Petrol Depot Prices Surge Above N1,300/Litre as Crude Oil Nears $100, Nigerians Face Fuel Shock
- Nigerian petrol prices could rise again as ex-depot costs exceed N1,300 per litre
- Depot price increases reflect rising supply costs, affecting consumers and businesses nationwide
- Government intervention urged as petrol price hikes raise concerns for households and transportation
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Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Nigerian motorists and consumers could be heading for another round of petrol price increases as the ex-depot price of Premium Motor Spirit, PMS, crosses N1,300 per litre.
The latest increase comes less than a week after depot owners raised their prices, adding fresh pressure to the already elevated cost of petrol across the country.
Source: Getty Images
Data from PetroleumpriceNG showed that several depots have adjusted their petrol prices to between N1,300 and N1,310 per litre, up from the previous range of N1,265 to N1,275 per litre.
Matrix Warri, Calabar and Optima depots reportedly increased their prices to N1,300, N1,310 and N1,305 per litre, respectively.
The latest adjustments represent increases of between N25 and N35 per litre, further widening the pressure on filling stations and consumers.
Dangote price increase triggers fresh adjustments
The latest depot price movement follows an earlier increase by several depot owners after Dangote Refinery raised its gantry price to N1,265 per litre.
Following that adjustment, most depot operators reportedly moved their prices into the N1,265-N1,275 per litre range.
The new increases suggest that marketers are facing rising supply costs and are passing some of the additional burden down the distribution chain.
For motorists, the development could quickly translate into higher pump prices if filling stations adjust their retail rates to reflect the latest depot costs.
Petrol already selling above N1,300 in Abuja
The impact is already visible at the retail level.
Petrol was reportedly selling between N1,310 and N1,350 per litre at several filling stations in Abuja at the time of reporting.
A further increase in depot prices could therefore push pump prices even higher, particularly in locations where transportation, logistics and other distribution costs add to the final cost of petrol.
The development is likely to raise concerns among households and businesses already battling high transportation and operating expenses.
Marketers call for government intervention
The Independent Petroleum Marketers Association of Nigeria, IPMAN, and the Petroleum Products Retail Outlets Owners Association of Nigeria, PETROAN, have called for government intervention over the latest petrol price increases.
The groups have previously argued that addressing supply and distribution challenges is critical to reducing the pressure on petrol prices.
The latest development also comes against the backdrop of rising international crude oil prices, with crude approaching the $100-per-barrel mark.
Higher global crude prices can increase the cost of refined petroleum products and put additional pressure on domestic fuel prices, particularly where market conditions allow such changes to filter through the supply chain.
Source: Getty Images
For Nigerian consumers, the immediate concern is whether the latest depot increases will trigger another round of pump price adjustments.
If filling stations respond to the higher ex-depot rates, motorists may soon face another increase in the cost of fuelling their vehicles, with possible knock-on effects on transport fares, food prices and the wider cost of doing business.
This version keeps the focus on the N1,300 depot-price breach, while connecting it to the likely impact on pump prices, transport and household costs.
Petrol import price drops below Dangote’s rate
Legit.ng earlier reported that Nigerian motorists may be in line for temporary relief as the landing cost of imported petrol has fallen below the current ex-gantry price of Dangote Refinery.
The development comes as improved naira stability helps ease the cost of bringing refined petroleum products into Nigeria, although rising international crude oil prices could put fresh pressure on petrol prices in the coming days.
Source: Legit.ng
