scheme reaches northern states, marketers in those regions may finally sell PMS at prices closer to what southern buyers pay, easing the burden of long-haul logistics.