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Dangote Refinery Unveils Fuel Distribution Plan to Create Jobs, Curb Inflation

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The Dangote Petroleum Refinery has announced a direct fuel distribution initiative aimed at cutting costs, easing inflation, and creating thousands of jobs.

The scheme, which will deliver petrol, diesel, and other petroleum products directly to major users—including station operators, manufacturers, and aviation firms—includes free logistics support and plans to deploy 4,000 new CNG-powered tankers.

Experts have welcomed the move, noting it could disrupt entrenched intermediaries and streamline fuel delivery across Nigeria. University lecturer Dr. Abimbola Oyarinu said the initiative has the potential to “dismantle the dominance of powerful middlemen” who’ve historically slowed progress.

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Energy analyst Ibukun Phillips described the effort as “revolutionary,” highlighting its potential to reduce fuel costs—especially in rural areas where fuel is often more expensive. She noted that 8,000 jobs could be created in the scheme’s initial rollout.

Kelvin Emmanuel, an energy expert, argued that concerns over monopolies are misplaced, pointing instead to persistent inefficiencies in logistics and regulation. He praised the refinery’s focus on bypassing these challenges through strategic road-based delivery.

However, industry groups have voiced concerns about job losses, particularly among tanker drivers, and potential closures of retail fuel outlets.

Despite this, proponents of the project maintain that a fairer, more efficient distribution system will ultimately benefit consumers and the economy at large.

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