Billionaire businessman Femi Otedola has weighed in on the dispute between the Dangote Refinery and the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), urging the group to embrace innovation or risk extinction. He described Dangote’s refinery as a landmark project that signals a new era for Nigeria’s energy independence.
Otedola recalled that he founded DAPPMAN in 2002 to challenge the dominance of major marketers and provide opportunities for independent depot owners. However, he argued that the association’s relevance has diminished, as Nigeria now has sufficient storage capacity and efficient local supply from the Dangote Refinery.
According to him, the old model built on fuel imports, subsidy exploitation, and outdated infrastructure is no longer sustainable. He warned that resisting change would push many depot operators into bankruptcy, adding that some should consider selling off their assets or investing in retail outlets instead.
The philanthropist praised Dangote’s investment in 8,000 eco-friendly trucks to modernize distribution, stressing that depots provide minimal employment compared to filling stations. He noted that similar transformations had occurred in Nigeria’s cement industry, where local production rendered bulk imports and related infrastructure obsolete.
Otedola also credited President Bola Tinubu for deregulating the downstream petroleum sector, saying the move ended subsidy fraud, smuggling, and rent-seeking practices. He revealed that over N2 trillion was siphoned during the subsidy era under former President Goodluck Jonathan, largely through depot licenses.
Concluding, Otedola urged DAPPMAN members to face reality, stop clinging to outdated privileges, and embrace a transparent, self-sufficient, and sustainable future. “Aliko’s refinery is not the problem. It is the solution,” he declared, while congratulating Dangote for his historic achievement.
