Petrol Still Sells at ₦1,300 Per Litre Despite Dangote Refinery’s Price Cut
Lagos, Nigeria — Petrol prices across Nigeria remain as high as ₦1,300 per litre at many filling stations despite a recent reduction in the ex-gantry price of the product by the Dangote Petroleum Refinery.
The refinery had earlier cut its gantry price by ₦100 per litre to about ₦1,075, following a decline in global crude oil prices from $110 to around $88 per barrel. However, the reduction has yet to translate into lower pump prices at retail outlets nationwide.
Industry checks indicate that depot prices currently range between ₦1,190 and ₦1,200 per litre, making it difficult for marketers to reduce pump prices immediately. As a result, many filling stations continue to sell petrol at about ₦1,300 per litre, particularly in major cities and along transport corridors.
Marketers Yet to Reflect Price Adjustment
Oil marketers say retail prices often take time to adjust after refinery price changes because many filling stations still have existing stock purchased at higher costs.
Market operators also noted that distribution expenses, transportation costs and other logistics charges often influence final pump prices, meaning that reductions at refinery level do not always produce immediate changes at retail outlets.
Middle East Crisis Driving Global Oil Market Volatility
The recent price volatility is also linked to tensions in the Middle East involving the United States, Iran and Israel, which disrupted global oil supply and pushed crude prices higher earlier in the month.
Although crude prices have recently eased, analysts say the ripple effects of the earlier spike are still being felt in domestic fuel markets.
Transporters and Consumers Lament Rising Costs
Transport operators and commuters have expressed frustration over the continued high cost of petrol, noting that it has pushed up transportation fares and the cost of goods and services.
Many transport unions across major cities have reportedly increased fares, citing the rising cost of fuel and operational expenses.
Energy analysts say the situation highlights the sensitivity of Nigeria’s downstream petroleum market to global oil price movements, even as domestic refining capacity improves.