Nigeria’s oil industry is once again facing heated debates, as the Dangote Group and the Independent Petroleum Marketers Association of Nigeria (IPMAN) lock horns over allegations of hidden fuel subsidies.
The controversy began when Dangote Refinery suggested that marketers were benefiting from an unofficial subsidy regime. In response, IPMAN strongly rejected the claim, insisting that no subsidies exist in the downstream petroleum sector since President Bola Tinubu announced the end of subsidies in 2023.
Marketers argue that the price Nigerians currently pay for petrol reflects market realities, driven by global crude oil costs, exchange rates, and refining expenses. They maintain that accusing them of benefiting from subsidies is misleading and could cause unnecessary tension in the industry.
On the other hand, the Dangote Group insists that the fuel market remains distorted, pointing to discrepancies between international market prices and local pump prices. The company’s representatives argue that unless pricing mechanisms are fully transparent, the sector cannot function efficiently.
This dispute comes at a sensitive time for Nigerians, who are struggling with rising fuel prices and inflation. Many citizens worry that continued uncertainty in the oil sector could worsen living conditions and threaten economic stability.
Analysts note that the conflict highlights a deeper issue—Nigeria’s overdependence on imported petroleum products. Even though the Dangote Refinery is expected to reduce this reliance, the facility is still ramping up production. Until it is fully operational, Nigeria will remain vulnerable to international oil price fluctuations.
Industry experts are calling for dialogue between all stakeholders—refiners, marketers, regulators, and the government—to ensure transparency and fairness. Without clarity, mistrust will continue to fuel disputes, and ordinary Nigerians will bear the burden.
As the debate rages on, one fact is clear: the future of Nigeria’s energy sector depends not only on new infrastructure like the Dangote Refinery but also on building trust among industry players and ensuring policies that protect citizens.