The Independent Petroleum Marketers Association has confirmed that their members are already moving away from the Nigerian National Petroleum Company Limited franchise for cheaper deals.
This is amid the state-owned oil firm and Dangote Refinery’s price war.
The spokesperson of IPMAN, Chinedu Ukadike, made this known on Tuesday.
DAILY POST observed that filling stations in Lagos, specifically located around Wawa on the Lagos-Ibadan Expressway, as well as at Ibafo, still along the busy road, have dropped the name of NNPCL.
It could be recalled that Dangote Refinery, in a strategic move, recently reduced its ex-depot premium motor spirit price to N850 from N950 per litre. The announcement sparked a fresh price war in the downstream sector.
Consequently, it was learnt that petroleum marketers are relinquishing their licence with NNPCL due to a reduction in the price of PMS from Dangote Refinery.
Giving perspective to the development, Ukadike explained that marketers are rebranding and changing their companies’ name from NNPCL because the state-owned oil firm is no longer the sole importer of fuel, and marketers would naturally gravitate to partnership that would yield more returns on investment.
“Some marketers are changing and rebranding. Remember that there was a time NNPCL was the sole distributor and importer of petrol.
“So, marketers then gave their filling stations as franchises so that they could get products.
“So marketers normally give their companies to NNPCL to have petroleum products. But now that the game has changed, you can even see some marketers now changing to MRS filling stations, because MRS is now selling cheaper than any other station,” he stated.
Meanwhile, NNPCL spokesperson Olufemi Soneye is yet to respond to an enquiry on the development as of the time of filing this report.
DAILY POST reports that the kick-off of Dangote Refinery and the recommencement of operations at Port Harcourt and Warri refineries have impacted Nigeria’s oil sector.