Independent fuel marketers across Nigeria have begun receiving free fuel deliveries from Dangote Refinery, following the deployment of compressed natural gas-powered trucks designed to cut distribution costs and stabilise pump prices.
The president of the Independent Petroleum Marketers Association of Nigeria (IPMAN) confirmed that marketers in Lagos, Ogun, Ondo and other South-Western states have started taking delivery of petroleum products from the refinery at no transport cost. “Dangote has started the free delivery. Already, the trucks have begun moving and discharging products in most parts of the Western Zone. My members are very pleased with the development,” he said.
Earlier this week, the refinery rolled out more than 1,000 trucks from a fleet of 4,000 CNG-powered vehicles ordered from China. Although the programme was originally slated to commence on August 15, shipping delays pushed back deployment. The remaining trucks are expected to arrive before October, further strengthening distribution capacity across the country.
According to IPMAN, the logistics-free supply will be accessible only to registered marketers. Registration, however, remains open through an online portal, making it possible for more marketers to participate. “If you don’t register, your name will not appear on the system. But registration is straightforward and can be done anytime,” the IPMAN president explained.
The initiative is already showing signs of reducing fuel prices. Pump prices, which had averaged 865 naira per litre, are projected to drop to around 841 naira once deliveries spread to more regions. “Prices have started coming down already. Wherever the refinery discharges, independent marketers reduce their pump prices accordingly,” he noted. Some filling stations, including outlets operated by MRS, have already adjusted their prices downward in line with the new supplies.
Dangote Refinery’s strategy of direct distribution to marketers aims to bypass middlemen, cut transportation expenses, and ease the burden on motorists who have struggled with high fuel costs since the removal of subsidy in 2023. Stakeholders say the free delivery system could mark a significant shift in the downstream oil sector, offering marketers cheaper access to products while ensuring consumers benefit from more stable and affordable fuel prices.