Nigeria Leads Oil-Producing Countries in Africa with Highest Petrol Prices despite Subsidy Removal

Nigeria Leads Oil-Producing Countries in Africa with Highest Petrol Prices despite Subsidy Removal

  • Despite petrol subsidy removal in 2023 by the Nigerian government, Nigeria remains one of the most expensive countries to buy petrol in Africa
  • Recent data showed that petrol sold at $0.768 per litre in Nigeria as of December 2024
  • The data showed other oil-producing countries with the highest petrol prices in Africa in 2024

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

Nigeria has become one of the top oil-producing countries in Africa with the highest petrol prices, despite the deregulation of the downstream petroleum sector.

Nigeria spent a whopping N4.39 trillion or $9.7 billion subsidising petrol in 2022.

Nigeria leads among African countries with highest petrol prices
Nigeria emerges as one of the leading oil-producing countries with the highest petrol prices in 2024 Credit: Bloomberg/Contributor
Source: UGC

Nigeria paid highest for petrol

In the following year, data showed that the Nigerian government paid N3.6 trillion as a subsidy on petrol after underpayments were reported until the complete deregulation of the industry.

However, data by GlobalPetrolPrices released at the weekend showed that Nigeria emerged with the highest petrol prices despite being the continent’s biggest oil producer.

Read also

Oil marketers hint at further petrol price cuts as NNPC, Dangote announce cheaper fuel

The new data disclosed that among the top oil producers in Africa, Gabon recorded the highest petrol prices at $0.952, while Nigeria recorded $0.768 as of December 2024.

The data was compiled before the recent announcement of price adjustments by the Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPC).

Cheapest African countries to buy petrol

According to the report, Libya had the cheapest petrol prices, at $0.031 per litre, followed by Angola, at $0.329.

Egypt recorded $0.353 per litre; Algeria sold petrol at $0.343 per litre, while Sundan’s price stood at $0.700. Ethiopia rounded off the table at $0.718 for a litre of petrol.

Meanwhile, the average global petrol price stood at $1.24 per litre, with price differences among countries due to taxes and levies.

Experts explain the reason for the petrol Price drop

Legit.ng earlier reported experts have said that the intense competition in Nigeria's petroleum industry is pushing down petrol prices, as the country now boasts two functional refineries.

Read also

Experts explain why petrol prices are dropping as NNPC releases new list

On Thursday, December 19, 2024, the Dangote Refinery announced a crash in its petrol prices from N970 per litre to N899.

The refinery’s management explained that the price cut was meant to cushion the burden of Nigerians travelling for the Yuletide.

Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng

PAY ATTENTION: Сheck out news that is picked exactly for YOU ➡️ find the “Recommended for you” block on the home page and enjoy!

Source: Legit.ng

Authors:
Pascal Oparada avatar

Pascal Oparada (Business editor) For over a decade, Pascal Oparada has reported on tech, energy, stocks, investment, and the economy. He has worked in many media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng

iiq_pixel