The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has welcomed the latest reduction in the ex-depot price of Premium Motor Spirit (PMS) by Dangote Refinery, stating that it will ease economic hardship and positively impact Nigeria’s economy.

In a statement on Saturday, PETROAN’s spokesperson, Joseph Obele, praised the refinery’s decision to lower the petrol price from N950 per litre to N890 per litre, citing a decline in global crude oil prices as the primary reason for the adjustment.

Economic Impact of Petrol Price Reduction

According to PETROAN’s National President, Dr. Billy Gillis-Harry, the price cut is expected to bring relief to Nigerians by:

✅ Reducing transportation costs, which will lower the prices of goods and services.

✅ Easing the cost of living, providing citizens with more disposable income.

✅ Boosting economic activity, as businesses can transport goods more efficiently.

✅ Helping curb inflation, by decreasing production costs and stabilizing market prices.

Dr. Gillis-Harry emphasized that competition remains the backbone of a deregulated economy and expressed optimism that other refinery operators and PMS importers will follow Dangote Refinery’s lead in adjusting their prices to remain competitive.

Nigerians Await a Price Drop in Goods and Services

Despite the swift effect of fuel price hikes on transportation and goods, many Nigerians have noticed a delay in cost reductions following PMS price cuts. With inflation rates at 34.80% for headline inflation and 39.83% for food inflation as of December 2024, consumers are eager to see tangible relief.

Dangote Refinery previously raised its ex-depot petrol price in January 2025 from N899 to N950 per litre, making this recent reduction a welcome change.

As fuel prices continue to fluctuate in response to global crude markets, Nigerians are hopeful that this price drop will translate into lower living costs and improved economic stability.