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Fuel Prices Reduced as Dangote Refinery Announces Free Distribution on September 15th
Dangote Refinery has reduced petrol prices and will begin free distribution to filling stations in 11 states from September 15th, 2025. The gantry price is set at ₦820 per litre, with retail prices ranging from ₦841–₦851 depending on location. Fuel will be delivered using CNG-powered trucks to cut costs and improve efficiency. While many Nigerians welcome the move as relief from high fuel prices, some marketers have raised concerns about conditions attached to the “free delivery Here’s a short summary of the blog: Dangote Refinery has reduced petrol prices and will begin free distribution to filling stations in 11 states from September 15th, 2025. The gantry price is set at ₦820 per litre with retail prices ranging from ₦841–₦851 depending on location. Fuel will be delivered using CNG powered trucks to cut costs and improve efficiency. While many Nigerians welcome the move as relief from high fuel prices, some marketers have raised concerns about conditions attached to the “free delivery” and its impact on smaller players
In a move that has stirred nationwide attention, the Dangote Refinery has officially announced the commencement of direct distribution of Premium Motor Spirit (PMS) popularly known as petrol starting September 15th, 2025.
The refinery, which recently began large-scale operations, revealed that it will supply fuel directly to filling stations across 11 states in Nigeria, a move expected to drastically reduce costs and ease the burden on motorists.
Key Highlights of the Announcement
Free Delivery: Dangote Refinery will provide free delivery of fuel to registered filling stations within the designated states. This strategy aims to cut down the extra charges tied to middlemen and logistics.
Reduced Gantry Price: The gantry price (ex-refinery price) is pegged at ₦820 per litre, with pump prices expected to range from ₦841 per litre in Lagos and the South-West to ₦851 per litre in Abuja and other states.
CNG-Powered Trucks: Thousands of Compressed Natural Gas (CNG)-powered trucks will be deployed nationwide to enhance efficient, cleaner, and more cost-effective distribution.
Why This Matters
For years, Nigerians have grappled with high petrol prices, often worsened by supply bottlenecks, foreign exchange challenges, and logistics inefficiencies. By offering direct supply and free delivery, Dangote Refinery is not only making fuel cheaper but also reshaping the structure of petroleum distribution in the country.
Mixed Reactions
While many Nigerians are celebrating this move as a long-awaited relief, some fuel marketers remain skeptical. Concerns have been raised about whether the conditions attached to the “free delivery” will benefit independent marketers or tilt the market in favor of larger players. Others also question the sustainability of maintaining such pricing and distribution models long-term.
The Bigger Picture
If successfully implemented, this initiative could save the economy trillions of naira annually in distribution costs while also stabilizing fuel supply nationwide. Moreover, the use of CNG trucks signals a gradual shift towards cleaner energy in logistics, aligning with global trends in sustainable transportation.
Bottom line: September 15th marks a historic moment in Nigeria’s fuel sector. Whether this bold move delivers lasting relief or sparks new controversies, one thing is clear: Dangote Refinery has changed the rules of the game
