IPMAN Warns Fuel Prices May Rise As Dangote Sells In Dollars

Independent petroleum marketers have warned that pump prices could rise if Dangote Refinery sells petrol and diesel in dollars instead of naira.

The warning followed reports that the refinery had suspended naira sales of gantry-refined petroleum products, putting fresh pressure on the naira-for-crude arrangement with the Federal Government.

Daily Post reported that IPMAN spokesperson Chinedu Ukadike said dollar pricing would expose petrol and diesel prices to exchange rate pressure. He urged the Federal Government, including the presidential committee handling the naira-for-crude arrangement, to intervene before retail prices climb.

Daily Trust also reported concern over possible petrol price increases and renewed pressure on the naira if refined products from the refinery are sold in US dollars.

For consumers, the concern is direct: if marketers buy in dollars while selling in naira, depot prices and pump prices can move quickly.

Sources: Daily Post, Daily Trust