Petrol Pump Prices Remain High Despite Dangote Refinery Price Reduction

Despite the recent price reduction of Premium Motor Spirit (PMS) by Dangote Petroleum Refinery to ₦899.50 per litre from ₦970 per litre, the minimum pump price of petrol in Nigeria has not yet dropped.

In Lagos, most petrol stations, including those operated by the Nigerian National Petroleum Company Limited (NNPCL), continue to sell petrol at a minimum of ₦1,025 per litre. Major oil marketers maintain prices around ₦1,070, while independent marketers charge as high as ₦1,100 per litre.

This price slash by Dangote Refinery was intended to ease transportation costs and bring relief to Nigerians, particularly during the festive season.

Reactions from Industry Experts

Maxi Colman Obasi, the National President of the Oil and Gas Services Providers Association of Nigeria (OGSPAN), applauded Dangote Refinery for reducing its ex-depot prices. He urged petrol marketers to pass on the benefits of the price reduction to consumers.

Another industry expert, who chose to remain anonymous, highlighted that the global crude oil price had dropped from $73 per barrel to $72 per barrel. This decline, coupled with the deregulated market, should encourage a decrease in petrol prices at the pump.

Dangote Refinery’s Efforts

Announcing the price cut, Dangote Refinery offered a special holiday discount, reducing its ex-depot price to ₦899.50 per litre. In addition, customers purchasing petrol in cash can buy an extra litre on credit, supported by a bank guarantee from Access Bank, First Bank, or Zenith Bank.

Anthony Chiejina, Chief Branding and Communications Officer of Dangote Group, emphasized the refinery’s commitment to providing high-quality, competitively priced petroleum products that are environmentally friendly and safe for engines. He also noted that the refinery’s operations would eliminate Nigeria’s reliance on substandard, blended imported petroleum products, which have posed health and environmental risks.