₦airaland Forum

oshiokpu:
lol, I saw this coming as far back as 2019. In fact I sat on an interview with the MD of Rain Oil for the final stage of their recruitment process and my question to him was what they plan to do to their business model when Dangote becomes operational because in my mind this was inevitable especially when you see Femi Otedola who happened to be a friend of Dangote divesting from Forte Oil. The MD answered me casually that Dangote will simply become their supplier but I wasn’t convinced. My take is that the end of fuel importation/Tankfarm storage/Fuel station as a business in Nigeria is near. It’s only a matter of time.
Dangote will push most of them out eventually so they better start exiting strategically!

Impressive foresight; I think it’s only a matter of time before dangote opens actual retail outlets.

You guys have damaged the system, exploited Nigerians. Allow Dangote to fix it right please.

datola:
"warning that it could lead to a monopoly in disguise and pose a significant job loss threat to Nigeria.
"

Dangote employs thousands and paid them well and also pay tax unlike you marketers that pay N10,000 to workers and of no benefit to the advancement of the country

These people are jokers who don't want the progress of the country

Let PETROAN also build their own refineries and competite with dangote...if they say dangote is monopolizing the oil sector

At least this will take care of the constant tanker driver’s association strikes.

While Dangote was busy building the refinery, the various groups were busy building Petrol stations, importing petrol and holding citizens by the scruff of the neck.

That’s what competition is all about. He has not stopped them from loading from his refinery. They also must put resources together to build their own refineries and compete effectively.

Let's pray for Dangote to succeed in this new endeavour of cost cutting measure in petroleum products distribution.

The regulatory bodies exist to look into allegations of monopoly and should do the needful in case of infractions from Dangote.

If PETROAN considers their trucks inefficient and unable to compete with Dangote, they should pool resources together as an association and invest in new trucks and let Dangote be.

PETROAN and the likes should also consider building their own refineries and distribute their own products. The more the merrier.

NNPC has been distributing petrol products with their vehicles in the past and nobody said anything. Why saying bad things about Dangote now that he wants to do like NNPC?

Omooba77:
https://dailytrust.com/petroan-kicks-against-dangote-refinerys-fuel-distribution-plan/

This stupid petroan. Please who owns the rickety death traps you call petrol tankers that fall off on the roads spilling it's guts out endangering people's lives. At least Dangote won't use nonsense expired trucks because according to una, man must survive, so you go ahead and grant membership to owners with unworthy trucks. Abeg make una shift one side.

Omooba77:
https://dailytrust.com/petroan-kicks-against-dangote-refinerys-fuel-distribution-plan/

Na today I know say Many Nigerians nor like good things

Mitsurugi:
We'll simply move to another stall. It's called open market. Competition.

That's the problem, Dangote unlike other businesses uses government influence to choke other stalls. Remember when bua cement wanted to slash cement prices to 3k. They quickly muscled him to submission. Bua knew the profits were crazy but Dangote didn't care, so they had to silence bua.

moodyguy:
Lies Glo did it in the telecoms sector and we re eenjoying it today

Adenuga had never bn monopolistic, he had always played fair. Dangote had always used government instrument to smoke out competition then bounce back on the masses to milk them dry. By that time all competition will have long died and we will be at the mercy of one man.

Wainey:
they were fighting the refinery, back then Dangote does nothing but complain like VDM, now Dangote is fighting back.

Nobody fought the refinery, Dangote when to court to sue importers. He claimed since he had a refinery now Nigeria should stop importing fuel so only him will sell to the nation. Importers on the other claimed if anything goes wrong with the refinery then the whole nation will grind to a halt just because of you. And besides US is one of the largest oil producers and yet still import insane amount of fuel,why should Nigeria stop importing just because of one man's greed.

They keep throwing the word monopoly around, when in actual facts they are trying to safeguard their means of livelihood.

tonyashburton:
Dangote doesn't have one single retail outlet. He wants to distribute to retailers that are buying from his refinery.
So what's PETROAN's problem? If they don't like it then buy from Dangote and he will deliver fuel to your doorstep.

MRS is Dangote's cousin as I heard.

Dangote has in fact, created a local market for his product through MRS and Ardova.

PETROAN thinks the era of back door subsidy and selling to Nigerians at exorbitant prices that are not market reflective is still on. That era is about to die a natural death.

maivd:
Dangote is going for the jugular, but at the end of the day the consumers will smell pepper. Dangote will completely squeeze every single penny from the masses for the huge loss and risk he is about to take.

That is not true ... Dangote Monopoly lacks credence anyhow we chose to look at it ... for god sake Nig. has four refinery, is it Dangote that stopped those refinery

Fix the Refinery and alienate the "Monopoly" bullsh*t

Dangote operation is far more transparent than what Nnpc and Marketers have being running ... if dangote is hiking we cant easily detect

maivd:
Nobody fought the refinery, Dangote when to court to sue importers. He claimed since he had a refinery now Nigeria should stop importing fuel so only him will sell to the nation. Importers on the other claimed if anything goes wrong with the refinery then the whole nation will grind to a halt just because of you. And besides US is one of the largest oil producers and yet still import insane amount of fuel,why should Nigeria stop importing just because of one man's greed.

Can you compare the demand of refined products in the US, a highly industrialized nation, with that of Nigeria, a 3rd world, resource-deprived economy where politicians and their cohorts in the public service steal all the money meant for Nigeria's industrialization?

US daily consumption is presently at 381.95 million litres of PMS. Accurate data from EIA.

Nigeria's estimated daily consumption is 30 million litres.

What is the basis of comparison here? You are consuming a tenth of what US consumes...why do you want to import like the US when you already have a refinery that can meet that daily consumption?

aribisala0:
Well there is a reason why there are anti-Trust laws
Government needs to look into that

There may be a need to force Dangote to List the Refinery and open up to other owners

That is what folks should be calling for. Anti-trust inquiries. Not greedily rushing to the beach to gather stranded fish. In other climes his intentions will be investigated thoroughly and the authorities will keep a beedy eye on him.

stagger:
Can you compare the demand of refined products in the US, a highly industrialized nation, with that of Nigeria, a 3rd world, resource-deprived economy where politicians and their cohorts in the public service steal all the money meant for Nigeria's industrialization?

US daily consumption is presently at 381.95 million litres of PMS. Accurate data from EIA.

Nigeria's estimated daily consumption is 30 million litres.

What is the basis of comparison here? You are consuming a tenth of what US consumes...why do you want to import like the US when you already have a refinery that can meet that daily consumption?

Should we halt all forms of importation because a greedy monopolist just built a refinery? Why did he have to sue them to court,after all in met them in the business. How come a nation is expected to shock life out of other businesses because Dangote is now in the business.

Omooba77:
“This could lead to a massive shutdown of filling stations across Nigeria, resulting in widespread job losses,” the statement reads.

It warned that the introduction of 4,000 new compressed natural gas (CNG)-powered tankers by Dangote refinery “poses a significant threat to the livelihoods of thousands of truck drivers and owners.”

“While CNG trucks may offer a lower cost of transporting petroleum products, this shift could lead to widespread job losses in the industry,” PETROAN said.
https://dailytrust.com/petroan-kicks-against-dangote-refinerys-fuel-distribution-plan/

“This could lead to a massive shutdown of filling stations across Nigeria, resulting in widespread job losses,” the statement reads.

It warned that the introduction of 4,000 new compressed natural gas (CNG)-powered tankers by Dangote refinery “poses a significant threat to the livelihoods of thousands of truck drivers and owners.”

“While CNG trucks may offer a lower cost of transporting petroleum products, this shift could lead to widespread job losses in the industry,” PETROAN said.




These PETROAN guys rambling right ABOVE too should convert all their old trucks to CNG-fuel trucks as well in order to achieve a lower overhead cost and more profit margins. Period.

Bro let PETROAN revitalize the four refineries we have if they can't built from scratch. Their membership has the financial capability to do so and offer the needed completion.
We should for now suspend this issue of importation of petrol if we can.it is the major source of foreign exchange flight from the economy

maivd:
Nobody fought the refinery, Dangote when to court to sue importers. He claimed since he had a refinery now Nigeria should stop importing fuel so only him will sell to the nation. Importers on the other claimed if anything goes wrong with the refinery then the whole nation will grind to a halt just because of you. And besides US is one of the largest oil producers and yet still import insane amount of fuel,why should Nigeria stop importing just because of one man's greed.

Dangote shouldn’t listen to them o. Let them go and sell their trailer to aboki condemn and use the head for another thing. If they like, they can be using their trucks as water tanker.

They have eaten enough. They are parts of the reasons petrol is costly, due to their greed and cost of maintaining their fleet. They kil.led our cargo railway transportation.

Make DANGOTE float a transport company and give it another name, if they are proving too stubborn.

Maxymilliano:
So Dangote can't distribute his own product?

i beg help me ask o. honestly press should not be airing this kind of view to the world.

budaatum:
Sounds to me like PETROAN do not want their own monopoly challenged.

You read my mind and poured it here. They have actually taken Nigeria for a ride for so long. How Dangote wants to do his refinery business should not be thier headache..

Senseless petroan, cause joblessness you say oponu ni boboyi o

My sincere appeal to President Bola Ahmed Tinubu, GCFR is for him to be wary of that man called Dangote.
Nigeria's economy will collapse completely if Dangote is allowed to have monopoly of the downstream oil and gas sector. Check all the sectors he has meddled in and see how prices of commodities in those sectors have skyrocketed.
The PETROAN people know what they are saying, they have been in that sector for years and understand the rudiments for balancing prices of petroleum products like PMS.. Dangote is just an opportunist that wants to milk Nigerians using monopoly in the downstream oil sector. What he'll do is to box the other competitors out of business and then start price fixing however he likes.
Then it'd be too late to reverse the mistake.

I have nothing against Dangote, just that I don't support his monopolistic style of business (with backing of some insiders in Government offices).. PBAT please don't make this mistake that'll forever put you in the bad side of history.
God bless you Mr. President
God bless the Federal Republic of Nigeria.

Omooba77:
https://dailytrust.com/petroan-kicks-against-dangote-refinerys-fuel-distribution-plan/

This was exactly what I said months back. When dangote is ready, he will hawk his fuel. Soon he will have tank selling from street to street. Ona never see anything.

stagger:
Dangote should send these people back to the village.

My personal and business fuel consumption is close to 700 litres a month. Savings of N25 per liter puts N17500 back in my pocket a month, or N210,000 a year.

I know what that savings can do for me in one year. I can use it to buy a bag of rice and food items for Christmas.

So please, send these people back to the village.

That's a lot of fuel you use per month but the projected savings too will be significant with the Dangote Petrochemical Refinery petrol deployments.

Ultimately the use of CNG-based fuel for personal and business use will lower your overheads. The industries in Ikeja and parts of Ogun State for instance have used gas for over 15 years now as an alternative for their industrial operations with gas turbines to generate electricity.

maivd:
Dangote is going for the jugular, but at the end of the day the consumers will smell pepper. Dangote will completely squeeze every single penny from the masses for the huge loss and risk he is about to take.

More refineries are coming I pray they also adopt Dangote s modus operarandi.
Those crying now are the ones locking Nigerians out of fueling stations, and selling fuel to black marketers.
It's about time they feel am too, no be only common man supposed dey cry o.

Reference:
They call it the earthquake tsunami effect where the earthquake sucks the ocean towards the fault causing the beach water to retreat.

The unwary are then drawn in amazement to the exposed beach and find rich pickings in stranded fish and valuable sea shells and ornaments knowing little that disaster will come roaring back faster than a jetliner when the market is totally monopolized and the dearth of competition sets the stage for price fixing.

Mr. Dangote is one hell of a hardnosed capitalist. Unfortunately the people and the governments they elect are leagues behind.

I hope we will not be forced to hand over the entire economy to this guy the way we are busy mismanaging while he innovates.

I like your graphic quake tsunami effect analogy right there. That's what happens in the real-world or the business world... You either innovate OR die. Period.

The use of new 4000 CNG-fueled trucks was a very deft move by Dangote due to the FACT that CNG is far cheaper than PMS fuel and diesel, and further emphasizes what I have been saying since the 2000s about the deployment of CNG-fueled trains, CNG-fueled haulage trucks, and high-capacity CNG-fueled buses to lower the artificial inflationary pressures, total costs of production, crash food prices and transportation in Nigeria. That would lead to significant savings for the folks on the street level as long as a watch is kept on those greedy speculators and middle men who try to hoard food items for quick profits of 60% to over 100%. This is what BUA rice was able to achieve last month by crashing 50kg rice to N60,000 by cornering the paddy rice speculators and hoarders who made rice production and cost expensive. Dangote too said he would crash his own rice further and I assume that the deployment of more of his CNG-fueled trucks would further aid in that food crash due to lower logistics cost.

oshiokpu:
lol, I saw this coming as far back as 2019. In fact I sat on an interview with the MD of Rain Oil for the final stage of their recruitment process and my question to him was what they plan to do to their business model when Dangote becomes operational because in my mind this was inevitable especially when you see Femi Otedola who happened to be a friend of Dangote divesting from Forte Oil. The MD answered me casually that Dangote will simply become their supplier but I wasn’t convinced. My take is that the end of fuel importation/Tankfarm storage/Fuel station as a business in Nigeria is near. It’s only a matter of time.

Dangote will push most of them out eventually so they better start exiting strategically!

Indeed, 'Femi Otedola saw the future and quickly bailed out from Forte Oil. A real investor or business person MUST always have the ability to discern patterns (or business cycles) otherwise you will get frozen like a reindeer that gets hit right in the eye with lights from vehicle headlights.

The fuel importation that started during the IBB and Abacha years and the irritating tankfarm storage business is just a product of Nigerian inneficiency over the decades that should NEVER have occured but the corrupt military rulers did NOT fund the turnaround maintenance of the existing refineries as-and-when-due every two years, hence the refineries got damaged and it enable those terrible military rulers of the 1990s to use their mostly Northern cronies and proxies with a few Southern ones linked to the NNPCL to privately import all kinds of fuel from abroad and become overnight millionaires and multimillionaires.

flokii:
My sincere appeal to President Bola Ahmed Tinubu, GCFR is for him to be wary of that man called Dangote.
Nigeria's economy will collapse completely if Dangote is allowed to have monopoly of the downstream oil and gas sector. Check all the sectors he has meddled in and see how prices of commodities in those sectors have skyrocketed.
The PETROAN people know what they are saying, they have been in that sector for years and understand the rudiments for balancing prices of petroleum products like PMS.. Dangote is just an opportunist that wants to milk Nigerians using monopoly in the downstream oil sector. What he'll do is to box the other competitors out of business and then start price fixing however he likes.
Then it'd be too late to reverse the mistake.

I have nothing against Dangote, just that I don't support his monopolistic style of business (with backing of some insiders in Government offices).. PBAT please don't make this mistake that'll forever put you in the bad side of history.
God bless you Mr. President
God bless the Federal Republic of Nigeria.

Did you just called Dangote an opportunist?.
A man risked everything he has to set up a refinery, you're calling him an opportunist for trying to run his business, your likes would rather he doesn't even build the refinery.
You will rather Nigerians continue to groan under the yoke of importers alias subsidies scammers.
Some leeches can import all kinds of garbages into the country and make bogus profits, kill local industries and rendered people jobless, very good economic developmental idea.
Dangote that's setting up factories and giving jobs to the people is an opportunist, and so should be stopped from becoming a monopoly.
When Lucky Dube sang " No truth in this world ", I believed he must have run into your likes.
Just look at the envy and hate you quietly hid in your write up, shior.

7lives:
Did you just called Dangote an opportunist?.
A man risked everything he has to set up a refinery, you're calling him an opportunist for trying to run his business, your likes would rather he doesn't even build the refinery.
You will rather Nigerians continue to groan under the yoke of importers alias subsidies scammers.
Some leeches can import all kinds of garbages into the country and make bogus profits, kill local industries and rendered people jobless, very good economic developmental idea.
Dangote that's setting up factories and giving jobs to the people is an opportunist, and so should be stopped from becoming a monopoly.
When Lucky Dube sang " No truth in this world ", I believed he must have run into your likes.
Just look at the envy and hate you quietly hid in your write up, shior.

How many of your family members have Dangote employed?.. a man that is commiting evil in your country, bringing in thousands of Indians and other foreigners to take up jobs in Nigeria meant for Nigerians is the person you said care about you getting job as a Nigerian?

Or have you forgotten how this same Dangote reduced Nigerian graduates, M.Sc and PhD degree holders to truck drivers while he ships in technicians (with no degree) from India and other Asian countries to be working as expatriates in his factories?

Some of you will be in your parlour and be writing nonsen.se thinking you know it all.

Dangote invested in Nigeria.. and so what?.
All the mineral resources, tax holidays, waivers etc. he is enjoying from FG nko?.. I don't think you know the billions he is saving with those concessions he is getting.

Our stance is clear.. NO to monopoly for a one man private business owner like Dangote. Other Nigerians MUST be allowed to play in Nigeria's downstream oil and gas industry.
Dangote doesn't have two heads and he is not more Nigerian than the others he is trying to take away their means of livelihood.