IPMAN Urges Dangote Refinery to Expand Direct Fuel Deliveries to Northern States

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Independent petroleum marketers want Dangote Refinery to take its direct fuel supply model farther north—saying wider distribution could help narrow pump-price differences across Nigeria.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has appealed to the Dangote Petroleum Refinery to extend its direct petroleum product deliveries to more states, particularly in northern Nigeria.

The association believes broader access to products closer to retail markets could reduce transportation costs, ease supply bottlenecks and help create more consistent pump prices nationwide.

IPMAN National Publicity Secretary and Public Relations Officer, Chief Chinedu Ukadike, made the appeal in a voice message circulated to journalists in Abuja.

IPMAN Praises Dangote’s Distribution Initiative

Ukadike welcomed the refinery’s decision to extend its free petroleum product distribution initiative to states including Imo and Anambra.

He said the arrangement was helping independent marketers overcome some of the logistical and financial difficulties associated with sourcing products.

One major problem, according to the IPMAN spokesman, has been delayed loading after marketers have already paid for petroleum products.

Such delays can tie up marketers’ funds for days or even weeks while they wait for their products to be released and transported to their markets.

The refinery’s direct-delivery approach, he said, has made the process more efficient and allowed some marketers to recover their investments faster.

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Direct Delivery Could Reduce Haulage Pressure

Another benefit highlighted by IPMAN is transportation.

When petroleum products are delivered closer to where they are needed, marketers do not have to move them over unnecessarily long distances before reaching retail outlets.

That can reduce exposure to haulage-related costs and risks.

Ukadike said the effect was already being reflected in retail pump prices in areas benefiting from the arrangement.

He therefore urged Dangote Refinery to extend the initiative to additional states, particularly across the northern region.

IPMAN’s argument is straightforward: the closer the product is to the final market, the fewer distribution costs marketers have to absorb before fuel reaches consumers.

PENGASSAN Calls for More Oil and Gas Investment

Meanwhile, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has called on the Federal Government to maintain momentum on reforms aimed at attracting investment into the oil and gas industry.

The union made the call in a communiqué issued after its 5th PENGASSAN Energy and Labour Summit in Abuja.

The communiqué was signed by PENGASSAN President Comrade Festus Osifo and General Secretary Comrade Jerry Amah.

The union said recent reforms and incentives that have encouraged fresh investment and Final Investment Decisions should be consolidated rather than reversed.

It also urged the government to keep Nigeria competitive enough to attract international capital.

IPMAN Urges Dangote Refinery to Expand Direct Fuel Deliveries to Northern States
IPMAN Urges Dangote Refinery to Expand Direct Fuel Deliveries to Northern States

PENGASSAN Wants an Integrated Gas Strategy

A major focus of the union’s recommendations was natural gas.

PENGASSAN called for a coordinated national strategy covering the entire gas value chain, including:

  • Upstream gas supply.
  • Processing facilities.
  • Pipelines.
  • Storage infrastructure.
  • LNG.
  • LPG.
  • CNG.

The union also called for commercially sustainable gas pricing, reliable offtake agreements and financially credible customers capable of supporting investment in the sector.

It wants Nigeria to make greater use of its gas resources for electricity generation, manufacturing, transportation, fertiliser production, petrochemicals and household cooking.

At the same time, the union urged stronger action against routine gas flaring and methane emissions so that resources currently being wasted can be converted into economic value.

Union Backs More Domestic Refining

PENGASSAN also urged the government to maintain policies supporting the expansion of Nigeria’s domestic refining capacity.

The union argued that Nigeria loses economic value when it exports crude while importing substantial quantities of refined petroleum products.

It called for greater protection and support for domestic refineries, including Dangote Refinery, Waltersmith Refinery and other facilities operating within the country.

The broader objective, according to the union, should be to retain more value from Nigeria’s petroleum resources through refining, petrochemical production, gas processing and other downstream activities.

Such expansion could create jobs, reduce pressure on foreign exchange and support wider industrial development.

PENGASSAN Demands Stronger Worker Protection

The union also addressed labour issues, stressing that employers and workers should be treated as complementary parts of the industry’s growth rather than opposing interests.

It called for more effective enforcement of expatriate quota rules, arguing that foreign workers should primarily be deployed where genuine technical skills shortages exist.

PENGASSAN further wants expatriate employment to include measurable knowledge transfer, understudy arrangements and succession plans that prepare qualified Nigerians to take over those roles.

Host Communities Must Have a Stake

The summit also reaffirmed the importance of host communities in the development of Nigeria’s petroleum industry.

PENGASSAN called for effective implementation of the Host Communities Development Trust provisions under the Petroleum Industry Act (PIA).

The union’s position is that communities in oil-producing areas should participate meaningfully in petroleum development rather than simply bear the environmental and social consequences of extraction.

Two Pressures, One Industry

The positions taken by IPMAN and PENGASSAN address different parts of Nigeria’s petroleum challenge.

IPMAN is focused on getting refined products to consumers more efficiently and reducing distribution pressures. PENGASSAN is looking further upstream and across the wider value chain, pushing for investment, domestic refining, gas development and stronger local participation.

Together, their calls highlight a broader objective for Nigeria’s petroleum sector: produce more locally, move products more efficiently, retain greater value at home and ensure that the benefits reach businesses, workers and consumers.

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