Yakubu Suleiman: Dangote Must Engage Industry Stakeholders Directly, Offer Fair Pricing To Make Fuel Affordable For Nigerians

The National Assistant Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Yakubu Suleiman, has raised concerns about the lack of collaboration between Dangote Refinery and key industry stakeholders.

Speaking in an interview with ARISE NEWS on Friday, Suleiman highlighted IPMAN’s interest in sourcing fuel from the newly operational Dangote facility but expressed reservations over pricing and lack of direct engagement with marketers.

Suleiman emphasised IPMAN’s willingness to work with Dangote, but expressed concern over a perceived lack of engagement with key stakeholders.

“Like every Nigerian, IPMAN is happy for Dangote and his refinery, which is very strategic to the country,” Suleiman said. “IPMAN, as a stakeholder in the industry, is very happy to work with Dangote and buy products from him, but the conditions must be right. Examples include the price he is offloading at and the ease of loading.”

Suleiman highlighted a perceived disconnect in Dangote’s approach to involving essential industry stakeholders. “Dangote should change his model of engagement. He doesn’t seem to engage real stakeholders like marketers and regulators; instead, he’s using the political class and public opinion to gain sympathy. As a businessman, I find that surprising,” he noted.

According to Suleiman, IPMAN, along with other associations such as the Major Oil Marketers Association of Nigeria (MOMAN) and the Depot and Petroleum Products Marketers Association of Nigeria (DAPMAN), should have been invited for discussions.

“As IPMAN, Dangote was supposed to have invited us for engagements—not just IPMAN, but all stakeholders, including MOMAN and DAPMAN. Unfortunately, until this moment, there has been no engagement,” he explained.

“It’s only IPMAN that has tried to engage him. We went to Dangote about three to four times seeking a meeting to discuss synergy between IPMAN and Dangote, but all to no avail. Most times, he tells us he will get back to us.”

Suleiman expressed disappointment that the refinery announced its intention to start selling fuel directly to marketers without engaging IPMAN formally.

“It’s surprising that in his press conference, we heard him say he’s calling for members to come and load products. That’s not what we do as IPMAN. As a body, we try to regulate and advise our members on which depot they should go to for loading products,” he said.

Price transparency and competition were central concerns, particularly in a deregulated market. “We don’t know the pricing, and remember, we are in a deregulated economy. We cannot allow someone to monopolise the system—that’s not what deregulation is supposed to be,” Suleiman argued.

He stressed that Dangote should set daily prices and work with stakeholders: “Prices are governed by international standards. He should announce every day what the selling price is, but he can’t do that without engaging the stakeholders.”

Highlighting the importance of competitive pricing, Suleiman stated, “If Dangote has a product selling for N1,000, let’s assume, and there’s another place selling for N900, we can’t just say, for the sake of our relationship with Dangote, that we’ll instruct our members to buy there. We must go where the price is lower, where we’ll get profit.”

Suleiman pointed out that Dangote’s fuel prices have been relatively high compared to other suppliers. “As of last week, Dangote’s price was higher than other places.

“Crude prices are coming down internationally, but Dangote’s rate was N995 per litre, and you have to arrange for your own cargo and loading. With additional costs for transport and depot fees, how can we sell it at the final outlet?” he asked.

“We have to pity Nigerians. IPMAN is trying its best to support the country, especially at this difficult time when people are suffering. We want to source cheaper products to sell at affordable prices for the people.”

The lack of engagement has financial implications for IPMAN members, who often have high operational costs, including freight and depot charges.

“When we buy at higher prices, we’re forced to sell at higher rates, which people don’t expect, and they start blaming IPMAN,” Suleiman noted.

“If people understood the dynamics, they would appreciate IPMAN because independent petroleum marketers are truly patriotic to Nigerians.”

IPMAN also called on Dangote to arrange a formal stakeholder meeting with IPMAN, MOMAN, and DAPMAN. “What we are asking Dangote to do is to call a stakeholders’ meeting. Let him engage with IPMAN, MOMAN, and DAPMAN so that we can sit down and serve Nigerians,” Suleiman urged.

“He can’t do business in isolation—he needs people, especially IPMAN, as we are the biggest off-takers in this industry.”

Suleiman concluded with a reminder of IPMAN’s support for the refinery and its contributions to Nigeria’s energy independence. “As IPMAN and as Nigerians, we are the happiest to have Dangote’s company in Nigeria, especially such a massive refinery. It’s a great achievement, and as we’ve said before, we’re 100% behind this development.”

However, Suleiman emphasised that IPMAN would continue to prioritise cost-effective purchasing to benefit Nigerians. “We’re not importing; we buy products at various depots where prices are cheaper, and then advise our members on which depot is best for purchasing and distributing at approved government prices,” he said.

Suleiman clarified that recent depot prices have been steep. “The last bulk price from the depot was N1,025, not directly to IPMAN or retail outlets, but to depot owners, who have to cover freight and other charges to bring the product to their depots. So by the time it reaches their depots, it’s already N1,025,” he explained.

“If Dangote sold directly to IPMAN at a fair price, fuel costs would have come down in Nigeria by now. We’d go straight to his refinery, pay N995 or N900, and transport it directly to our filling stations. I challenge you—if Dangote did this, you would see prices drop at our retail stations within days,” he said.

Boluwatife Enome

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