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NNPC Ltd Refutes Claims of Sole Offtaker Status, Clarifies Domestic Market is Open to Competition

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The Nigerian National Petroleum Company Limited (NNPC Ltd) has responded to a statement issued by the Muslim Rights Concern (MURIC), which claimed that the company’s actions are undermining the Dangote Refinery Limited (DRL) and monopolizing the domestic petroleum market. Specifically, MURIC asserted that NNPC Ltd has become the sole offtaker of products from the Dangote Refinery and that this would prevent the refinery from offering lower fuel prices to the Nigerian market.

In a detailed rebuttal, NNPC Ltd has categorically denied these allegations, clarifying that the company is not the exclusive buyer of products from the Dangote Refinery or any other domestic refinery. The company emphasized that the Nigerian petroleum market operates under a deregulated, competitive framework where market forces determine pricing.

NNPC Ltd stated that the pricing of Premium Motor Spirit (PMS) and other petroleum products from refineries, including the Dangote Refinery, is influenced by global market forces, not by the actions of the NNPC. The recent fluctuations in the pump price of PMS, the statement clarified, are a result of these global dynamics. According to NNPC Ltd, these changes in PMS prices do not hinder the Dangote Refinery or any other domestic refinery from offering lower prices.

If current prices are perceived as high, it presents an ideal opportunity for domestic refineries like the DRL to step in and offer lower-priced alternatives to the Nigerian market,” the NNPC statement read.

NNPC Ltd further reiterated its commitment to a free market environment, highlighting that any domestic refinery, including DRL, is free to sell its products directly to marketers on a “willing buyer, willing seller” basis. In such a deregulated system, no single entity, including the NNPC, can control the entire market.

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“NNPC Ltd has no intention or desire to become the sole distributor for any refinery in a competitive market. The notion of NNPC being the sole offtaker does not arise, as refineries can sell to any marketer,” said Olufemi Soneye, Chief Corporate Communications Officer of NNPC Ltd.

The statement also addressed concerns regarding lower pricing associated with domestic refining. NNPC Ltd explained that there is no automatic guarantee that domestic refining would result in lower prices for consumers. Global parity pricing still applies, and only if market prices outside Nigeria are higher would NNPC Ltd consider fully offtaking PMS from the Dangote Refinery.

NNPC Ltd also pointed out its significant financial stake in the Dangote Refinery, stating, “The NNPC Ltd cannot undermine a business in which it holds a multi-billion-dollar stake.”

In its closing remarks, NNPC Ltd expressed disappointment over MURIC’s claims, suggesting that the advocacy group should have conducted thorough research before making public statements. “As an advocacy group for fair and just treatment, MURIC should have verified the facts before making statements that are entirely flawed and have the potential to incite ordinary Nigerians against NNPC Ltd,” Soneye said.

NNPC Ltd continues to emphasize its commitment to maintaining transparency and fostering a competitive, deregulated petroleum market that benefits all Nigerians.

 

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Gov Dikko, Gawuna, Andishu, Nimrod receives YSFON awards

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Gawuna

 

The Youth Sports Federation of Nigeria, YSFON has conferred the executive governor of Katsina state governor, Radda Dikko with merit award in recognition of  the immense contribution by his led state administration to sports development.

The well attended award conferment ceremony took place last Saturday at Ahmadu Bello stadium Kaduna.

Katsina state commissioner for sports,  Aliyu Lawal Zakari received the award on behalf of the state governor.

Gov Dikko applaud YSFON for its over  four decades of sacrifices and  investments in youths development in Nigeria through sports.

He reassured of his commitment to continue to invest in the development of sports in all areas that will  boost national development.

The immediate past deputy governor of Kano state, Dr Nasiru Gawuna was also on parade as one of the awardees.

Gawuna was decorated  in recognition of his service to YSFON for several years. YSFON said.

The managing director, FreIvan Support Services, Moses Ted Andishu also bagged an award, for his  contribution to sports developments at the grass root level.

Moses, who is a  UK  business mogul and philanthropist, speaking through his representative, Joseph Andishu, who received the award  on his behalf has  reaffirmed his commitments toward supporting laudable projects that will mentor Nigerian youths towards positive innovations and entrepreneurship using sports as the vehicle to pursue his goals to  continue to better the cause of humanity.

The incumbent national president, Nigeria Volleyball Federation, Engineer Musa Nimrod was honorured by YSFON for his tireless support to  sports activities  involving Nigerian youths.

 

 

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Finally NNPC Tackles Dangote, Releases Estimated Pump Prices of PMS from Dangote Refinery.

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The NNPC Ltd has released estimated prices of Premium Motor Spirit (PMS), also known as Petrol (obtained from the Dangote Refinery) in its retail stations across the country.

The NNPC Ltd also wishes to state that, in line with the provisions of the Petroleum Industry Act (PIA), PMS prices are not set by Government, but negotiated directly between parties on an arms length.

The NNPC Ltd can confirm that it is paying Dangote Refinery in USD for September 2024 PMS offtake, as Naira transactions will only commence on October 1st, 2024.

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The NNPC Ltd assures that if the quoted pricing is disputed, it will be grateful for any discount from the Dangote Refinery, which will be passed on 100% to the general public.

The pricing

The pricing

Attached to this statement are the estimated pump prices of PMS (obtained from the Dangote Refinery) across NNPC Retail Stations the country, based on September 2024 pricing.

Olufemi Soneye
Chief Corporate Communications Officer
NNPC Ltd
Abuja

16th September, 2024

 

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Edo 2024:Ribadu threatens to sue PDP chair over election rigging allegation

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Nuhu Ribadu National Security Adviser

 

The National Security Adviser (NSA) Mallam Nuhu Ribadu has demanded retraction of the false and malicious allegation levelled against him by the Edo State chairman of the Peoples Democratic Party (PDP), Anthony Aziegbemi, that he was plotting to rig the upcoming governorship election in the state.

The party chairman had, in a statement widely circulated on Saturday, accused the federal government of scheming to rig the election. He also alleged that the NSA released $2 million to the candidate of the All Progressives Congress (APC) as part of the plot.

But in a letter addressed to the party chieftain dated September 15, 2024, the NSA demanded retraction of what the “totally false” allegation.

His lawyer, Marian Aigbedion of Charles Musa & Co, said the “malicious and libelous statement has brought our client into public disdain and odium.

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“Your portrayal of our client as a corruption enabler and his office as an appendage of a political party willing to cause chaos in Edo State is entirely false and damaging to his reputation.

“As a renowned career police officer and pioneer Executive Chairman of the Economic and Financial Crimes Commission (EFCC), our client has consistently demonstrated integrity and a commitment to fighting corruption. It is inconceivable that he would be involved in such odious acts.”

Ribadu, therefore, asked Mr Aziegbemi to publicly apologise to him and retract the publication in its entirety.

He also demanded that the retraction statement should be published as “a full-page advertorial in at least five nationwide newspapers, ten reputable and well-read online news sites, seven national and international television stations and ten radio channels with national and international reach”.

The NSA also demanded the payment of N10 billion “as damages for reputational and other injuries.”

The lawyers informed the party chairman that failure to comply with the demands within seven days might compel them to take further steps, which could include legal action to enforce Ribadu’s rights.

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