Fuel Price Surge in Lagos Sparks Outrage as Motorists Lament, Commuters Brace for Higher Fares
- Major fuel marketers raised the pump price of petrol following a N100 increase in ex-depot price by Dangote Petroleum Refinery
- The refinery’s price adjustment is attributed to rising global crude oil prices, which is now above $80 per barrel and higher replacement costs
- Motorists and commuters expressed frustration over the sudden hike, which has subsequently led to the rise of transport fares and business costs
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
Motorists across Lagos were met with another surge in petrol prices this week as leading marketers, including NNPC Limited and MRS Oil Nigeria Plc, increased the pump price of Premium Motor Spirit (PMS) to N975 per litre.
The adjustment came shortly after Dangote Petroleum Refinery & Petrochemicals raised its ex-depot price by N100, prompting swift reactions across retail outlets.
Source: UGC
A survey by Legit.ng showed that NNPC Retail and MRS stations in Lagos reviewed their prices from N875 to N975 per litre within a day, while some independent marketers raised theirs to about N960 per litre.
Industry insiders linked the refinery’s decision to increase its gantry price from N774 to N874 per litre to the continued rise in global crude oil prices, which have climbed above $80 per barrel, alongside higher replacement costs.
The development reportedly disrupted petrol loading activities temporarily, as some depot operators held back sales amid uncertainty in the downstream segment.
At several filling stations in Lagos, drivers and commuters expressed frustration over the abrupt increase.
A commercial driver, Tajudeen Odumosu, said the sharp jump in petrol price makes it difficult to plan and warned that transport operators may have no choice but to raise fares to avoid losses.
"When prices increase unexpectedly, it becomes difficult to plan and calculate profits from the day’s earnings. Now that we are buying petrol at a higher rate, we cannot afford to operate at a loss. As a result, transport fares across different routes will have to increase to help us break even and stay in business."
Similarly, a Lagos resident, Bunmi Okeowo, lamented the strain on household budgets, noting that higher fuel prices often translate to increased transport costs.
"The price of fuel is now close to N1,000 per litre, depending on the filling station. We all know how things work in Nigeria, especially in Lagos—commercial drivers often seize such opportunities to increase fares. I had already set aside a specific budget for transportation this month, and if fares go up, it will certainly cut into the money meant for other essential expenses."
Economic analysts caution that the latest hike could intensify inflationary pressures as businesses and transporters adjust their charges to reflect rising operating expenses.
Source: Getty Images
Petrol depot prices surge near N1,000 per litre
Meanwhile, Legit.ng earlier reported that private depot prices of petrol moved from the N800 range to above N900 per litre within days.
The sharp increase followed a new gantry price adjustment announced by the Dangote Petroleum Refinery on Monday, March 2.
If not carefully curtailed, analysts fear the price surge could near and exceed N1000 per litre, triggering fresh concerns among motorists and businesses already battling rising costs.
Source: Legit.ng
