Billionaire Femi Otedola has cautioned that powerful cabals in Nigeria’s oil sector still pose a risk to the nation’s energy future, despite recent reforms.
In a statement on Monday, he expressed strong support for the Dangote Petroleum Refinery and the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN). He also praised President Bola Tinubu for fully deregulating the downstream petroleum sector.
Otedola said: “Congratulations to my dear brother, Aliko Dangote, on the success achieved since the Dangote Refinery began operations. It is a historic leap for Nigeria’s energy independence and economic future.”
He added: “Credit must go to President Bola Ahmed Tinubu for taking the bold step of fully deregulating the downstream sector. This has broken the grip of entrenched interests and ushered in a new era of transparency, healthy competition, and better service delivery.”
Progress and Remaining Challenges
Despite the reforms, Otedola warned that some voices still cling to the old ways.
“I’ve followed recent commentary around fuel supply issues and feel compelled to provide perspective. Our country’s future remains threatened by entrenched cabals who believe they can block reform,” he said.
Recalling the formation of DAPPMAN in 2002, Otedola said it aimed to challenge the dominance of major marketers and give independent depot owners a platform to thrive. He structured the group, appointing the late George Enenmoh as chairman, while he served as vice-chairman and Sayyu Dantata as secretary.
Two decades later, he argued, many depots have become obsolete. “Nigeria now has over 4 million metric tons of storage capacity, most of it idle. With the Dangote Refinery supplying fuel locally, the old business model is crumbling. I advised some operators last year to sell their depots as scrap while they still had value.”
Dangote Refinery Redefines the Market
Otedola stressed that the refinery has reshaped Nigeria’s energy landscape. It ensures reliable local production and supply, reduces gridlock around Apapa ports, and modernises fuel distribution with 8,000 new CNG-powered trucks.
“More than just producing fuel, Aliko has elevated the entire logistics chain,” Otedola said.
Reflecting on his experience as the founder of Zenon Oil and a pioneer of modern diesel in Nigeria, he added: “I know this business intimately. I was at the top of it, and in 2005, I was honored as life patron of the PTD union. When I say the game has changed, I speak from deep experience.”
