Tinubu will not get involved in Dangote and NNPCL fuel price disagreement – Presidency

On Wednesday, September 25, the Presidency announced that President Bola Tinubu will not step in to help resolve the ongoing fuel price disagreement between Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL).

Bayo Onanuga, the Special Adviser to the President on Information and Strategy, shared this information with reporters at the presidential villa in Abuja. He explained that both companies operate independently in a market that is not controlled by the government.

Onanuga mentioned, “The PMS (Premium Motor Spirit) field, the PMS regime, has been deregulated. Dangote is a private company. NNPCL should not forget it’s a limited liability company.”

He emphasized that the issues between Dangote and NNPCL are their own, saying, “Whatever controversy both of them are having is their problem.” He added that even though NNPCL is owned by the government, it operates like a private business.

Onanuga explained that if consumers find NNPCL or Dangote’s prices too high, they can look for cheaper fuel from other suppliers. He noted, “It’s the consumer who benefits if a price war starts.”

Instead of intervening in the fuel price disagreement, the government plans to support alternative energy options, like Compressed Natural Gas (CNG), which is much cheaper for consumers. Onanuga pointed out that CNG costs about N230 per liter, while petrol is around N850 per liter.

He said, “Government wants to make sure that Nigerians have a choice. If you don’t want to use PMS, you can use CNG.” He also mentioned that many transporters in cities like Lagos and Ibadan are already switching to CNG.

Onanuga highlighted the government’s goal of having about a million vehicles running on CNG and plans to help private vehicle owners with the costs of converting their cars.

He also discussed how the government is encouraging states to develop urban transportation systems to lower transportation costs. “Any modern city should have an urban transport system,” he said, adding that currently only Lagos has such a system.

He concluded by stating that the government has plans to assist states in creating better transportation options for everyone.