On Friday, Naijacrawl reported that Dangote Refinery increased its ex-depot price from N899 to N955 per litre. In an official email to its customers, the refinery outlined that marketers purchasing between 2 million and 4.99 million litres would pay N955 per litre, while those buying 5 million litres and above would pay N950 per litre.

This adjustment marks a 6.17% increase—a jump of N55 per litre—from the N899/litre discounted price introduced in December 2023 as a holiday gesture.

Price Adjustments Across Nigeria

The price hike has triggered immediate retail price adjustments at filling stations nationwide. According to the spokesperson of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, retail prices are expected to exceed N1,100 per litre, with far-flung locations charging as much as N1,150 per litre due to logistics costs.

“Logistics costs alone add about N50 per litre. With ex-depot prices now at N980, consumers will feel the pinch immediately,” Ukadike explained.

Similarly, Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), acknowledged that the price increase will inevitably raise retail costs. However, some marketers are holding off price adjustments until their current stock runs out.

“At the moment, many outlets still sell at N935 per litre due to prior agreements with suppliers like MRS. But if supplier prices rise in response to Dangote’s review, retail costs will follow,” he noted.

Abuja and Nationwide Trends

In the Federal Capital Territory (FCT), Abuja, some filling stations have already implemented price hikes, with petrol now retailing between N1,040 and N1,155 per litre—a N50 increase in less than a day.

Despite the surge, Nigerian National Petroleum Company (NNPC) Limited outlets have maintained a lower price of N965 per litre as of Friday evening.

Why the Hike?

The rise in petrol prices aligns with the global increase in crude oil prices, which recently reached $81 per barrel. Depot owners had earlier raised prices last Thursday, further fueling expectations of retail price adjustments across the country.

Last December, petrol prices dropped briefly to between N935 and N1,100 per litre, offering temporary relief. However, with the latest developments, Nigerians are bracing for higher transportation and energy costs in the weeks ahead.

Stay tuned for updates on this unfolding story as the impact of the new pricing regime becomes clearer.