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NOGASA Warns Dangote Against Monopoly

By Esther Ososanya

The National Oil and Gas Suppliers Association of Nigeria (NOGASA) has issued a cautionary appeal to the Dangote Refinery, urging the industrial giant to reconsider its entry into direct fuel distribution, which the association says poses a significant risk to the survival of thousands of small and medium-scale oil marketers across Nigeria.

The warning was delivered by NOGASA’s National President, Benneth Korie, during a high-level stakeholders’ forum held in Abuja on Tuesday.

Speaking before a gathering of oil sector stakeholders, Korie described the Dangote Refinery’s plan to purchase over 4,000 distribution trucks for nationwide supply as a threat to free-market participation and job security.

“If you bypass us and do it alone, you may end up sending thousands of Nigerians home,” Korie warned. “Imagine 3,000 of our workers laid off, leaving only 1,000 workers in the refinery and maybe even foreigners.”

He noted that while NOGASA remains a strong supporter of the Dangote Refinery, even lobbying the government for its funding and operational support, its move to monopolise both refining and retail distribution would distort Nigeria’s oil marketing ecosystem and risk long-term instability in the downstream sector.

Economic Implications: Risk to Jobs, Capital, and Supply Chain

Korie emphasised that independent marketers are key to oil product availability, especially in volatile and hard-to-reach communities. Any disruption to their operation, he said, could result in job losses, supply chain disruptions, and renewed fuel scarcity – a major setback for an economy already under strain.

“We are in business to survive, to employ Nigerians, and to serve end users. If we close down because of monopoly, the consequences will be devastating,” Korie said.

With over 50,000 registered filling stations in the country, many operated by independent marketers, NOGASA fears that if one entity, no matter how large, handles both refining and distribution, the system could collapse in the event of any internal bottleneck.

Korie called on the Dangote Group to convene a national dialogue with stakeholders including NOGASA, IPMAN, PETROAN, NUPENG, and PTD. He urged the company to adopt a collaborative approach to distribution rather than unilateral control.

“Let us sit together. We are not fighting Dangote. We are only advising for the sake of national economic health and sector survival,” he said. “You cannot carry an elephant on your head and still bend to pick ants.”

He added that bypassing marketers without stakeholder engagement would force suppliers to withdraw services, a decision that could result in widespread scarcity, inflationary pressure on fuel prices, and broader macroeconomic instability.

From Buhari to Tinubu: How NOGASA Backed Dangote

Korie also revisited NOGASA’s role in lobbying for the refinery’s completion. He recalled how the association, under his leadership, pleaded with former President Muhammadu Buhari to approve funding when the refinery reportedly needed $1 billion.

“All journalists here will remember: NOGASA stood with Dangote when others doubted. We supported the move for crude oil to be sold in naira, and we are grateful that President Tinubu implemented that fully. Today, there’s no more DSDP, and that’s progress,” he said.

Despite this history of support, the association now urges caution, noting that similar past decisions, such as the NNPC’s foray into retail distribution, eventually weakened its refining operations.

Looking Ahead: 15-Day Window for Resolution

With Dangote Refinery reportedly set to begin full distribution operations on August 15, NOGASA has given a two-week window for dialogue and reconsideration. “There is still time to talk. We don’t want to see scarcity again. We are hopeful that Dangote will listen and act in the interest of national stability.”
As Nigeria continues its post-subsidy economic adjustment, stakeholders like NOGASA say preserving competition and protecting supply chains in the downstream oil sector is non-negotiable. For them, the conversation is not about fighting progress; it is about securing a balanced and inclusive market.
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Esther Ososanya is an investigative journalist with Pinnacle Daily, reporting across health, business, environment, metro, Fct and crime. Known for her bold, empathetic storytelling, she uncovers hidden truths, challenges broken systems, and gives voice to overlooked Nigerians. Her work drives national conversations and demands accountability one powerful story at a time.

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