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Free petrol delivery launched by Dangote Refinery for 10 Nigerian states

The Dangote Refinery has broadened its free petrol delivery program to ten states, reducing ex-depot prices to ₦1,165 per litre.

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By NigerianNewsFeed NewsDesk Admin
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Free petrol delivery launched by Dangote Refinery for 10 Nigerian states
Dangote Refinery expands free petrol delivery to more Nigerian states. Images — Photo: Legit

In a significant move to enhance fuel accessibility and affordability, the Dangote Petroleum Refinery has expanded its free petrol delivery program to ten states and the Federal Capital Territory, Abuja. This initiative aims to provide fuel marketers with cheaper access to locally refined Premium Motor Spirit (PMS) while also reducing the ex-depot price to ₦1,165 per litre, down from ₦1,215. This price adjustment took effect on August 6, 2026.

The refinery's free delivery scheme is designed to alleviate transportation costs that fuel marketers typically incur when transporting petrol from the refinery to various destinations. By covering these costs, Dangote Refinery hopes to enable fuel distributors to offer more competitive prices at the pump, potentially benefiting consumers in the long run.

The expanded delivery program now includes the following states:

  • Lagos State
  • Ogun State
  • Rivers State
  • Kaduna State
  • Delta State
  • Kano State
  • Imo State
  • Anambra State
  • Nasarawa State
  • Federal Capital Territory, Abuja

This marks a significant broadening of the refinery's distribution strategy, which previously covered only six locations: Lagos, Ogun, Rivers, Kaduna, Delta, and Abuja. The inclusion of states from various regions, including the South-West, South-South, South-East, North-West, and North-Central, reflects the refinery's commitment to enhancing its reach across the country.

To qualify for the free delivery service, bulk fuel buyers must purchase a minimum of 250,000 litres. In addition to free transportation, these eligible marketers are offered a 10-day credit facility, allowing them more time to settle their payment obligations after receiving their fuel deliveries. This arrangement is particularly beneficial for distributors located far from the refinery in Lagos, where transportation and logistics costs have historically contributed to price disparities across different states.

The recent price cut of ₦50 per litre is part of the refinery's broader efforts to improve energy affordability and expand access to refined products. Diesel prices have also seen a reduction, now at ₦1,570 per litre, down by ₦80. While these changes are expected to intensify competition among fuel suppliers, the final pump prices will still depend on various factors, including the marketer's location and operating costs.

Moreover, the recent adjustments highlight the growing price advantage of locally refined fuel over imported alternatives. According to the Major Energies Marketers Association of Nigeria (MEMAN), the spot landing cost of PMS reached ₦1,218.54 per litre as of August 13, indicating that importing petrol has become more expensive than purchasing from Dangote Refinery.

As the Dangote Refinery continues to implement these changes, the Nigerian petroleum market may witness a shift towards greater competition and improved pricing structures, ultimately benefiting consumers across the nation.

Sources

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