Private fuel depots across Nigeria, particularly in Lagos, were deserted on Monday as the Dangote Refinery intensified large-scale petrol distribution to retail outlets in 12 states.
For decades, marketers relied on private depots to load products, but many have now diverted trucks to Dangote’s facility due to its competitive pricing.
At the refinery’s loading bay, petrol was sold at ₦820 per litre, a sharp contrast to Lagos depot prices. On Friday, WOSBAB and AITEO sold at ₦836, while MENJ pegged at ₦838. Though the margin appears slim, industry insiders say it translates into huge savings when multiplied across thousands of litres, making Dangote the more attractive option.
The impact was immediate: major depots across Lagos recorded no truck movement. In Dockyard, both AITEO and NIPCO depots were inactive. Along the Satellite Town corridor, depots such as MENJ, First Royal, and Rainoil were idle. The Coconut axis also witnessed silence at Sahara, Bono, and Integrated depots.
The same pattern was observed in Calabar and Port Harcourt, underscoring the nationwide influence of Dangote’s supply chain.
Industry experts describe this as a clear case of market displacement, noting that the refinery’s pricing strategy threatens the survival of private depots. Unless they reorganize or form new alliances, analysts warn, many could become irrelevant.
For consumers, however, the shake-up signals the possibility of lower pump prices and improved supply stability in the long run.