A recent report has stirred significant controversy surrounding the operations of Dangote Refinery, highlighting assertions of inferior product quality compared to imported alternatives. Released on July 19th, 2024, by NMDPRS CEO Farouq Ahmed, the report alleges that local refineries, including Dangote Refinery, produce substandard products compared to imports.
In response, Dangote Industries Limited (DIL) vehemently refuted these claims, emphasizing the superior quality of its refined products. A statement issued by the company’s spokesperson, Anthony Chiejina, dismissed the allegations as baseless and aimed at tarnishing the refinery’s reputation.
CEO Aliko Dangote himself denounced the accusations as false and mischievous, asserting that Dangote Refinery adheres strictly to international standards in its production processes. Chiejina further clarified that recent adjustments in diesel pricing, reduced by 37%, were driven not by quality concerns but rather by strategic market dynamics and a commitment to national interests.
Addressing specific claims, Chiejina highlighted that recent imports of diesel into the country contained sulfur levels far exceeding those produced by Dangote Refinery. This disparity, he argued, negates claims of reduced quality and price adjustments solely due to refinery shortcomings.
Furthermore, Dangote Refinery’s Vice President of Oil and Gas, Devakumar Edwin, criticized regulatory practices that permit the importation of substandard petroleum products into Nigeria. He pointed out that despite Dangote Refinery’s efforts to meet ECOWAS standards, regulatory leniency has allowed traders to flood the market with inferior imports, including high-sulfur petrol originally intended for markets with less stringent environmental controls.
Edwin also accused International Oil Companies (IOCs) of engaging in price manipulation tactics to undercut Dangote Refinery in the market, posing a challenge to the refinery’s operations and market viability.
In conclusion, amidst these controversies, Dangote Refinery maintains its stance on producing high-quality petroleum products while navigating challenges posed by regulatory inconsistencies and market dynamics. The refinery remains committed to upholding international standards and serving national interests through its operations.
