The Federal Government announced on Friday that an agreement has been reached with Dangote Refinery on petrol supply and pricing, paving the way for the commencement of supply on Sunday.
The Nigerian National Petroleum Company (NNPC) Limited will remain the sole off-taker of petrol from the refinery, with other marketers obtaining the product from NNPC.
Zacch Adedeji, Chairman of the Federal Inland Revenue Service and member of the Presidential Committee on the Sale of Crude Oil and Refined Products, disclosed this information in Abuja.
He stated that all agreements have been finalized, and the loading of the first batch of Premium Motor Spirit (PMS) from Dangote Refinery will begin on Sunday, September 15.
Adedeji revealed that Dangote Refinery will supply PMS and diesel of equivalent value to the domestic market, payable in Naira. He also announced that NNPC Limited will commence supplying 385,000 barrels of crude oil to Dangote Refinery on October 1, 2024, payable in Naira.
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The committee’s decisions include the sale of diesel in Naira by Dangote Refinery to interested off-takers, while PMS will only be sold to NNPC. NNPC will then sell to various marketers. All associated regulatory costs will also be paid in Naira.
This agreement is expected to alleviate the severe petrol shortage across the country and enable the government to continue subsidizing the product.