…the latest adjustment represents a N95 per litre petrol price reduction.
Abuja, Nigeria – The iNews Times | A new petrol price reduction has emerged in Nigeria’s downstream petroleum sector after the Nigerian National Petroleum Company Limited lowered the pump price of Premium Motor Spirit (PMS) at several of its filling stations in Abuja following a recent price cut by the Dangote Refinery.
Checks on Wednesday showed that NNPCL retail outlets across parts of the Federal Capital Territory adjusted their petrol pump price to N1,165 per litre, down from N1,260 per litre sold on Tuesday.
The latest adjustment represents a N95 per litre petrol price reduction, a development that could provide modest relief for motorists and businesses grappling with high fuel costs.
Field observations indicated that the new price had already taken effect at several NNPCL retail outlets in Abuja, including stations located in Jabi, Lifecamp, Wuse Zone 5 and Wuse Zone 4.
At the time of filing this report, Automotive Gas Oil (diesel) was being sold at N1,535 per litre at the same stations.
Industry analysts say the petrol price reduction reflects growing competition in Nigeria’s fuel supply chain, particularly following the operational expansion of the Dangote Refinery, which has begun influencing price movements in the domestic market.
Other Filling Stations Adjust Prices
The price adjustment by NNPCL appears to have triggered similar responses among other fuel marketers operating in Abuja.
Retail outlets operated by NIPCO Plc were observed selling petrol at N1,195 per litre, while stations belonging to Ardova Plc offered PMS at N1,200 per litre.
Similarly, outlets under AA Rano Nigeria Limited were dispensing petrol at N1,223 per litre.
The emerging price adjustments highlight how the petrol price reduction by major suppliers is gradually influencing retail pump prices across different fuel stations.
A manager at an outlet belonging to MRS Oil Nigeria Plc, who requested anonymity, confirmed that the station would also implement a price adjustment.
According to the manager, the retail outlet plans to reduce its petrol pump price by N100, bringing the new rate to N1,167 per litre starting from Thursday.
“We will reduce our petrol price to N1,167 per litre from Thursday,” the station manager disclosed.
Dangote Refinery Influence on Market
The current petrol price reduction follows an earlier development in which the Dangote Refinery announced a reduction in its gantry loading price.
Reports indicated that the refinery lowered its gantry price to N1,075 per litre, prompting several fuel marketers to adjust their retail prices.
Shortly after the refinery’s announcement, many filling stations across the country reduced petrol prices by about N20 per litre, signalling the beginning of downward price movements in the market.
Energy experts say the Dangote Refinery’s pricing decisions are increasingly shaping fuel supply dynamics in Nigeria, especially as domestic refining capacity improves.
With the refinery expected to produce large volumes of refined petroleum products, competition among fuel marketers could intensify, potentially leading to further petrol price reduction in the coming months.
Global Oil Market Trends
Despite the recent local adjustments, global crude oil prices remain relatively high.
As of Wednesday, benchmark crude prices showed Brent Crude trading at $91.76 per barrel, while West Texas Intermediate stood at $86.86 per barrel.
Analysts say fluctuations in global crude oil prices will continue to influence Nigeria’s petrol pricing structure, especially under the current market-driven fuel pricing regime.
However, the latest petrol price reduction by NNPCL and other marketers is already generating cautious optimism among consumers who hope that increased domestic refining and competitive pricing could gradually lower fuel costs across the country.
