Motorists across Nigeria are beginning to see lower petrol prices at filling stations following a recent reduction in the ex-depot price announced by Dangote Refinery.
Just days after the refinery lowered its petrol loading price, several fuel marketers have adjusted their pump prices, offering some relief to consumers, particularly in Abuja and surrounding areas.
Filling Stations Slash Pump Prices
A survey of fuel stations in Abuja indicates that several marketers have reduced the price of Premium Motor Spirit (PMS), commonly known as petrol.
Among the stations that have adjusted their prices are AA Rano, Ranoil, and the Nigerian Independent Petroleum Company, with pump prices now ranging between ₦1,205 and ₦1,240 per litre.
The new rates represent a reduction from the previous average price of around ₦1,300 per litre, reflecting the latest changes in the downstream petroleum market.
Dangote Refinery’s Price Cut Drives Market Adjustment
The latest reductions follow Dangote Refinery’s decision to lower its gantry price for petrol to ₦1,075 per litre.
The refinery announced the adjustment after international crude oil prices declined, with West Texas Intermediate (WTI) trading at approximately $68 per barrel and Brent crude around $72 per barrel.
Lower crude oil prices generally reduce refining costs, making it possible for suppliers to review fuel prices downward.
Other Major Marketers Also Reduced Prices
Before the latest round of adjustments by independent marketers, MRS Filling Stations, supported by Dangote Refinery, had already reduced petrol prices in Abuja to ₦1,191 per litre.
Similarly, the Nigerian National Petroleum Company Limited (NNPCL) revised its pump price to ₦1,210 per litre.
These price reductions have contributed to increased competition among fuel retailers, leading more stations to review their pricing.
Fuel Still Above Previous Levels
Despite the recent reductions, petrol prices remain above the ₦1,000 per litre level recorded before the escalation of tensions in the Middle East, which contributed to higher global crude oil prices.
Although motorists are benefiting from the latest price cuts, the cost of fuel remains significantly higher than earlier levels, with future prices expected to depend largely on movements in the international oil market and domestic supply conditions.
Conclusion
The latest reduction in petrol prices by several filling stations reflects the impact of Dangote Refinery’s lower ex-depot pricing and declining global crude oil prices. While consumers are beginning to enjoy modest relief at the pumps, fuel prices remain above the levels recorded before recent geopolitical tensions pushed costs higher.
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