IPMAN CALLS FOR GOVERNMENT ACTION TO STABILIZE FUEL PRICES AMID CRUDE MARKET VOLATILITY
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By: Fasasi Hammad
Amid escalating fuel costs gripping Nigerian motorists, the National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Garima, has formally appealed to the Federal Government for urgent intervention to ease the burden on consumers.
In an exclusive interview with Nairametrics, Garima attributed the sharp rise in Premium Motor Spirit (PMS) prices—now exceeding ₦1,000 per litre in many locations—to persistent volatility in global crude markets, intensified by geopolitical tensions in the Middle East, including the ongoing U.S.-Israel conflict involving Iran.
The IPMAN leader highlighted that these external pressures have made it increasingly difficult for the Dangote Petroleum Refinery—the continent’s largest—to secure affordable crude feedstock, directly contributing to higher ex-depot prices passed on to marketers and, ultimately, end-users.
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Key points from Garima’s remarks include:
- Recent depot prices for independent marketers have climbed to ₦1,000–₦1,010 per litre, with additional logistics and transport costs pushing retail prices even higher—to ₦1,030–₦1,050 in the South-West (including Lagos, Ogun, and Oyo states) and ₦1,070–₦1,100 in parts of the North.
- Dangote Refinery implemented a rapid ₦221 increase in its ex-gantry price over just four days, jumping from ₦874 to ₦995 per litre, exacerbating shortages reported in key areas like Lagos and Ogun.
- Garima’s core recommendation: The government should provide “relief” by supplying crude to Dangote at discounted or regulated rates, decoupled from prevailing international benchmarks. This, he argued, would enable the refinery to lower its selling prices, stabilize supply chains, reduce pump prices, and support Nigeria’s push toward energy self-sufficiency.
“Government can do something to support Dangote in terms of crude oil since he can refine a higher capacity… Maybe they should reduce the cost of crude oil to him. They should not base it on the prevailing price in the world. I think a relief is necessary because of the situation,” Garima told Nairametrics.
The plea underscores broader industry frustrations, as Dangote’s massive refining capacity (designed to meet much of national demand) has yet to fully shield Nigerians from imported fuel price shocks. IPMAN has long advocated for prioritizing domestic refining through direct offtake agreements with Dangote, which have helped in the past but are now strained by feedstock costs.
No official response from the Federal Government or the Dangote Group has been issued as of this report. However, the call has gained traction on social media and among stakeholders, with many viewing it as a pragmatic step to cushion households amid double-digit inflation and economic pressures.
For the full interview and ongoing developments, refer to Nairametrics’ original coverage published March 7, 2026. Industry watchers will be monitoring for any policy signals from Abuja in the coming days.
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