Dangote Blames Union-Imposed Truck Charges for Rising Fuel Prices

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Africa’s richest man and Chairman of Dangote Group, Aliko Dangote, has attributed the recent surge in fuel prices across Nigeria to illegal truck charges imposed by transport unions. Speaking on the development, Dangote said the additional levies being demanded from truck drivers are driving up distribution costs, which in turn are being transferred to consumers at filling stations nationwide.

According to him, the arbitrary fees imposed by unions and road transport associations have created bottlenecks in the supply chain, undermining the refinery’s efforts to stabilise the market with affordable fuel. He lamented that despite the refinery’s commitment to producing and selling petroleum products at competitive prices, Nigerians are not fully benefiting due to the avoidable cost burden added during transportation.

Dangote revealed that the unions demand truck drivers pay compulsory charges at different loading and transit points before they can move products across states. He warned that if the trend continues unchecked, it could frustrate the refinery’s mission of ensuring consistent and relatively cheaper fuel supply, especially at a time when Nigerians are struggling with the high cost of living.

Industry experts have also expressed concerns that the escalating charges could deter investment in the downstream oil sector. They noted that the unchecked activities of transport unions not only inflate pump prices but also worsen inefficiencies in the distribution system, which could trigger periodic scarcity.

Dangote called on the federal government to urgently intervene and regulate the activities of unions involved in petroleum product transportation. He stressed that the situation, if not addressed, would continue to undermine economic growth, discourage consumer confidence, and worsen the inflationary pressure already burdening households.

Meanwhile, consumers across major cities have continued to lament the rise in fuel prices, with many accusing government agencies of failing to enforce price regulations. Some motorists argued that the gains of having a functional local refinery are being eroded by corrupt practices within the distribution chain.

As debates intensify, analysts believe that resolving the issue of union-imposed truck charges will be critical in determining the refinery’s ability to deliver on its promise of affordable fuel. For now, the Dangote Group insists it remains committed to providing steady supply, but warns that collaboration with regulators is essential to ensure Nigerians truly benefit from the refinery’s operations.

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