Billionaire businessman, Femi Otedola, has alleged that more than ₦2 trillion was siphoned through questionable petrol subsidy claims during the administration of former President Goodluck Jonathan.
In a statement on Monday, Otedola backed the Dangote Petroleum Refinery in its ongoing dispute with the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN).
DAPPMAN had accused the refinery of destabilizing the market with its fuel price cuts, but Dangote countered, claiming the group demanded an annual subsidy of ₦1.5 trillion to enable members match its depot prices.
Otedola, however, maintained that the subsidy regime was deliberately structured to benefit depot owners, making DAPPMAN members the biggest beneficiaries.
“I warned President Jonathan at the time that he was being misled. The system encouraged rent-seeking and corruption. Over ₦2 trillion was siphoned through dubious claims tied to depot licences,” he said.
He further dismissed the notion that depots significantly create jobs, noting that a typical facility employs only a handful of people, unlike filling stations that hire dozens.
Otedola urged DAPPMAN members to shift their focus to retail operations rather than holding on to depots designed for an import-driven fuel economy, which, according to him, has become redundant with Nigeria now refining locally.
He likened the development to the transformation of Nigeria’s cement industry, where reliance on import terminals gave way to domestic production.
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