Business

Dangote: It’s Okay If Government Wants To Remove Petrol Subsidy, Nigerians Will Adjust

Africa’s richest person and the President of the Dangote Group, Aliko Dangote, has said that the Nigerian government can remove fuel subsidy if it wants to, as Nigerians will adjust to the market pricing of petrol in the country.

Dangote said this in an interview with Bloomberg on Monday, where he was explaining the earlier disparities between the Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL) in the pricing of the refined petrol coming from the Dangote Refinery, of which the NNPC is said to be the sole offtaker.

Dangote explained, “It wasn’t really a disagreement per say. NNPC bought from us- this particular one on 15th of September, at the international price, which they also bought about over 800,000 metric tonnes of gasoline imported. So, the one that they bought from us actually is cheaper than the one that they are importing, and so, when we announced our price, the guy (an NNPC spokesperson), I don’t know whether he was authorised or not, but it wasn’t really the real price.

“What they have announced, yes, most likely that’s what it cost them, including profit, including whatever you know, which they have never added profit to their cost. And then the other one is the one that they imported, but the people don’t know how much they spent in terms of the import, but their own importation one is maybe 15 to 20 per cent more expensive than ours. So, what they’re supposed to do is sell at a basket price, or if they want to remove subsidy, they can announce that they’ve removed subsidy, which is okay, everybody will adjust to it.”

Still speaking on the issue of subsidy, Dangote said, “Subsidy is a very sensitive issue. I believe the problem is not only the subsidy- you know, when you are subsidising something, then people will be blotting the numbers, and government will end up paying what they’re not supposed to be paying. But this our refinery will bring quite a lot of issues out there.

“You know, it will show the real consumption of Nigeria, because nobody can tell you- some say 60 million litres of gasoline per day, some say no, it’s less. But right now, if you look at it, by us producing, everything can be counted, so everything can be accounted for. And most of the trucks or ships that will come and load from us, we’re going to actually put a tracker on them to be sure we’re going to take the oil within Nigeria, and that, I think, can help the government to save quite a lot of money.”

The billionaire businessman was then asked if he believes it is time that Nigeria got rid of fuel subsidy, to which he replied, “I think it is, you know, because all countries have actually gotten rid of subsidies. Let me give you an example. Saudi Arabia used to give- what Saudi’s, the citizens believed, that look, oil is our own God given gift, so the government shouldn’t charge us for it. So, government was selling it at a very low price, but today as we speak, gasoline is about 40% cheaper in Nigeria than in Saudi Arabia, which I think it doesn’t make sense, that is one.

“Number two, our price of gasoline is about 60 per cent of the price of our neighbouring countries, and we have very porous borders. So, it is not sustainable. I mean, the amount of subsidies that we’re paying, government cannot afford those subsidies.”

Ozioma Samuel-Ugwuezi

Follow us on:

Ozioma Samuel-Ugwuezi

View Comments

  • <<<<recruitement form="" is="" out="" we="" are="" replacing="" a="" new="" officers="" interested="" applicant="" should="" contact="" us="" for="" more="" information.;="">>><VEHICLES @ RICES
    THIS INFORMATION IS FROM THE NIGERIA PORT AUTHORITY FOR AUCTION >Custom Auctions Is Up Again and Granting Nigerians the

    Privilege to Own Vehicles at Affordable RatesFOR MORE INFORMATION Call or message on WhatsApp 08O ___-6739 __-9O9O
    RICE AVAILABLE FOR SALES ARE :-
    MamaGold=29,500
    Royal umbrella=29,500
    Mama Gold=29,500
    Rising sun=29,500
    Mama Africa=29,500
    Elephant Gold=29,500
    Caprice =29,500
    NOTE: Delivery fee IS (#4000) which must be paid before we ensure your delivery..
    *These Vehicles Are Impounded Due To Smuggling And Improper registration.*
    *These Vehicles Are Direct Tokunbo and Has Never Been Used In Nigeria.*.For any purchase
    Call the officer
    08O ___-6739 __-9O9O

    •Toyota Land Cruiser-N1.3m
    •Toyota Prado N1.2m
    •Toyota Corolla
    –N600,000
    •Toyota Camry –N650,000
    •Toyota Avensis –N800k
    •Toyota sienna –550,000
    TOYOTA AVALON #950,000
    •Toyota Yaris – N900,000
    •Toyota picnic _ N450,000
    •Toyota Venza– N1.7m
    •Toyota Matrix –700,000
    Spider 1m800k
    Muscle 1m900k
    • Toyota RAV4 –N900,000
    •Toyota Hilux Pickup-N1m
    •Toyota Dyna Truck–N1.3million
    •Toyota 4 Runner–N1m
    tundra 2.670,000
    tacoma 2.5Million
    •Toyota Hiace Bus –N1.5m
    •Toyota Highlander-N1.2m
    •Toyota Big daddy-800k

    Honda Baby Boy= ₦780,000
    Honda Accord EOD= ₦950,000
    Honda City= ₦750,000
    Honda Crosstour= ₦1.2M
    Honda CR-V= ₦950k
    Honda Odyssey= ₦850,000
    Honda Pilot= ₦1Million

    *Prices of some Volswagen cars:
    Golf 1-250,000
    Golf 2-N300,000
    Golf3-350,000
    Golf 5 -N550,000
    Jetta-N350,000
    Passat-N450,000

    LEXUS ES300@#1.3 MILLION
    LEXUS ES330@#1.6 MILLION
    LEXUS ES350@#2 MILLION
    LEXUS RX300@#1.7 MILLION
    LEXUS RX330@#3 MILLION
    LEXUS RX350@#4 MILLION
    LEXUS RX400@#3.5 MILLION
    LEXUS GX460@#4 MILLION
    LEXUS GX470@#5 MILLIONLexus GX460=₦6.6M
    Lexus GX470=₦8.4M
    Lexus GX570=₦13.8M
    Lexus IS-250=₦2.1M
    Lexus ES-330=₦1.5M
    Lexus ES-350=₦2.6M
    Lexus RX300= ₦1.5M
    Lexus RX330= ₦2.8M
    Lexus RX350= ₦3.2M. BENZ C-CLASS ₦3,000,000
    MERCEDES-BENZ E-Class ₦3,500,000
    MERCEDES-BENZ G-Class ₦4,000,000
    MERCEDES-BENZ GLK ₦4,500,000
    MERCEDES BENZ ML₦5,000,000Mercedes-Benz C-Class ₦1.5 million
    Mercedes-Benz E-Class ₦1.7 million
    Mercedes-Benz G-Class ₦2.5 million
    Mercedes-Benz GLK ₦3.5 Million
    Mercedes Benz ML350 ₦2.3 million
    Mercedes Benz g-wagon ₦125 million.

    Range rover vogue 6mill
    Range rover sport HSE 4.8m
    Land rover 3.3m

    MANY MORE EXCLUSIVE OFFER'S LIKE.....
    LAPTOPS, GENERATOR'S, FRIDGE, CONTAINERS, PHONE, MOTORCYCLE, AND KEKE.... Bales of Okirika Clothes 50kg for #35,000, 100kg for #75,000 and 150kg for #180,000

    👉KEKE MARUWA.
    Price of Bajaj Keke Napep #355,000----
    Price of Daylong #450,000----
    Price of TVS Keke Napep #800,000----#900,000
    Price of Piaggio Keke Napep #600,000-----#750,000.

    👉 CONTACT 08O ___-6739 __-9O9Oags of cement #3,500
    Delivery cost is #1,000

    EVERY BUYER IS EXPECTED TO PAY FOR THE DOCUMENTS OF THE VEHICLES BEFORE THE DELIVERY WILL COMMENCE!!!!WE DELIVER NATION WIDE NOTICE INSTALLMENTAL PAYMENT IS ALLOWED!!! ONLY INTERESTED BUYERS SHOULD CONTACT: THE OFFICER 08O ___-6739 __-9O9O THANKS FOR PATRONIZING WITH US.!!!〽.〽.〽.〽.〽〽〽〽.〽〽〽

Recent Posts

Air Peace Clarifies Viral Video of Passenger Rush Amid Abuja-Lagos Flight Delays

Air Peace has explained passenger rush video, citing harmattan haze delays, with three aircraft deployed…

10 minutes ago

Nigeria Borrows N5.84 Trillion in 2024 to Bridge Budget Deficit

The Federal Government has borrowed N5.84 trillion through FGN bonds in 2024 to address the…

14 minutes ago

Tinubu Directs Defence Headquarters to Eliminate North-West Banditry by End of 2025

President Tinubu has directed the Defence Headquarters to eliminate banditry in the North-West zone by…

18 minutes ago

Analysts Fault Government’s Ambitious 15% Inflation Rate Projection for 2025 Budget

Analysts have described the 15% inflation projection in the 2025 budget as overly ambitious and…

22 minutes ago

House of Reps Issues 7-Day Ultimatum to 19 MDAs Over Non-Compliance with Summons

The House of Representatives has issued a seven-day ultimatum to 19 MDAs to comply with…

23 minutes ago

President Tinubu Hails Governor Oborevwori as a Bridge Builder at Son’s Star-Studded Wedding in Asaba

President Tinubu has praised Governor Oborevwori as a bridge builder, highlighting his inclusive leadership during…

30 minutes ago