NNPC Releases Updated Estimates for Petrol from Dangote Refinery
Written by Olakunle Oke on September 16, 2024
The Nigerian National Petroleum Company Limited (NNPC) has unveiled revised estimates for the price of Premium Motor Spirit (PMS), commonly known as petrol, purchased from the Dangote Refinery.
While the projected retail price remains consistent, the NNPC has adjusted the breakdown of costs associated with the transaction. Notably, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) fee has been decreased, and inspection and margin fees have been eliminated. To offset these changes, the distribution fee has been increased.
Furthermore, the NNPC has introduced a new levy, the Midstream and Gas Infrastructure Fund, which will contribute to the development of the nation’s midstream and gas infrastructure.
The revised estimates reflect the NNPC’s ongoing negotiations with the Dangote Refinery, taking into account international gasoline prices and the prevailing foreign exchange rates, in alignment with the provisions of the Petroleum Industry Act (PIA) 2021.
