Nigeria’s energy sector is in the spotlight again as billionaire businessman and philanthropist, Femi Otedola, waded into the raging dispute between the Dangote Refinery and the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN).
In a strongly worded statement, Otedola urged DAPPMAN to “innovate or perish,” stressing that the old fuel supply model built on imports and subsidy exploitation was dead, and resisting change would only lead to bankruptcy.
“I Founded DAPPMAN 23 Years Ago”
Otedola recalled how he personally established DAPPMAN in 2002 with the late George Enenmoh (Ascon Oil) as Chairman, himself as Vice Chairman, and Sayyu Dantata as Secretary.
At the time, depot ownership filled critical supply gaps in an inefficient downstream system. But according to him, those days are long gone.
“Times have changed. Many of the original players have exited, and those left are clinging to assets that no longer reflect today’s realities,” Otedola said.
Dangote Refinery: A New Era
Congratulating his “brother” Aliko Dangote, Otedola hailed the Dangote Refinery as a historic leap for Nigeria’s energy independence.
He highlighted how the refinery has modernised logistics by deploying 8,000 eco-friendly CNG trucks to distribute fuel nationwide, reducing pollution and traffic congestion in Apapa and Ibafon.
Otedola noted that with local refining now fully operational, Nigeria no longer needs the import-driven depot system, which he said had become obsolete.
Exposing the Old Business Model
The Zenon Oil founder lambasted DAPPMAN’s demands, questioning why Dangote Refinery should subsidise the association with ₦1.5 trillion and pass the cost to Nigerians.
“What exactly is DAPPMAN fighting for? To preserve a model built on subsidy fraud, fuel imports, and outdated tanks? That era is gone,” he declared.
He added that depots hardly provide jobs compared to filling stations and urged members to instead invest in retail outlets or new value chains.
Lessons From the Past
Drawing parallels with the cement industry, Otedola warned that depots will soon go the way of bulk cement carriers, many of which were sold off as scrap once Nigeria started producing locally.
He cited the Folawiyo Group’s early exit as an example of strategic foresight.
“DAPPMAN had its place, but today its relevance is fading fast. Aliko’s refinery is not the problem. It is the solution. Let’s move forward,” he said.
Tinubu’s Deregulation Praised
The billionaire also commended President Bola Tinubu for having the political will to fully deregulate the downstream sector, ending decades of subsidy fraud, rent-seeking, and smuggling.
He recalled warning former President Goodluck Jonathan about subsidy scams, noting that over ₦2 trillion was siphoned through questionable claims tied to depot licenses.
Final Word
Otedola concluded by urging DAPPMAN members to sell, restructure, or innovate — or risk irrelevance.
“Change can be delayed, sabotaged, but never stopped. The game has changed, and if you don’t adapt, you perish,” he warned.
#Otedola #DangoteRefinery #DAPPMAN #FuelCrisisNigeria #EnergyReform #BreakingNews #NigeriaOilAndGas
