Marketers Announce New Petrol Price as Cost of Crude Oil Increases
- Premium Motor Spirit (petrol) and other refined petroleum products now cost more to load at the depots as of Monday
- Marketers raised the price of gasoline and diesel at depots by N43, or 4.74 percent, due to the growing cost of crude oil
- Gas stations nationwide may decide to hike their pump rates in order to keep up with the rising cost of refined goods
Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.
The cost of loading refined petroleum products, including Premium Motor Spirit (petrol), at the depots went up.
Source: Getty Images
The PUNCH learned that because of the rising cost of crude oil, marketers increased the price of gasoline and diesel at depots by N43, or 4.74%.
This occurred as Brent, the world's benchmark for crude, hit $79.76 a barrel on Sunday, January 12th.
Petrol price to increase
Given the current circumstances, gas stations around the country may raise their pump prices to match the increased price of refined goods.
Swift Depot raised their loading fee to N950 per litre from N907 last Friday, according to data our correspondent collected while examining changes in petrol prices at loading depots on Monday, January 13th.
Sahara Depot raised the price of a liter of gasoline from N910 to N950 last Friday, while Wosbab Depot raised its pricing from N909 to N950.
Additionally, Shellplux, a private depot, raised its loading fees from N908 to N960. Chipet Depot requested N960 per liter from shops in order to deliver goods. Last Friday, it went for N908 per liter.
While Matrix Warri Depot raised its pricing per litre from N925 to N945, Nipco Depot raised its price by N38, from N912 to N950.
Our correspondent further learned that, even though they purchased items from the Dangote refinery at N899 per litre, marketers who chose to resale them to other merchants raised their prices to N923 per litre.
Some loading depots raised the price of diesel from N1,080 to N1,150, including Stockgap depot. The price per liter was raised from N1,050 to N1,150 by Ibeto Depot. Last week, Sahara Depot sold its product for N1,045; this week, it offered it for N1,150.
While Optima Depot authorized a N72 hike to N1,120 per liter from N1,048 per litre, Nipco Depot raised their price from N1,120 to N1,150.
Depending on the depot and region, AGO costs have increased by 5–10%, while PMS depot prices have increased by an average of 7–10%.
Experts react
Olatide Jeremiah, an oil and gas specialist, responded in a previous interview by stating that depots are prepared to raise the cost of loading refined petroleum products.
Jeremiah, who is the Chief Executive Officer of petroleumprice.ng, said,
“It implies that there is a possibility of increased fuel prices, particularly diesel prices.
“As of Friday, when Brent crude neared $80, prices selectively increased in some depots in Lagos, and on Monday, prices might be jacked up by importers because a large chunk of oil marketers import petroleum products and Brent crude is a major determining factor in the refining process.”
Another marketer, Bayo Adelaja said,
“Depot rates have escalated sharply, and this is directly affecting pump prices. Consumers should expect further fluctuations in the coming weeks,” he noted.
The necessity for long-term solutions to lessen the impact on consumers and the economy is highlighted by the possibility of additional modifications in the upcoming weeks since depot rates show no indications of stabilizing.
Nigerians attest to long-lasting Dangote fuel
Legit.ng reported that the quality of refined petroleum products provided at MRS Oil Plc filling stations nationwide and sourced from the Dangote Petroleum Refinery was commended by Nigerians.
They gave special recognition to its fuel's remarkable burn rate and longer lifespan when compared to other goods sold by other companies and imported into the nation.
The incapacity of a full tank to endure for a week of commuting to and from the office has been the main source of driver complaints up to this point, with opinions differing according to the age of the vehicle.
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Source: Legit.ng
