🇳🇬NigeriaWest Africa
Nigerian refiners dispute World Bank's claim of cheaper imported petrol, citing quality differences
via Punch Nigeria20 hours ago5 min read
The Crude Oil Refiners Association of Nigeria CORAN has challenged the World Bank's assertion that imported petroleum products are cheaper than locally refined fuels. Eche Idoko, CORAN's Publicity Secretary, stated that price discrepancies are due to quality variations, not efficiency, and accused the World Bank of an unfair comparison. Idoko explained that many imported fuels are blended to meet minimum regulatory specifications, making them cheaper but of lower quality compared to fully refined local products. He emphasized that blending, while not illegal, results in lower-grade fuels with different emission levels, which are less expensive to produce than those undergoing a full reforming process. Idoko also highlighted that local refineries, including Dangote, purchase crude at premium prices, lacking the comparative advantages or discounts enjoyed by international traders. He insisted that any valid comparison must consider specific product metrics like density, flash point, and pour point, as different grades attract different prices. The World Bank had suggested that Dangote's petrol price was higher than imported alternatives and advised the Federal Government to allow fuel importation, a report that was later removed after public backlash. CORAN maintains that such comparisons are misleading without accounting for identical fuel grades and quality specifications.
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Original source
This summary was AI-generated from a story originally published by Punch Nigeria.
