The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has raised alarm over what it describes as the unchecked expansion of Dangote Petroleum Refinery into product distribution, warning that the move threatens the survival of thousands of marketers, depot owners, and transporters across the country.
Speaking on The Morning Brief on Channels Television on Tuesday, PETROAN President, Billy Gillis-Harry, urged the Federal Government and regulators—especially the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA)—to intervene before the initiative leads to widespread job losses and monopolistic control.
“If one company as massive as our brother’s (Aliko Dangote) is allowed to do all of this, it’s going to drive us out of business,” he said, referring to Dangote Refinery’s decision to commence free delivery of petrol and diesel to marketers, large-scale users, and retail stations nationwide beginning August 15, 2025.
Dangote Refinery, which announced the initiative on Sunday, June 15, also revealed it had procured 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers and would offer a credit facility to buyers of at least 500,000 litres—enabling them to receive an additional 500,000 litres on two-week credit backed by a bank guarantee.
But Gillis-Harry cautioned that such moves could “asphyxiate” smaller players in the downstream sector, particularly depot operators and truck owners who currently serve multinationals and corporate clients.
“There are rules for that,” he said. “We don’t think one company should take it upon itself to interpret and operationalise regulatory mandates. That’s the job of regulators. We need the NMDPRA to efficiently interpret and enforce the Petroleum Industry Act (PIA) to protect all operators—especially the jobs of tanker drivers and owners.”
He expressed concern that the refinery failed to consult industry stakeholders, including marketers and logistics operators, before unveiling such a sweeping initiative.
“We’re barely managing to survive as it is. Now we’re being told we might be out of business by August. That affects retail outlet owners, transporters, and thousands of jobs created in this sub-sector,” he lamented.
Rejecting what he termed a “winner-takes-all” model, the PETROAN president stressed the need for inclusive growth.
“We don’t want one strong man—we want many strong men. Competition is welcome, but it must allow everyone to win and ultimately benefit Nigerians,” he said.
Gillis-Harry added that PETROAN is already exploring alternative product sourcing options for its members and called for industry-wide dialogue.
“There’s a functioning Petroleum Industry Act that governs the sector. Pricing is regulated under Section 207, and licensing has clear procedures. If you’re licensed to refine, refine. Those licensed to distribute should distribute, and those with permits for retail should serve consumers.”
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They don’t want Dangote to distribute petroleum and gasoline because they extort both the Government and the Public through the distribution process.