Filling Stations Slash Petrol Prices Below NNPC, Dangote's Rate
- Some filling stations have cut their petrol pump prices, lower than Dangote's recently announced rate
- There is a serious competition for customers as marketers import cheaper petrol
- The Dangote Petroluem Refinery recently increased its retail petrol price to N835
Legit.ng journalist Dave Ibemere has experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Petrol retailers have cut reduced their pump prices below the Nigerian National Petroleum Company Limited’s (NNPC) and Dangote refinery rate offered at MRS filling stations.,
A survey of filling stations over the weekend showed that several outlets reduced their price from about N839 per litre last week to between N812 and N828 per litre.
Source: Getty Images
New petrol price at filling stations
Punch reports that SGR filling station in Mowe sold petrol at N812 per litre, the lowest price recorded in the area. Alade filling station near Ibafo dispensed PMS at N820 per litre, while Habeeb filling station cut its price to N819 per litre.
SAO stations in Mowe and Lotto sold at N825 per litre, alongside Akiavic, while NIPCO outlets along the corridor offered petrol at N828 per litre.
AP filling stations across the axis sold between N830 and N834 per litre.
The price cuts come despite the recent increase the Dangote Petroleum Refinery recently increasing its gantry price to N799 per litre from N699, recommending a retail price of about N839 per litre.
This is the same price as at NNPC filling stations in Lagos, set at N840 per litre.
Petrol price drop
However, data from the Major Energies Marketers Association of Nigeria show that the landing cost of imported petrol averaged about N724 per litre last week, making imported PMS cheaper than supplies lifted from the Dangote gantry.
An official of the Dangote refinery, who spoke on condition of anonymity, said many stations selling at lower prices still sourced products from the refinery, noting that the gantry price includes regulatory charges that gives retailers room to compete.
The intensifying competition has also affected Dangote-backed outlets.
An MRS filling station at Olowotedo cut its pump price to N825 per litre from N839, although another MRS outlet near the Redeemed Christian Church of God camp maintained sales at N839 per litre, even as a neighbouring AP station lowered its price.
Source: Getty Images
Dangote advises marketers
Meanwhile, the Dangote refinery has warned that continued reliance on coastal delivery of petroleum products could push petrol prices close to N1,000 per litre.
In a statement, the company said gantry loading remains the most efficient and cost-effective option for maintaining price stability.
The refinery said it has invested heavily in infrastructure, including a 91-bay gantry facility capable of loading up to 2,900 tankers daily and evacuating millions of litres of fuel around the clock.
Dangote added that increased domestic refining has helped reduce fuel imports, eased pressure on foreign exchange, and contributed to a decline in pump prices from last year’s highs.
Private depots adjust petrol price
Earlier, Legit.ng reported that Nigeria’s downstream petroleum market offers hope to Nigerians as private depot owners across the country slashed petrol prices last week, intensifying competition with major suppliers, including Dangote Refinery.
The price cuts follow recent adjustments in petrol pump prices at filling stations.
In Lagos, several depots priced petrol below N800 per litre to compete with Dangote Refinery partners. Aiteo lowered PMS from N796 to N797 per litre, Wosbab and Shellplux reduced prices from N800 to N798, slightly below Dangote’s rate of N799.
Source: Legit.ng
