The Major Energies Marketers Association of Nigeria (MEMAN), has said that the association is committed to conduct a thorough internal review of Dangote’s logistics initiatives to assess its effect on downstream competition
MEMAN, at a quarterly press webinar and engagement for the second quarter of the year, emphasized the importance and increasing adoption of compressed Natural Gas (CNG) truck for fuel distribution, citing potential cost reductions of up to $40 per cent.
The chief executive officer, MEMAN, Clement Isong, however warned that uneven availability of infrastructure could give certain players an outsized advantage.
He urged regulators to ensure broad-based access to CNG infrastructure and encouraged MEMAN members to adopt additional efficiency models, such as solar-powered stations and logistics pooling to drive down costs without compromising competitive fairness.
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Recall that Dangote Petroleum Refinery had on Monday announced the commencement of a significant national initiative designed to transform Nigeria’s fuel distribution landscape, stressing that effective from 15th of August 2025, the refinery will begin the distribution of Premium Motor Spirit (PMS) and diesel to marketers, petrol dealers, manufacturers, telecoms firms, aviation, and other large users across the country, with free logistics to boost distribution network.
Nigerian downstream sector not yet competitive
A World Bank Senior Economist, Samer Matta, has said that despite the removal of subsidy, Nigerian downstream sector is yet to be competitive.
Matta highlight how competition benefits both households and firms by improving pricing, service delivery and innovation, noting that many Nigerian sectors remain highly concentrated and urged industry regulators to strengthen their enforcement framework and build internal capacity for competitive assessment.
While applaud the large-scale infrastructure such as Dangote refinery, Matta noted that such investments promise supply chain efficiency, but cautioned against unchecked dominance.
MEMAN Chairman, Huub Stokman, emphasized that while deregulation opens new opportunities, maintain fair and open competition is critical
He called on regulatory agencies such as FCCPC and NMDPRA to ensure consistent oversight, promote innovation and protect consumers in a new market reality.
