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Petrol remains N865 per litre amid Dangote’s free delivery

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Despite receiving petrol at N820 per litre with no logistics costs, partners of the Dangote Refinery have yet to reduce pump prices at their filling stations.

Findings revealed that Heyden, AP, MRS and other major partners continued to sell petrol at N865 per litre.

Apart from a few MRS outlets in Lagos that adjusted their prices to N841 per litre, most stations maintained the previous rates. The MRS station at Alapere experienced long queues as motorists rushed to buy petrol at N841, while others along the same axis sold for N865 per litre.

However, at the MRS station in Olowotedo, along the Mowe–Ibafo axis of Ogun State, petrol sold for as high as N875 per litre. Heyden offered N863, while Ardova and others retained prices between N865 and N870 per litre.

Recall that marketers, including Conoil, Eterna, Golden Super, Nepal Energies, Kifayat Global Energy, and Riquest and Gas, had partnered with the Dangote Refinery under its logistics-free fuel distribution scheme.

The refinery had earlier announced that from Monday, September 15, petrol prices were expected to drop following the rollout of more than 1,000 compressed natural gas-powered trucks to enable direct fuel distribution across the country. According to Dangote, the initiative was designed to cut logistics costs and reduce the ex-depot price to N820 per litre, translating into lower pump prices nationwide.

Under the new pricing framework, motorists in Lagos and other South-Western states were expected to pay N841 per litre, while those in Abuja, Rivers, Delta, Edo and Kwara states were projected to buy at N851 per litre.

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The adjustment was meant to take immediate effect in selected states, with a nationwide rollout to follow as more CNG trucks were deployed. However, nearly three weeks later, the anticipated relief has not materialised, as most filling stations continue to sell at old rates.

Our correspondent observed several Dangote CNG trucks along the Lagos–Ibadan Expressway, confirming the commencement of the direct, logistics-free fuel distribution scheme.

Some marketers claimed that they had not reduced prices because they still held old stock purchased at higher costs, saying adjustments would be made once the new supplies reached their tanks.

However, a source at the Dangote Refinery told The PUNCH that many of the marketers had already received new supplies and had no justification for maintaining prices above N841 or N851 per litre, depending on their location.

“It’s unfair to keep selling at old rates. They are receiving the product at N820 per litre with free logistics, yet they’re still selling higher, that’s not right,” the source, who requested anonymity, said.

The source further explained that the refinery could not enforce pump prices.

“We can’t compel them as before. It’s purely on recommendation, since marketers insist the law does not permit us to fix pump prices, and NMDPRA seems to agree,” the official noted.

“Those who submitted their station lists are already getting supplies. We would have covered more ground if not for the PENGASSAN issue, but by this new week, we expect wider coverage. Still, marketers should understand that Nigerians are watching and expecting new prices; that’s why you see queues at the MRS station in Alapere,” the source added.

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Meanwhile, not all stakeholders have welcomed Dangote’s frequent price adjustments. The Depot and Petroleum Products Marketers Association of Nigeria recently criticised the refinery’s pricing strategy, saying the timing of its cuts often disrupts market stability.

DAPPMAN Executive Secretary, Olufemi Adewole, argued that portraying the price reductions as patriotic gestures ignored their broader implications.

“Claims that repeated fuel price reductions by the Dangote Refinery are patriotic overlook their timing and market impact. These cuts are often introduced when other importers have active cargoes at sea or in tanks, creating price shocks that distort competition and impose financial strain on market participants — including the refinery’s own domestic customers,” Adewole said.

For over a year since commencing petrol production, the Dangote Refinery has effectively taken over as the market’s price trendsetter, displacing the Nigerian National Petroleum Company Limited from its traditional role.

NNPC spokesperson Andy Odeh confirmed that the company had not adjusted its rates.

“Our current pump price in Lagos remains N865. We have not made any changes,” he said.

Independent marketers had previously pledged to review pump prices once they began receiving supplies from Dangote, but as of Sunday, no adjustments had been made.

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Ekiti deploys CNG buses to cut transport fares by 50%

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The Ekiti State Government has commenced the deployment of Compressed Natural Gas buses as part of measures to reduce transport fares by 50 per cent and ease the burden of transportation costs on residents.

Governor Biodun Oyebanji announced the initiative on Thursday during the official flag-off of 15 CNG buses at the premises of the Ekiti State Transportation Agency in Ado-Ekiti.

The deployment, which coincided with Nigeria’s Independence Day and the 30th anniversary of Ekiti State, is part of efforts by the state government to provide affordable and accessible public transportation in line with the directive of President Bola Ahmed Tinubu.

Oyebanji, who was accompanied by the Senate Leader, Senator Opeyemi Bamidele, said the 15 buses, donated to the state by the Federal Government, represented the pilot phase of the initiative.

He said the state government would expand the fleet to ensure that more residents benefit from the intervention.

According to the governor, reducing transportation costs remains essential to easing the economic burden on citizens.

“The President charged all state Governors that by October first, we should find a way of reducing transportation cost because most of the implications we are witnessing, transportation contributes a lot to it and what we have done today is just the pilot: 15 CNG buses, which are going to be distributed to the unions, and the agency will manage it,” Oyebanji said.

He urged transport unions to ensure that the benefits of the CNG buses were passed directly to commuters through reduced fares.

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“My appeal is to the Unions; they should allow the gains to translate to the commuters because this will reduce transportation cost by 50 percent,” he said.

Oyebanji also expressed appreciation to President Tinubu for the Federal Government’s intervention, saying the provision of the buses would contribute significantly to reducing the transportation burden on residents.

The governor further said the administration’s economic policies had created opportunities for states to implement programmes and projects that directly affect the lives of citizens.

“No matter how visionary a leader is, if there are no resources to work with, it will just stay in the realm of a vision,” Oyebanji said.

“But the President has been helping and supporting us not only in Ekiti State but in all the states in the country to translate our vision into action and impacts for the people.”

Speaking on the deployment, the Director-General of the Ekiti State Transportation Agency, Tajudeen Akingbolu, said routes had already been mapped out for the CNG buses.

He said the buses would operate on routes linking Ado-Ekiti with Lagos, Ibadan, Onitsha and Abuja.

Akingbolu said the initiative would provide residents with more affordable and reliable interstate transportation while reducing the impact of high transport fares on commuters.

The state government said it would continue to explore measures aimed at reducing transportation costs and improving access to affordable public transportation across Ekiti State.

Source: punchng.com

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Free zones attract $200bn FDI, create 500,000 jobs – FG

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The Federal Government has said Nigeria’s free trade zones have attracted more than $200bn in foreign investment and over N900bn in domestic investment, while generating more than 100,000 direct jobs and over 500,000 jobs across supply chains, logistics networks and host communities.

The Minister of Industry, Trade and Investment, Dr Jumoke Oduwole, disclosed this at a meeting of Special Economic Zones stakeholders held virtually in September, as the government moves to modernise the regulatory framework governing the zones and strengthen their role in driving investment and non-oil exports.

Oduwole said the government was revising the Nigeria Export Processing Zones Authority regulations to make the scheme more responsive to the changing nature of businesses and investment, including digital operations.

She said the revised framework would recognise Digital Free Zones and Digital Special Economic Zones, support technology-enabled and non-physical operations, modernise corporate and registry provisions and strengthen dispute-resolution mechanisms.

“Across the scheme, the authorities record over $200bn of foreign investment and over N900bn of domestic investment, more than 100,000 direct jobs, and over 500,000 when the supply chains, the logistics networks and the host communities are counted. So you are all, indeed, valuable investors and contributors to the Nigerian economy. This has not and will not change,” Oduwole said.

The minister said the government’s latest regulatory reforms sought to build on the investments and jobs already created by the zones while addressing weaknesses that had affected the integrity and competitiveness of the scheme.

She said the reforms followed extensive consultations with government agencies, lawmakers and private-sector stakeholders and were designed to preserve Nigeria’s attractiveness as an investment destination while strengthening fiscal accountability.

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Oduwole said the government had identified the diversion of goods produced in free zones into the Nigerian Customs Territory while retaining fiscal incentives intended for export-oriented activities as a major concern.

She said the revised framework would restore the export orientation of the scheme by clarifying the 75 per cent export and 25 per cent domestic-sales structure and aligning domestic sales with applicable Nigerian tax laws.

The minister said the reforms would also clarify the responsibilities of the agencies overseeing the zones, taxation and customs, with NEPZA and the Oil and Gas Free Zones Authority retaining responsibility for licensing and operational oversight.

She said the Nigeria Revenue Service would retain responsibility for tax administration, while the Nigeria Customs Service would handle customs control, valuation, classification and enforcement.

Oduwole said the modernised framework would also accommodate businesses that did not require conventional physical zones, particularly technology-driven enterprises.

“The Revised NEPZA Regulations and Operational Guidelines create, for the first time in Nigeria, Digital Free Zones and Digital Special Economic Zones – zones that operate on a platform rather than a perimeter, with no requirement of physical presence,” she said.

She added that the framework would introduce licence categories, including an Innovator Licence for enterprises operating in areas where regulatory frameworks were still developing, while reporting and fee structures would reflect the way digital businesses generate revenue.

The Executive Secretary of NEPZA, Toyin Elegbede, said operators welcomed the reforms but wanted the government to protect businesses that had already invested under the existing regulatory regime.

“Our members recognise the need for a strong, transparent and well-regulated Special Economic Zones regime, and we welcome the opportunity to engage the government before the framework is finalised. Our priority is to ensure that the reforms address genuine gaps without creating new uncertainty for operators who have invested and modelled their investment on the strength of the existing regime at the time of investment,” Elegbede said.

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He said stakeholders wanted a competitive free zones ecosystem that would attract more investment, protect legitimate businesses and increase production and exports.

Meanwhile, the Chairman of NEPZA, Hadi Mutallab, said the government must ensure that the transition to the new framework did not undermine existing investments.

“The reform of Nigeria’s Special Economic Zones is necessary to strengthen the integrity of the scheme and ensure that the incentives provided deliver the investment, production, jobs and exports for which they were intended. At the same time, we must protect legitimate operators who have invested in our Zones and ensure that the transition to the new framework is clear, predictable and does not undermine existing investments,” Mutallab said.

Further, Oduwole said the government would continue to support lawful incentives that served the purpose of the zones while demanding compliance from operators.

She said the government’s objective remained to position the zones as engines of non-oil export growth and support President Bola Tinubu’s target of building a $1tn economy by 2030.

Source: punchng.com

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NNPC’s oil security claims rise to N11.2tn

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The Nigerian National Petroleum Company Limited recorded claims totalling N11.2tn from the Federation in 2025 for costs and advances incurred on its behalf, including expenses related to securing the country’s oil and gas assets, an analysis of its 2025 audited financial statements has shown.

The statement obtained on Wednesday said the N11.2tn in receivables represented costs and advances incurred on behalf of the Federation, an amount that is N4.07tn, or about 57 per cent, higher than the N7.13tn energy security expense recognised in 2024.

The figure highlights the substantial financial burden associated with protecting oil and gas infrastructure against crude oil theft, pipeline vandalism and other disruptions, even as the national oil company reported higher production and a 33 per cent increase in profit after tax.

The audited accounts, however, show that the N11.2tn figure represents energy security costs and other receivables from the Federation, rather than a straightforward cash expenditure newly recognised in 2025.

The company stated that no energy security expense was recognised in 2025, compared with N7.13tn in 2024, following a reconciliation of outstanding amounts against royalties, taxes and dividends due as of December 2024. The reconciliation was completed in September 2025.

The figures come amid the Federal Government’s removal of the petrol subsidy in 2023 and subsequent deregulation of the downstream petroleum market.

NNPC’s 2024 accounts recorded energy security expenses of N7.13tn, compared with N4.8tn in 2023. That represented an increase of approximately N2.33tn, or 48 per cent, in the amount reported for the two years.

The financial report explained, “Other receivables from federation relates to advance payment to Federation and the security costs incurred in protecting the oil and gas assets. This is under the framework of approval between the Government of Nigeria and the Group to incur security costs and charge same to the Federation.”

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The financial statements showed that the group’s energy security cost receivable stood at N8.67tn at the end of 2025, while other receivables from the Federation, including advances and security-related costs, brought the total to N11.2tn.

According to Note 24.2 of the accounts, other receivables from the Federation relate to advance payments to the government and costs incurred in protecting oil and gas assets.

The company explained that the arrangement operated under an approved framework between the Federal Government and NNPC, allowing the national oil company to incur security costs and charge them to the Federation.

The accounts stated, “During the year, no energy security expense was recognised (2024: N7.13 trillion). Following a reconciliation exercise with relevant government agencies, the Energy Security Cost receivables were netted off against royalties, taxes, and dividends due as at December 2024. The reconciliation exercise concluded in September 2025.”

The disclosure means the N8.67tn energy security balance should not be interpreted as fresh spending incurred entirely in 2025. Rather, it reflects the outstanding balance carried in the accounts before its reconciliation against government obligations.

The issue is significant because oil theft, pipeline attacks and production disruptions have historically constrained Nigeria’s ability to maximise crude oil output and earn foreign exchange from petroleum exports.

NNPC’s financial results showed that crude oil and condensate production averaged 1.77 million barrels per day in 2025, the highest level in five years, while natural gas production reached a three-year high of 7.2 billion standard cubic feet per day.

The company said, “Oil and condensate production totalled 565.8 million barrels, up 5 per cent, with NNPC Limited’s equity share increasing 11 per cent to 223.7 million barrels.

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“Natural gas production reached 2,606.2 billion standard cubic feet, up 9 per cent, while its equity share rose 11 per cent to 1,154.9 billion standard cubic feet.”

Despite the improved output, the company’s accounts showed that pipeline maintenance costs fell sharply to N13.813bn in 2025 from N149.478bn in 2024, down by N135.665bn, or 90.8 per cent.

Speaking at the media parley to announce its financial results, the NNPC GCEO, Bayo Ojulari, said the company was also recording improvements in the fight against crude oil theft, particularly on major crude evacuation pipelines.

He said the combination of community-based surveillance, government intervention and security agencies had helped restore the availability of major pipelines, noting that reconciliation between crude produced and volumes accounted for at terminals had improved significantly.

“The most devastating theft has been on our major pipelines in the past, if you remember, right? With the combination of both community-based surveillance and intervention combined with the armed forces, we’ve seen stability, and most of those pipelines have retained 100 per cent availability,” Ojulari said.

He added that while the major pipelines were now more reliable, theft remained a challenge around smaller pipelines and wellheads across difficult terrains.

“We’re installing high-technology, what we call well-head cages, that detect intruders and can quickly respond… On some of the pipelines now, we’re also leveraging technology. We’re advancing technology using fibre optics technology as much as possible and intruder detection,” he said.

In its announcement, NNPC reported a profit after tax of N7.2tn, up from N5.4tn in 2024, while earnings before interest, taxes, depreciation and amortisation increased by 22 per cent to N18tn.

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Operating cash flow rose by 16 per cent to N12.8tn, earnings per share increased by 32 per cent to N35.9, and the declared dividend reached N5.8tn. Revenue stood at N34.5tn.

The company attributed its improved operational performance partly to progress on strategic infrastructure projects, including the completion of the River Niger crossing on the Ajaokuta-Kaduna-Kano gas pipeline and the completion of the 40-inch, 623-kilometre mainline.

It also said it commissioned the ANOH-OB3 Custody Transfer Metering Station, advanced the 300 million standard cubic feet per day ANOH Gas Processing Plant towards start-up readiness and acquired 500 compressed natural gas-powered trucks.

NNPC’s forward targets include raising crude oil production to two million barrels per day by 2027 and three million barrels per day by 2030. It is also targeting gas production of 12 billion standard cubic feet per day by 2030 and plans to mobilise $60bn in upstream, midstream and downstream investments over the period.

The financial statements do not provide a separate, quantified breakdown of petrol subsidy payments for 2025 in the figures supplied. Therefore, the energy security receivables cannot be treated as a direct measure of savings from the removal of petrol subsidies.

However, the disclosure provides an indication of the scale of another major petroleum-sector obligation facing the government as it seeks to improve production, protect infrastructure and strengthen public finances.

Source: punchng.com

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