Let us be clear about the facts: the Dangote Refinery supplies more than 90% of Nigeria’s petrol, and the government has stopped issuing new import licences. That means there are no meaningful imports and only one major domestic supplier — Dangote. So yes, for now, it is a monopoly.
But Is It Entirely His Fault?
Not entirely. Nigeria’s other refineries — in Port Harcourt, Warri, and Kaduna — are largely non-functional. Private competitors are not ready to enter the market yet. It is like being the only bakery in town when the flour price goes up. You did not create the problem — but everyone feels your price.
The Real Problem: Not Enough Competition
A healthy fuel market needs multiple suppliers competing to keep prices in check. Nigeria does not have that yet. Until the government can either:
- Fix and restart the government-owned refineries, or
- Open the door to other private competitors,
Nigeria will remain dependent on a single refinery — and its pricing decisions will affect millions.
What Does This Mean for You?
Understanding market structure — how much competition exists, who controls supply — is a real-world skill. When you hear about “monopoly” or “price fixing” in the news, you now know exactly what it means and why it matters to ordinary Nigerians.
The solution is not to demonise one refinery. The solution is to build more refineries, fix the broken ones, and create genuine competition. That is a policy fight your generation will need to push for.
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