Suara Sherif
Dangote Petroleum Refinery is expanding its free fuel delivery initiative to more parts of Nigeria, adding Kano, Imo, Anambra and Nasarawa to the programme after initially covering six other locations.
The expansion brings the number of locations covered by the initiative to 10, including Lagos, Ogun, Rivers, Kaduna, Abuja, Delta, Kano, Imo, Anambra and Nasarawa.
The initiative is aimed at bringing refinery-supplied petroleum products closer to independent marketers while reducing transportation costs that can add to the price of fuel before it reaches consumers.
By absorbing delivery expenses, Dangote Refinery is seeking to reduce one of the major costs within Nigeria’s downstream petroleum distribution chain.
The approach could also create more room for marketers to offer petrol at lower prices, depending on how much of the savings is passed through to consumers.
Fatima Aliko Dangote, Group Executive Director for Commercial Operations, said the objective was to ensure that the benefits of domestic refining translate into tangible savings for businesses and consumers.
The broader rollout comes as Nigeria continues to seek ways to maximise the benefits of domestic petroleum refining and reduce reliance on costly fuel distribution arrangements.
The impact of the initiative will ultimately depend on how the savings from lower transportation costs move through the supply chain. If the benefits are passed on to
