Petrol Price May Drop Near ₦1,000 Per Litre, Marketers Say

Nigerian filling stations have hinted at a possible reduction in the pump price of Premium Motor Spirit, popularly called petrol, to near ₦1,000 per litre amid mounting pressure on marketers and refiners.

The development comes as the downstream petroleum sector has witnessed gradual price reductions in the last two weeks.

The Nigerian National Petroleum Company Limited recently reduced its petrol price to ₦1,210 per litre, barely two days after Dangote Refinery adjusted its gantry price to ₦1,125 per litre.

The price adjustments followed renewed calls by Nigerians for a corresponding drop in petrol pump prices after global crude oil prices fell to around $73 per barrel.

Crude prices had earlier risen above $100 per barrel amid tensions in the Middle East before easing as the crisis relatively de-escalated.

At the weekend, the Federal Competition and Consumer Protection Commission warned oil firms against exploitation and profiteering following concerns over fuel pricing.

An MRS filling station manager in Abuja, who spoke on condition of anonymity, said the outlet was planning to reduce its petrol price by Tuesday or Wednesday.

According to the manager, the station may drop its pump price to between ₦1,201 and ₦1,191 per litre.

The spokesperson of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, also confirmed that further petrol price reductions were being expected.

Ukadike said petrol prices could move closer to ₦1,000 per litre if crude oil prices continued to decline and refiners and depot owners adjusted accordingly.

He attributed the current pricing structure to the decisions of refiners and importers, noting that marketers were interested in competitive pricing that would benefit consumers.

“So you see this is coming down gradually. It’s possible the fuel price will drop to ₦1,000 per litre or less if the crude oil price keeps reducing and refiners and depot owners follow.

“It is simply based on the factors of demand and supply,” he said.

As of Monday night, petrol pump prices stood between ₦1,210 and ₦1,300 per litre in Abuja and surrounding areas.

During the same period, Brent crude traded around $72 per barrel, while West Texas Intermediate stood at about $70 per barrel.

Consumers have continued to urge regulators and market operators to ensure that changes in global crude prices are reflected in local pump prices.