DANGOTE DISTANCES DOLLAR POLICY FROM RISING PETROL PRICES

The Dangote Refinery has distanced its decision to sell petrol in US dollars from the recent increase in pump prices, saying the policy is aimed at ensuring operational sustainability rather than directly causing higher costs for consumers.
In a statement issued on Friday, the refinery’s Group Managing Director, Mr. Devakumar Edwin, clarified that the dollar pricing is a response to foreign exchange challenges and is not the primary driver of the current price hike.
“The decision to price in dollars is to protect our operations from forex volatility. It does not directly translate to higher pump prices. Marketers and other factors play a role in determining what consumers pay at the stations,” Edwin stated.
The refinery reiterated its commitment to supporting Nigeria’s energy security and pledged to work with the government and marketers to stabilise fuel supply and pricing. It also called for a more efficient foreign exchange market to reduce the pressure on local businesses.
The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has been engaging with the refinery and marketers to address the concerns of the public. The authority assured that it will continue to monitor pricing to prevent exploitation.
The dollar pricing policy has been widely criticised by consumers and labour groups, who fear it will lead to further increases in the cost of living. The Nigeria Labour Congress (NLC) has called for government intervention to reverse the policy and protect the purchasing power of citizens.
Economic analysts have warned that the continued use of the dollar for domestic transactions could weaken the naira further and complicate monetary policy. They urged the government to find a lasting solution to the foreign exchange crisis affecting the economy.
Dangote Refinery has promised to maintain stable supply and work with all stakeholders to minimise the impact of its pricing policy on the Nigerian consumer.