Oil marketers across Nigeria have strongly rejected recent comments by billionaire businessman Femi Otedola, who urged them to divest from the country’s oil sector.
Speaking on The Morning Brief on Channels Television, National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, described Otedola’s remarks as “insensitive” and “ill-considered.”
Otedola had recently alleged that fraudulent fuel subsidy claims were rampant during the administration of former President Goodluck Jonathan. He linked these fraudulent activities to the issuance of depot licenses, arguing that the policy at the time failed to encourage transparency or innovation, instead promoting rent-seeking behavior and corruption.
In his criticism, Otedola specifically targeted the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), a key industry group currently engaged in a public dispute with the Dangote Refinery.
Reflecting on his role in founding DAPPMAN in 2002, Otedola explained that the association was originally established to challenge the dominance of major oil marketers and provide a level playing field for independent depot operators. However, he claimed that the original vision has since been lost, suggesting that current members are holding on to depreciated assets rather than evolving with the market.
Responding to these assertions, Gillis-Harry emphasized that Otedola, as a former member of DAPPMAN, should understand the scale and complexity of investments made by operators in the sector.
“Otedola’s comments on innovation and restructuring are far from thoughtful,” Gillis-Harry said. “Is he suggesting that all the capital invested in this sector—often running into billions of naira—should simply be written off?”
He added that while innovation is necessary and change inevitable, existing infrastructure continues to serve critical national needs and cannot simply be discarded.
“Mr. Otedola was fortunate to have exited the industry quickly and profitably. That doesn’t give him the moral or business authority to suggest that others, who are still deeply invested, should dismantle their operations,” he continued.
Gillis-Harry highlighted that many of these depots and distribution centers are strategically located across the country—including Port Harcourt, Calabar, Warri, Oghara, Lagos, and on the Mainland—serving as essential components in the national fuel distribution network.
He also praised the emergence of the Dangote Refinery, describing its entry as a positive and timely development that enhances confidence and stability in the sector.
“While DAPPMAN’s leadership is fully capable of responding directly, I must say that it is unreasonable to suggest that committed Nigerian investors should abandon their assets. Mr. Otedola should think more carefully before making such sweeping recommendations,” Gillis-Harry concluded.
